The-definition.com

Definition

Cash cows

 Cash cows are businesses with a relatively high market share in low-growth markets or industries. Because of their strong competitive positions and their minimal reinvestment requirements, these business often generate cash in excess of their needs. This type of business typically generates more cash than is needed to grow or reinvest.


Cash cows means business segments, having a high market share in low growth product markets, which generate more cash flow than needed for reinvestment.

Share it:  Cite

More from this Section

  • Business cycles
    Business cycles is the upward and downward movement of aggregate output produced in the ...
  • Rational expectations
    Rational expectations is the expectations that reflect optimal forecasts (the best guess ...
  • Capacity
    Definition of Capacity: Capacity is the ability to accumulate a certain amount of something ...
  • Indexed bond
    Indexed bond is a bond whose interest and principal payments are adjusted for changes ...
  • Yield on a discount basis
    Yield on a discount basis is the measure of interest rates by which dealers in bill markets ...