A sample question mark might be Google Translate and Apple Watch, a star Microsoft Surface, a cash cow Google Search and Microsoft Windows, and a pet the iPod family.
Pets, finally, exhibit low growth and offer few benefits. Cash cows are products characterised by low growth, but they offer plenty of business benefits. Stars show high growth and deliver the desired benefits.
It shows that with the data collected its staple services like the Xbox and Windows Operating System are in line with their respective quadrants, as well as its newer services like Azure having great potential in future business.Question marks are products with high growth that don’t yet deliver significant business benefits - be it generating revenue, selling other products or services, enhancing the brand equity, or saving money. In conclusion, with the given data, I would certainly say that the BCG-matrix would be worth the company’s time. With these figures in mind, it’s understandable why the BCG-matrix has it listed under “star”. The estimated market growth is a respectable 19% with its revenue standing at around 10.35 billion. The Xbox has long been a staple gaming console for many consumers and it shows with its market share standing at 53%, with Sony’s PlayStation 4 coming in behind at 31%. The last product I’ve chosen is as synonymous with Microsoft as Window’s. With the projected growth being as high as it is, we could see consumers making switches from AWS to Azure in due time. But, with such a new technology that Microsoft’s Azure is, it’s hard to say for now who will come out on top. The BCG-matrix has Azure listed as a “question mark” due to its relatively low market share in comparison to the overall projected growth. The astounding figure that stands out to me the most would be that the projected growth in cloud services is estimated to be 72% in the next year alone. Their market share currently stands around 13% with Amazon’s own Amazon Web Services (AWS) currently dominating the field with 32%.
It provides businesses with services like computing, storage, databases, and software.
Azure is a cloud computing software that is relatively new being founded in 2010. The second product analyzed is Microsoft Azure. I landed on these three due to the degree in which they dominate their individual field. The products and services that I will be analyzing include: Windows Operating System, Microsoft Azure, and the Xbox One. I chose this company because of my daily use of their products. The company that I have chosen to showcase is Microsoft. It’s no wonder that a product like Windows lands itself under the “cash cow” quadrant. When you stop to consider Windows sells its operating system to many desktop and laptop manufacturers, the numbers begin to add up. Although I was amazed to see that the actual percentage of Windows usage is so high compared to the nearest competitor, in hindsight it’s not all that surprising.
The nearest competitor, Apple, coming in with their own operating system, Mac OS, accounts for only 12.52% of the market share. Starting with their best known service, Windows OS, I was amazed to see that their market share for this particular service made up an astounding 82.88%.