Space Matrix

Financial Position

Rating

Stability Position

Rating

ROI

Purchasing Power

-3

Profit

Barriers to entry

-2

Sales Growth

Risk involved in business

-2

Cash flows

Ease of exit from market

-2

Industrial turnover

Political environment

-5

Average

3.20

Average

-2.8

Competitive Position

Rating

Industry Position

Rating

Price

-4

Taxation

Technological know how

-4

Profit Potential

Product Quality

-2

Financial Stability

Market share

-1

Growth Potential

Brand

-2

Resource utilization

-2.60

Average

Average

2.20

Following factors we are choose to manipulate the space matrix of Mitchells and on basis of
these factors space matrix of Mitchells can complete.

Calculations
X-AXIS

+2.20 - 2.60

-0.40

Y-AXIS

+3.20 - 2.80

0.40

Directional Vector Point is (-0.40, 0.40)

Space Matrix

FS
Aggressive

Conservative

CA

IS

Competitive

Defensive
ES

Mitchells is located in conservative quadrant of the space matrix. Therefore, market

penetration, market development, product development, related diversification
can be feasible, depending on the specific circumstances that face the firm.

Mitchells Strategy
Mitchells can lie in conservative path and used Related Diversification Strategy in
its operation because it is widely used depth in its existing product range.

Boston Consulting Group (BCG)

Boston Consulting Matrix is designed specially to enhance a multidivisional firm efforts to
formulate the strategies.BCG allows to Mitchells a food processing company to manage its
portfolio of business by examining the relative market share and industry growth.

In BCG, we take two divisions of Mitchells according to their sales revenue.

1- Groceries Items
Jam Jellies and Marmalade
Squashes and syrups
Ketchups and sauces
Canned Food
Pickle and Vinger
2- Confectioneries Items
Chocolates
Sugar confertioneries

Relevant Market Share

As Mitchells is market leader so, its Relevant Market Share is 1.00

Industry Growth

We can calculate industry growth rate according to our competitors in industry.

Boston Consulting Group (BCG)

Divisions/Items

Revenue

Revenue

Profit

Profit %

RVMS

Industry
Growth

Groceries

950 M

53%

708 M

58%

17%

Confectioneries

844 M

47 %

512 M

42 %

13%

Total

1794

100

1220

100

BCG MATRIX

Relative Market

Share

I
n
d
u
s
t
r
y
G
r
o
w
t
h

High (1.0)
High

58
%

42
%

Low (-20)

Medium (0.5)

Low (0.0)
(+20)
17
13

THE INTERNAL-EXTERNAL (IE) MATRIX

It helps to position an organizations various divisions in a nine cell display. By using this
matrix we can plot organizations divisions in a schematic diagram.

The IFE Total Weighted Score

Strong

Average

Weak

3.0 to 4.0
I

2.0 to 2.99
II

1.0 to 1.99
III

IV

IV

VI

VII

VIII

IX

High
3.0 to 3.99

The EFE
Total
Weighted
Score

Average
2.0 to 2.99

Low
1.0 to 1.99