Call Now

Get The App


Different strategies pursued under BCG

The four strategies that can be pursued in BCG Matrix are:

  1. Build
  2. Hold
  3. Harvest
  4. Divest
  1. Build: Here, the objective is to increase market share, even by forgoing short- term earnings in favour of building a strong future with large market share. In build strategy, company must Increase investment in a product to increase its more market share. Star may follow build strategy.
  2. Hold: Here the objective is to preserve market share. If you can't invest more into a product, then hold it in the same quadrant and leave it be there. Question mark product or SBU may follow hold strategy.
  3. Harvest: Here the objective is to increase short-term cash flow regardless of long-term effect. In this strategy company must reduce their investment and try to take out maximum cash flow from the product, which increases its overall profitability. Cash Cow may follow harvest strategy.
  4. Divest: Here the objective is to sell or liquidate the business because resources can be better used elsewhere. Company must release the amount of money already stuck in the business. Dogs may follow divest strategy.

Explore All Chapters