To help you roughly estimate the profitability of a business, the matrix uses the two metrics of relative market share and market growth rate. It divides a company’s business units into categories based on their respective market shares and market sizes. The Growth Share Matrix, also known as the BCG Matrix, is a portfolio management framework developed by the Boston Consulting Group’s founder in 1968. Try Miro’s BCG Matrix Template BCG Matrix definition: What is a Growth Share Matrix? Let’s dive into everything you need to know about a BCG Matrix. It’s a portfolio management tool that helps your company prioritize different businesses or products to get the best long-term results. That’s where the BCG (Boston Consulting Group) Matrix comes in. You need to prioritize fast without letting biases affect how you invest your capital and effort. Companies often set up special committees that take months - or even years - and dozens of meetings before committing to a path.īut in the 21st century, the first mover’s advantage is more crucial than ever. Trust us - we know first-hand what that feels like here at Miro. Trying to make high-level decisions about the future of your company can feel overwhelming.
