![]() ![]() In a diversified company, each business unit is an SBU. In the BCG matrix, SBU(Strategic Business Unit) is a company that has a separate mission and objectives and can be planned independently from other company businesses.įor example, a company division, a product line within a division, or sometimes a single product or brand.Ī strategic business unit (SBU) is a relatively autonomous unit of a firm. What is the Strategic Business Unit (SBU)? Setting strategic objectives for each SBU.Comparing each SBU against other SBUs with the help of a matrix (two-dimensional).Determining the prospects of each SBU of the organization.Companies use the BCG matrix is as a portfolio planning tool. These SBUs form the ‘business portfolio’ of the company. Diversified companies having several SBUs (Strategic Business Units) use the BCG Matrix. ![]() In the BCG matrix, SBU(Strategic Business Unit) is a unit of the company that has a separate mission and objectives that can be planned independently from other company businesses.
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