The star principle

There are four kind of business;

The cash cow businesses are companies with high market share. Their growth rate is too slow.

Dog companies are the following companies in lower growth markets.

Question marks are the companies growing rapidly  but because they have low market shares they do not generate much cash. The result is a large net cash consumption.

Stars are the leaders in high growth markets. They provide increasing and higher returns.

To be successful, you should start a star business, or be associated by a star business. A star business is the leader in its market niche; and the market niche is growing fast, at least 10 per cent a year. It can be a lot of definitions about  a star bussines but the basic conception is that for a niche to be a separate market it must have different costumers different products or services and a different way of doing business. From main market or other markets.