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Business General Electric at Artieda 2011

Business General Electric

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It is generally known as the Screen Business General Electric, since it was initially developed to assess the business portfolio of the U.S. conglomerate, which by then had about 150 units of strategic analysis (UEA). General Electric, too UEA then had to have a clear strategic focus of each, so asked McKinsey to help set your business portfolio and decide which to invest in them and which remain outstanding. There are many variations on the McKinsey Matrix, and each order is usually the axes of different ways, but always it is a matrix of 9 cells, with one axis represents the degree of attractiveness of the market (low / medium / high), and the other the strength of a business unit (low / medium / high). The horizontal axis measures the competitive position normally a Strategic Analysis Unit, while the coordinate axis measures the profitability of the UEA.In its 9-cell are positioned several pie charts with variable size. Each represents a Strategic Analysis Unit in the portfolio of businesses. On the one hand the size of the circle represent the market size (the larger the market, the greater the circle), and on the other hand, the circle becomes a pie chart which represent the market share of the company in that UEA. The analysis is complemented with arrows coming out of the pie G fica, indicating the expected future evolution of the UEA. The McKinsey Matrix complements and enhances the Boston Consulting Group, and nearly thirty years after its invention, it remains one of the most widely used strategic tools in identifying and evaluating the activities of a company.

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