Essays on Business and Microsoft Corporation Case Study

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The paper 'Business and Microsoft Corporation' is a wonderful example of a Business Case Study. Microsoft Corporation is a multinational company whose headquarter is at Redmond, Washington. It develops, manufactures, certifies, and supports an extensive assortment of commodities and services for businesses and consumers. Microsoft was founded in 1975 by Paul Allen and Bill Gates. It is known globally for its operating system and office line of products such as Excel, Internet Explorer, Word programs, and PowerPoint. In the consumer electronics market, Microsoft offers Xbox 360 and Xbox video games as well as the Zune music device.

In the entertainment arena, it operates the MSNBC network of cable television and MSN internet gateway. Microsoft launched a fresh search engine known as Bing in mid-2009, which is intended for gaining knowledge and insight from the internet. Microsoft Windows forms the firm’ s flagship merchandise and generates the biggest portion of its earnings. Microsoft leads in the operating system’ s market with a market share of 96.6 percent (Batchelor 2012). SWOT Analysis of Microsoft Strengths Drawing from Thompson (2001, p. 558), Microsoft’ s key strength is a strong brand name that is recognized across the globe as the biggest software company in the world.

Besides its well-known brand name, the company has a strong repute for the manufacture of innovative and quality products. In this case, Microsoft’ s products and services are known by a big global population, which makes it easy for the company in marketing its products. The strong brand name also gives Microsoft a competitive advantage over rivals, especially small and upcoming software companies. In addition, its software products such as Word, Excel, Access, and PowerPoint are highly recognized and also have high broad-based consumer and corporate acceptance.

The products also have a number of powerful traits that are used globally, which in turn promotes competitive advantage and standardization through their simplicity of integration along with cost-effectiveness. Moreover, Microsoft has a relatively fast process of developing products which allows for apt new products’ review and release. As a result, it is able to draw and retain customers’ interest in its products throughout. Furthermore, Microsoft is a multinational corporation carrying out its business operations through regional subsidiaries in order to minimize cultural differences in over 60 countries and eliminate the challenges of cultural diversity.

Additionally, it has a top-ranking from Fortune as the best firm to work for and most admired, which boosts its reputation globally. Microsoft also has a flexible workforce with contingent employees being hired for seasonal projects and thus, it is able to meet market demand for various products (Thompson 2001, p. 558). Weaknesses Microsoft’ s greatest weakness is its high dependency on manufacturers of hardware to pre-install its personal computers’ operating system. This puts it at stake because any major changes on the manufacturers’ side like low production level or low-quality products can hardly affect Microsoft resulting in huge financial losses.

Another major weakness is its frequent reorganization, autocratic atmosphere, and red tape, which dampen employee creativity resulting in a loss of important personnel, as well as chilling of innovation and communication. It is also perceived by several people as a ruthless rival that uses its market leadership to marginalize rivalry through the destruction of the products of its competitors, suppressing product innovation, and reducing the access to competitor products.

This sometimes causes the company to have poor relations with its competitors (Thompson 2001, p. 560).

References

Batchelor, B 2012, History of the Microsoft Corporation, [Online]

Available at: http://www.ehow.com/about_5089170_history-microsoft-corporation.html

[Accessed 29 November 2012].

Bishop, T 2004, Studies on Linux help their patron: Microsoft, Seattle Post-Intelligencer, 27 January.

Carlton, DW 2000, The Lessons from Microsoft, Business Economics, 12(1), pp. 47-53.

Microsoft 2012, A Vision and Strategy for the Future, [Online]

Available at: https://www.microsoft.com/about/diversity/en/us/vision.aspx

[Accessed 29 November 2010].

Microsoft 2012, Microsoft Accessibility, [Online]

Available at: https://www.microsoft.com/enable/microsoft/mission.aspx

[Accessed 21 November 2012].

Thompson, JL 2001, Understanding corporate strategy, London, Thomson Learning, cop.

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