GE / McKinsey Matrix - Definition & Meaning
What is GE / McKinsey Matrix?
GE Matrix or McKinsey Matrix is a strategic tool for portfolio analysis. This strategic portfolio analysis tool has been initially developed by GE and McKinsey.
This tool compares different businesses on "Business Strength" and "Market Attractiveness" variables, plus the size of the bubbles represents the market size and allows the business user to compare business strength, market attractiveness, market size, and market share for different strategic business units (SBUs) or different product offerings.
The GE matrix has nine cells. Based on its position, a strategic business unit can make any of the three resource allocation recommendations:
- Grow
- Hold
- Harvest
Also known as GE Business Screen
This article has been researched & authored by the Business Concepts Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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