In the Boston Matrix, which term describes a business unit with high market share but low market growth?

• A. Star - hold or build
• B. Question Mark
• C. Dog
• D. Cash Cow - hold or harvest

Answer: (D)

In the Boston Matrix, the axes are market growth and relative market share. A business unit that has a high market share in a low-growth market sits in the Cash Cow area. It dominates the market, so it can generate strong, steady cash with relatively little investment to maintain it. The strategic aim for this unit is to hold or harvest: keep it operating efficiently to extract cash that can fund other parts of the portfolio, rather than pouring more capital into it.

This fits because a Star would be high growth with high share and needs ongoing investment; a Question Mark has high growth but low share and requires significant investment to try to increase share; a Dog has low growth and low share and is typically divested or minimized.