The BCG (Boston Consulting Group) matrix is a tool used by companies to evaluate their business units or product lines based on two dimensions: relative market share and market growth. The matrix divides the business units or product lines into four categories: stars, cash cows, dogs, and question marks.
Stars are business units or product lines that have a high market share in a growing market. These units or lines generate a lot of cash and are considered the main growth drivers of the company.
Cash cows are business units or product lines that have a high market share in a mature market. These units or lines generate a lot of cash, but they do not contribute to the growth of the company.
Dogs are business units or product lines that have a low market share in a mature market. These units or lines do not generate much cash and do not contribute to the growth of the company.
Question marks are business units or product lines that have a low market share in a growing market. These units or lines may have potential for growth, but they require a lot of investment to catch up with the competition.
Now, let's apply the BCG matrix to Reliance, a diversified conglomerate company in India.
Reliance has several business units and product lines, including telecommunications, retail, petrochemicals, and energy.
The telecommunications unit, Jio, can be considered a star. Jio has a high market share in the growing telecommunications market in India and has been a major growth driver for Reliance.
The retail unit, Reliance Retail, can be considered a cash cow. Reliance Retail has a high market share in the mature retail market in India and generates a lot of cash, but it does not contribute much to the overall growth of the company.
It is difficult to classify the petrochemicals and energy units as either dogs or question marks because these industries are subject to fluctuations in demand and prices. However, the petrochemicals unit may be considered a cash cow due to its high market share and cash generation, while the energy unit may be considered a question mark due to its low market share and potential for growth.
Overall, the BCG matrix can help Reliance identify its growth drivers and allocate resources accordingly. It can also help the company make strategic decisions about which business units or product lines to invest in and which ones to divest.
Customer Relationship Management of Tesco Free Essay Example
Tesco should react by innovating new ways to reward its loyal consumers, to avoid losing them to its competitors. In 2007, the revenue that the retail chain realized as a result of non-UK operations increased by 18 percent in February 2007, compared with a similar period in 2006. So Customer loyalty is the key objective of customer relationship management and describes the loyalty, which is established between a customer and companies, persons, products or brands. Demographics: The demographic details elaborate the population distribution and segmentation according to the age, income pattern, family size, population growth and other population related factors. This will help in knowing and making available any product or brand that the customers desire the most. Multi-channel client management is therefore a marketing function of customer-centric, different from ancient sales-channel research that concentrates on the firm as well as distributors Rangaswamy et al 2005.
Tesco The Customer Relationship Champion Marketing Essay
The importance of customer service differ with respect to the industry in question, the products that are on offer, and also on the basis of the individual customers, in terms of their tastes and preferences. Training is a program organized by the organization to develop knowledge and skills in the employees as per the requirement of the job. Additionally, Tesco has a comprehensive strategy for building stronger customer relations. Systems like this allows Tesco to package commercial messages, then make information available to a global audience easily, without irritating the customer by sending them letters via the post as the customers will get a regular update through their phone app. The age of Internet marketing has really caught the attention of a majority of the marketers and customers alike. Tesco PLC will then try to make the customer a client through making the customer a client, they will do this through making the customer use the organisation services such as telecommunication, banking etc, by buying in to such services makes it harder for customers to exit.
Tesco customer relationship management
Tesco has continually ensured that customers have confidence and trust through the delivery of quality services, the implementation of effective and fair pricing strategy, and the promotion of excellence and reliability Tesco PLC, 2017. The business survived and soon it emerged as the leading grocery providers in the country. Tesco really has a vision to understand References: Robert, K. Therefore Tesco concentrated on the individual customers. As has been noted above, after the introduction of the card, Tesco was able to gain the majority market share and become the leading supermarket in the UK. The club card has played an important role in enhancing the loyalty of consumers to Tesco Mollah, 2014. Furthermore, Tesco has also established overseas operations, in a bid to provide for the needs of its growing customer base not only in the UK, but also abroad.
