A product portfolio is used to examine all the products held by a firm to identify strengths and potential. An example of a product portfolio analysis is the Boston Matrix. The Boston Matrix is made up of a grid with 4 boxes in it as shown below:
stars
problem children
cash cows
dogs
Products in the top left box are known as stars and have high market share of a high growth market.
Products in the top right box are known as problem children and have low market share of a high growth market.
Products in the bottom left box are known as cash cows and have high market share of a low growth market.
Products in the bottom right box are known as dogs and have low market share of a low growth market.
