Question

Where on the BCG Matrix would you place iPhone and Nokia brands? Where would you place any newly developed products of Iphone on BCG Matrix? Explain

Answer 1

The BCG matrix is shown below:

Quadrant I Stars	Quadrant III Question marks
Quadrant II Cash cows	Quadrant IV Dogs

Stars : Have high market growth rate and high relative market share

Cash cows : Have low market growth rate and high relative market share

Question marks : Have high market growth rate and low relative market share

Dogs : Have low market growth rate and low relative market share

I-phones are Cash cows, since these have high market share, however the market growth rate of existing models has saturated. This is flagship brand of Apple and a major source of revenue.

Nokia brand is Dog in the BCG matrix. This is because the over time newer models of Nokia have failed to get a growth rate and the existing market share of Nokia brand phones have also declined.

Newly developed I-phone would be Question mark. This is because, relative market share of the new I-phone is low. However the new brands of I-phone developed see huge market growth rate.