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It is a single business of collection of related businesses that can be planned separately from the rest of the company
2. It has its own set of competitors
3. It has a manager who is responsible for strategic planning and profit performance and who controls most of the factors affecting profit.
* The purpose of identifying the company’s strategic business units is to develop separate strategies and assign appropriate funding. *
BOSTON CONSULTING GROUP MODEL (BCG) developed the growth-share matrix matrix, which is used for classifying businesses by profit potential.
THE GROWTH MATRIX:
• 8 Circles – represents the current sizes and positions of 8 business units in a hypothetical company...
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