Bcg Matrix Of Reliance Pdf

One of the tool is BCG Matrix. According to BCG matrix; Question mark are those segments which, operate in high sales growth industry and have low relative market share. DZIENNIK USTAW Z 2006R.NR 137 POZ.984 PDF. These are low growth or low market share products and have very few chances of showing any growth. BCG Matrix of Reliance Jio Revolutionizing Indian Telecom The BCG Matrix is an important tool in deciding whether an organization should invest or divest in its strategic business units. The matrix involves placing the strategic business units of a business in one of four categories; question marks, stars, dogs and cash cows.

Bcg Matrix Of Reliance Pdf

RIL or Reliance Industries Limited is the holding and Conglomerate Company of India, whose headquarter is located in Maharashtra, Mumbai, India. The company owns several other businesses across the India, by engaging in petrochemical, energy, natural resources, textile, telecommunications and retail. The Reliance is known as one of the leading and most profitable company of India, and ranked as the biggest “publicly trading company’ in India by the market capitalization. It is the second leading company in terms of revenue generation in India. The Reliance Industries has the honor to be a first company in India who breached market capitalization of $100 billion. As the company is operating different businesses, it is necessary for the company to evaluate which business is profitable for Reliance industries, and which needs to shut down. This could be done easily with the help of BCG matrix (RIL, 2018).

BCG matrix helps in categorizing the products or the business units among four quadrants, which are; stars, cash cows, dogs and question marks. The analysis is done by considering two main aspects, which are, market growth and market share. The businesses are analyzed in this manner for the companies to make effective decisions (Hanlon, 2018). The BCG matrix of Reliance Industries Limited is as follows;

Bcg Matrix Of Reliance Pdf

Cash Cows

Cash Cow quadrant in the BCG matrix is comprised of the products, which have low market growth but high market share in their relevant industry. In addition to this, the industry has the potential to grow but efficient strategies are needed to be made. The company plays in volumes, thus satisfying the high demand of the consumers. Rangers Farm limited is the cash cow for the Reliance industries, as it deals in fruits, vegetables and other consumer products which has not achieved much dominant space in the market. Low level of growth is been observed here with high level of investment (Gandhi, 2009).

Stars

Bcg Matrix Of Reliance Pdf Format

According to a framework of the BCG matrix, the star products possess the high market share and also the high level of market growth rate, which means products have the good future ahead in the industry and still progressing. To be a star product, it is necessary for it to be a good income source, and has the high market share. The rating of the Reliance Industries Limited has reflected on the global scale of the company’s integrated operations with powerful position among rivals in the core oil refining and petrochemical industries with intermediate risk of the financial profiles (RIL, 2018).

Question Marks

Matrix

This matrix also pay attention on services or products, which seems to have unpredictable future and termed it as the question mark or the problem child, because they need special attention of the management. Such products can become the prime candidate for a company because of poor performance, or become a success case by bringing good amount of earning in the company. Reliance Petroleum Limited is the question mark in the present market condition of the company. It is equalizing the growth rate but low level of investment (Sayan, 2018; RIL, 2018).

PdfBcg Matrix Of Reliance Pdf

Dogs

The dogs consist of the products which are performing poorly and bringing no return in the company. It has low market share and low market growth rate. The low percentage of income reflects to the low sales value and the reason could be anything. The continuous low profits despite of the investments, might cause it towards divestment. The business of petrochemical is in danger because of recession. The revenue falls to $10.4 billion marginally. This caused the low market share in highly low rate of growth (Gandhi 2009).

References

Bcg Matrix Of Reliance Pdf Online

Gandhi, A. 2009. Bcg Matrix + Porters Five Force Model. [Online], Available at: https://www.slideshare.net/anujgandhi30/bcg-matrix-porters-five-force-model-anuj-gandhi, [Accessed on: 4th September, 2018].
Hanlon, A. 2018. How to use the BCG Matrix model. [Online], Available at: https://www.smartinsights.com/marketing-planning/marketing-models/use-bcg-matrix/, [Accessed on: 4th September, 2018].
RIL, 2018. About Us. [Online], Available at: http://www.ril.com/OurCompany/About.aspx, [Accessed on: 4th September, 2018].
Sayan, 2018. Reliance Industries Limited. [Online], Available at: http://www.authorstream.com/Presentation/sayantanhitk-1538487-reliance-inustries-limited-oec/, [Accessed on: 4th September, 2018].