Concise BCG Matrix of ITC Limited Company

In the world of business and marketing, companies are constantly seeking ways to evaluate their product portfolio and strategize for growth. That’s where the BCG Matrix comes in; a popular tool used to analyze a company’s products and assist them in making decisions regarding which products to invest in for growth and which ones to discontinue. In this article, we will be analyzing the BCG matrix of ITC Limited.

Overview of ITC as a Company

ITC Limited, formerly known as Indian Tobacco Company, is a diversified conglomerate headquartered in Kolkata, India. The company has a presence in multiple sectors including FMCG, hospitality, agriculture, and information technology. ITC has a market capitalization of over USD 50 billion and employs more than 36,000 people. Its flagship products include cigarettes, hotels, paperboards, and packaging.

With a focus on sustainable business practices, ITC has established itself as a market leader in various industries.

Introduction to BCG Matrix

In the world of marketing, the BCG Matrix is a widely-used tool to classify different business units or products into four categories: Dogs, Stars, Cash Cows, and Question Marks. This matrix is based on two factors: relative market share and market growth rate.

The BCG Matrix is a useful tool for making strategic decisions, as it helps to identify which products or business units are worth investing in and which ones are not.

In this blog on the ITC BCG Matrix, we will see how this matrix can be applied to one of India’s preeminent private sector organizations. Understanding the BCG Matrix is essential to identify the strengths and weaknesses of each business division of ITC and to make sound decisions based on this analysis.

BCG Matrix of ITC

BCG Matrix For ITC


Moving on to the Stars category in the ITC BCG Matrix analysis, there are some examples that come to mind. These are ITC’s paperboard and packaging business, its premium range of products including Hotels, the Agribusiness sector, and its fast-growing packaged foods segment.

These businesses have high market share and are operating in high-growth industries. As a result, they require a significant amount of investment to continue their growth trajectory. And that’s exactly what ITC has been doing – allocating resources to these business units.

While this may come at a cost in the short term, it is a smart move in the long run as it will help ITC secure its position as a market leader and ensure sustained growth.

Cash Cows

Cash cows are products that have a high market share in a low-growth market. For ITC, one prime example of a cash cow is their cigarette line. The cigarette market in India has been fairly stagnant in recent years, yet ITC holds a dominant position with more than 75% market share.

Another cash cow for ITC is their FMCG (Fast-moving consumer goods) segment. ITC’s FMCG products like Aashirvaad atta and Bingo chips have a strong market presence in India, providing a steady stream of cash flow.

ITC should continue to focus on these cash cows while investing in new opportunities. By doing so, they can ensure their sustainable growth while maintaining their market leadership position.

Question marks

When it comes to the BCG Matrix analysis of ITC, Question Marks are the business units that have low market share in a high growth industry. These products require significant investment to increase their market share and make a profit. Here are three examples of Question Marks in ITC’s portfolio:

Firstly, ITC’s FMCG Personal Care business falls under the category of Question Marks. While the personal care industry is growing rapidly, ITC has a relatively low market share in this sector. Hence, it needs to invest more resources to grab a larger market share.

Savlon, ITC’s antiseptic brand, is another example of a Question Mark. Although Savlon is a well-known brand in the antiseptic market, its market share is modest compared to the other players in the industry. Therefore, ITC needs to invest more in this product to increase its market share.

Therefore, ITC must carefully analyze its Question Marks and decide if investing in them would generate adequate returns in the long term. If done correctly, the Question Marks can potentially become Stars, generating significant profits for the company.


The BCG matrix analysis of ITC categorizes dogs as products that have a low market share in a slow-growing industry. Dogs are usually a drain on company resources and do not generate substantial profits.

However, dogs are not always a liability for a company. They can still contribute to a company’s overall portfolio and brand image.

For instance, its stationary products can be considered as dogs in the BCG matrix analysis. Although these products have a low market share, they play a vital role in maintaining ITC’s brand image and reputation.

The ITC InfoTech can also be considered as a “Dog” due to its low market share and low market growth rate.

Another example of a dog in ITC’s product portfolio is their entry into the dairy segment with products like milkshakes and yoghurts. Even though this product line is struggling to gain market share, it is essential for ITC to diversify its product offerings in different segments.

Therefore, dogs, although not profitable, can still play a crucial role in a company’s overall growth strategy.

Implications for ITC’s Future

The implications for ITC’s future based on the BCG Matrix analysis are significant. As per the analysis, ITC has a few star products that have high growth potential and market share, but they need to invest significantly in those products to maintain their success.

The analysis also identified some cash cow products that generate substantial cash flow and need to be maintained but not invested in heavily.

Additionally, there are some question mark products that have potential but require further analysis and investment to succeed.

Finally, ITC needs to reassess its dog products and either invest in them to turn them into stars, or divest from them entirely.


To sum up, the BCG Matrix analysis of ITC has given helpful information about the company’s current performance and its ability to expand in the future. The research has identified several products falling under the categories of stars, cash cows, question marks, and dogs. It became clear that ITC’s tobacco division is its strongest contributor to the company’s earnings.

On the other hand, the company needs to focus on its other product lines, such as fast-moving consumer goods, to increase their market share and profitability.

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