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Company Strategy if Lacking Question Marks?

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Nyle
34
Nyle, USA

Company Strategy if Lacking Question Marks?

If a business has no Question Marks (or just one), what should it do?

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  Luc Baz.
3
Luc Baz., France
 

No Question Marks...

The idea of the BCG Matrix is clearly to have a PORTFOLIO of products. In this portfolio there should be cash cows (generating lots of cash) and also some stars and question marks (consuming cash to further develop). This means that the answer to the question is that the firm should invest in R&D and Product Development, especially if there are also no or few Stars. Otherwise the firm will have no growth potential in the future.

  Jaap de Jonge
3
Jaap de Jonge
Editor, Netherlands
 

What Should a Company do if it Has no Question Marks?

It depends a little bit on the expected lifespan of its cash cow(s) and star(s), but normally such company should make sure it gets one or a few question marks.
This could be accomplished through innovation, R&D as Luc already pointed out.
Another possibility is to acquire a question mark(s). For example buy a start-up that has developed a potentially very promising product, but is lacking adequate financial funding. You see this happening all the time in the pharma industry and by large corporations in general.

 

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Summary Discussion Topics
topic Example BCG Matrix: Coca Cola & Pepsi Cola
topic 10% Limit in Market Growth in BCG Matrix
topic Modified BCG Matrix 2.0
👀Company Strategy if Lacking Question Marks?
🔥 Pitfalls in Strategic Portfolio Management. How to Avoid Them
topic How do I Place my Products / Services in the BCG?
topic The BCG Matrix and Synergy Effects
topic Why the Quadrants of BCG Matrix are Named as Star, Dog, Cow, Problem Child
topic Assumptions of the BCG Matrix
topic BCG Matrix is useless!
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topic How to Calculate the Relative Market Share in BCG Matrix?
topic BCG Matrix in Emerging or Fragmented Markets
topic BCG Matrix: Can Dogs be More Lucrative than Cash Cows?
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topic Distinction Between PLC and BCG Matrix?
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topic The 4 BCG Categories are not Always Stages
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