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In business what is a cash cow?

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Question added by Rehan Qureshi , Financial Consultant , Self Employeed
Date Posted: 2014/01/10
Fazal Ebrahim Dawood
by Fazal Ebrahim Dawood , Chief Executive Officer , Stardist Ltd

A consistently profitable business, property, or product whose profits are used to finance a company's investments in other areas

Rehan Qureshi
by Rehan Qureshi , Financial Consultant , Self Employeed

A cash cow is often a profitable product or service that dominates a market and generates far more cash than is needed to maintain its market position. Companies may use the money from the cash cow to develop new products or to acquire other businesses. The term cash cow is also used to describe a division or segment of a company that consistently generates substantial amounts of excess cash.

Mohammad Tohamy Hussein Hussein
by Mohammad Tohamy Hussein Hussein , Chief Executive Officer & ERP Architect , Egyptian Software Group

The product/service which generates most of the company's company's revenue without the need to reinvest in it.

Jose Miguel Lucas Martins
by Jose Miguel Lucas Martins , IT Director - Robotic Process Automation (RPA) , Novo Banco

A business that generates lots of net proffit (cash) and that has achieved maturity

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