BCG Matrix

Hi Ken,

I am looking at the June 2022 paper Qii here for your reference (https://www.acowtancy.com/exams/acca-apm/cbe-question/feb-2025-genuine-1ii-t-3?fsid=0a8bd4516e56659dd8146fc719652c66940455cc)

I wanted to clarify some KPIs I identified for Essan (the Star) and Fada (the problem child).

For Essan, I identified revenue growth as a KPI as I explained that Stars should be heavily invested in in order to support its growth, therefore to see if this investment has positively contributed to performance you would expect to see strong revenue growth, hence I identified this as a KPI.

I can see the markscheme says ROI or RI which I understand but would revenue growth also score any marks here?

Could marketing spend have been a KPI too? The scenario mentions Essans product requires heavy spend on brand-building so for marketing cost you would expect significant spending to maintain relevance since there is high competition and the division would need to demonstrate through this marketing why its premium fridges are high quality for its target audience of wealthier markets.

For Fada, the problem child I thought that profitability of each product would have been an important measure because if there are weak financial results and technical difficulties this would drag down the overall performance of Calavie?

The markscheme identifies revenue growth here, but surely if its a problem child profitability would be relevant too? The markscheme points out the fact they are in early stages of development so profit-based measures may not be suitable, so im guessing my answer there would not have scored any marks can I confirm this please?

Also, maybe I am thinking/looking at this through the wrong lens but where the markscheme also identifies R&D for the problem child, my brain doesnt seem to understand why. Wouldnt R&D be pointless for a problem child because you wouldnt want to waste more time researching a problematic product?

Thank you!