What is the systematic evaluation of product lines, brands, and business units to determine allocation of organizational resources called?
AGap Analysis
BPortfolio Analysis
CValue Chain Analysis
DCompetitive Benchmarking
Explanation
* Strategic Portfolio Analysis evaluates the company’s collection of businesses and products (SBUs) to optimize resource allocation.
* Analytical tools include the BCG Matrix (Growth-Share) and GE/McKinsey Matrix (Industry Attractiveness-Business Strength).
* SBUs with high future potential receive strategic investment, while weak SBUs are harvested or divested.
Exam Relevance
- Topic: Strategic Planning
- Subtopic: Portfolio Management

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