#How to create zmatrix tutorial how to
#How to create zmatrix tutorial free

Go to Ribbon > Insert > Other Charts and click Bubble Chart. Market Share will be the bubble in the chart. Market Growth will be measured using the values of Y axis. To insert the BCG Matrix into Excel, select columns A, B and C for all products. To get relative market share, just divide the market share of your product by the market share of your largest competitor. You need market growth, market share for all of your products and relative market share. Preparing Data to BCG Matrixįirst, you need some data.

#How to create zmatrix tutorial how to

By understanding the four quadrants of the matrix and how they apply to your product portfolio, you can make informed decisions about where to invest your resources and how to grow your business. The BCG Matrix is a valuable tool that can help businesses of all sizes to make better strategic decisions.

#How to create zmatrix tutorial free

This will free up resources that can be used to invest in more profitable products.

Divested dogs: Dogs are not profitable and should be divested.

This will help to ensure that the company’s product portfolio is constantly growing and evolving.

Milk cash cows: Cash cows generate a lot of cash, so companies can use the cash generated by these products to invest in stars and question marks.

If a company decides to invest in a question mark, it should do so with the goal of turning it into a star. Companies need to decide whether to invest in these products or to divest them.

Invest in question marks: Question marks have the potential to be stars, but they require investment to reach that point.

This can be done by increasing marketing and sales efforts, developing new features or products, or expanding into new markets.

Invest in stars: Stars are the most profitable products in a company’s portfolio, so they should be reinvested in to maintain their growth.

Here are some specific ways to use the BCG Matrix to make strategic decisions: By comparing the position of your products on the matrix from year to year, you can see which products are performing well and which products need attention. The BCG Matrix can also be used to track the performance of your product portfolio over time. See also How to Make a Venn Diagram in Excel

They are not profitable and should be divested.

Dogs: These are low-growth, low-market-share products.

Companies can use the cash generated by these products to invest in stars and question marks. They generate a lot of cash, but they do not require much investment.

Cash Cows: These are low-growth, high-market-share products.

They have the potential to be stars, but they require investment to reach that point.

Question Marks: These are high-growth, low-market-share products.

They are the most profitable products in a company’s portfolio and should be reinvested in to maintain their growth.

Stars: These are high-growth, high-market-share products.

The four quadrants of the matrix represent different types of products, each with its own strategic implications: The BCG Matrix can be used to make strategic decisions about your product portfolio. It is not growing rapidly and has a low market share. It is not growing rapidly but has a high market share. It is growing rapidly but has a low market share. It is growing rapidly and has a high market share. In this example, Product A is a star product.