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Star Engineering Company Ltd.

CASE 2
Problem

Deciding how to allocate the funds to


various products.
• Product A : Transformer Coils

• Product B : Cable Jointing Kits, Jelly Filled Cables

• Product C: Electric point Machines

• Product D: Steel Forgings

• Product E: Switch Mode Power Supply (SMPS)


Business Marketing Research
• Market Share Analysis
Transformer Coils -20%
Steel Forgings - 5%
Switch Mode Power Supply (SMPS) - 6%

• Sales Analysis
Transformer Coils - Growing @ avg 25%
Electric Point Machines - Demand Growth @ 7% to 8%
Steel Forgings – Domestic market 8% to 10%
Switch Mode Power Supply (SMPS) - @20% per annum
• Competitor Analysis
Electric Point Machines –highly in demand

• New Product Acceptance and Potential


Switch Mode Power Supply (SMPS) was launched 6 months back.
BCG MATRIX
STARS QUESTION MARKS
PRODUCT C
MARKET PRODUCT A PRODUCT E

GROWTH

RATE
CASH COWS DOGS
PRODUCT D PRODUCT B

Relative Market Share


2 Factors that are affecting the demand of
the product strategy:
PRODUCTS Technology Product Life cycle

Transformer Coils 2 Crore -

Cable Jointing Kits, Jelly - Decline


Filled Cables

Electric point Machines 2.50 Crore Growth

Steel Forgings 1.50 Crore Maturity

Switch Mode Power 5 Crore Growth


Supply (SMPS)

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