BCG Growth-Share Matrix
The BCG Growth-Share Matrix sorts a portfolio by two questions: is the market growing, and does the business lead it? The answers suggest where cash comes from and where it should go.
Everything above runs in your browser and saves to this device only. It opens on the brand portfolio of a European hotel group. Enter your own products or business units.
How it works
Relative market share is your share divided by the share of the largest competitor. A value of 1.0 means level with the leader, and anything above 1.0 means you lead.
Star: growth at or above the threshold, relative share 1.0 or more
Cash cow: growth below the threshold, relative share 1.0 or more
Question mark: growth at or above the threshold, relative share below 1.0
Dog: growth below the threshold, relative share below 1.0
The horizontal axis uses a log scale with high share on the left, as in the original matrix. The growth threshold defaults to 10% and can be changed to suit the industry.
Frequently Asked Questions
What is the BCG matrix?
The BCG growth-share matrix is a portfolio tool from the Boston Consulting Group that plots products by market growth rate and relative market share. It sorts them into stars, cash cows, question marks, and dogs to show which products generate cash and which need it.
How do you calculate relative market share?
Divide your market share by the share of your largest competitor. A 20% share against a leader's 40% gives 0.5. A value above 1.0 means you lead the market.
What do stars, cash cows, question marks, and dogs mean?
Stars lead growing markets and need investment to keep share. Cash cows lead slow markets and fund the rest. Question marks trail in growing markets and need a decision. Dogs trail in slow markets and are candidates to harvest or sell.
What are the limits of the BCG matrix?
The BCG matrix uses one measure per axis, assumes market share brings lower costs, and ignores links between products. The GE-McKinsey matrix adds more factors when growth and share alone miss what matters.
Is this BCG Growth-Share Matrix free?
Yes. The BCG Growth-Share Matrix is free and opens straight away in any modern browser, including on a phone. Products save on this device only and export as PNG, PDF, or CSV.