“A company should have a portfolio of products with different growth rates and different market shares. Given all that, is the BCG growth-share matrix still relevant? Yes, but with some important enhancements. The matrix is central in business school teaching on strategy.Īt the same time, the world has changed in ways that have a fundamental impact on the original intent of the matrix: since 1970, when it was introduced, conglomerates have become less prevalent, change has accelerated, and competitive advantage has become less durable. Harvard Business Review recently named it one of the frameworks that changed the world. Companies continue to need a method to manage their portfolio of products, R&D investments, and business units in a disciplined and systematic way. More than 40 years after Bruce Henderson popularized BCG’s growth share matrix, the concept is very much alive. Technology, Media, and Telecommunications.
