Bcg Matrix Of Microsoft Company Information

Check out my Blog: If you've taken business class or familiar with management consulting strategies, you've probably come across this tool called a BCG Matrix. Also known as a growth-share matrix, the BCG matrix was created by Bruce Hendersen in the 70s (founder of Boston Consulting Group).

Microsoft and the Cash Cows. MS Office featuring Word, Excel and PowerPoint has been the leading productivity suite for years as Microsoft overwhelmed early leaders such as WordPerfect and Lotus 1-2-3. The Microsoft divisions responsible for Windows and its productivity software have historically earned the bulk of the company’s profit, “cash cows” per the BCG Matrix. Understanding cash flow is key to making the most of the BCG matrix. In 1968, BCG founder Bruce Henderson noted that four rules are responsible for product cash flow: Margins and cash generated are a function of market share. High margins and high market share go together. To grow, you need to invest in your assets.

It's a tool that helps you analyze companies or products based on a quadrant that shows growth rate and relative market share. You can actually create this fairly easily on Excel, so check out the video to learn how.

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BCG MatrixResearch a company of your choice and determine which of the four quadrants of the BCG Matrix you feel it fits into. Justify your response using information about the company.

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