Lately the demand for building materials has dropped due to the slowdown in new housing construction. Woods Corp, is thinking of

Question

2 years ago

15

Lately the demand for building materials has dropped due to the slowdown in new housing construction. Woods Corp, is thinking of

closing its fine wood division that produces mahogany and cherry lumber for building cabinets and other applications. Under the Boston Consulting Group Growth-Share Matrix, the fine wood division would most likely be classified as a:________.
A. dog
B. cash cow
C. top gun
D. star

Business

1 answer:

a_sh-v [17] · Answer 1 · 2023-06-13T17:57:43+03:00

Answer:

A. dog

Explanation:

The Boston Consulting Group growth share matrix is a graphical representation used in planning which of a companie's products should be kept, discarded, or invested more in.

Four categories of products are stars, dogs, cash cow, and question mark.

Dogs have low market share and low growth rate. Options for handling such products are selling, repositioning, or liquidation.

Demand for building materials has dropped due to the slowdown in new housing construction and the company is considering bclosing its fine wood division that produces mahogany and cherry lumber for building cabinets and other applications.

This division is most likely a dog