The paper "Great Answers to Tough Marketing Questions" is a perfect example of a Marketing Case Study. The software and hardware market for products in the IT industry have merged to include those in the telecommunication, and specifically, mobile telephony. An extra sector of this particular industry would be that which directly deals with the internet. In this regard, Microsoft Australia has had to increase its marketing campaign so as to boost its share of the market segments that are particularly in need of improved products. Microsoft Australia is currently enjoying an increasing market share in the Windows 8 tablet market.
In addition to its traditional software products, it also plans to buy into an agency media planner company, Adtech, which currently has a hold of 76% market share in this industry. Finally, in the Windows phone based handsets, Microsoft’ s market stands at less than ten percentage points, though is showing signs of increasing popularity. The PESTL analysis will be used as a guide in developing steps necessary for Microsoft Australia in trying to gain a chokehold on the various sectors.
A market mix will be done through the 4 “ P” analyses to further show how market segmentation can be done. At the end of this report, recommendations will provide a guideline as to how Microsoft Australia may need to act so as to gain bigger market shares. This report’ s time-frame is one year (Edwards, 2013). Environmental Scan An environmental scan of the current market situation in the Australian IT industry in which Microsoft Australia does business is critical in order to develop a set of strategies that may be employed by the company is trying to garner a bigger market share in the immediate future.
In doing so, current and future issues will be looked into so as to establish precise actions that may be taken to ensure that safer strategies are employed. First off, a study of the organization is meant to give a general condition of its various operations. Secondly, a look at its competitors or industry mirrors the factors they effect on Microsoft. A PESTL analysis further shows an array of internal and external factors affecting business. The Organization As indicated by the SWOT analysis (see Appendix A), the strengths that Microsoft Australia exudes includes very high product differentiation, provision of various services with particular focus on multiple-pronged approach towards IT-based solutions, a high frequency in providing technologically improved software and gadgets like the Windows 8 tablet and operating systems for phones, and finally, catering for the needs of most users of Microsoft Windows products in the personal computer range.
The market in the PC users is the largest single share in any product offered by Microsoft. The weaknesses lie in Microsoft’ s high prices attached to its products, a high number of upcoming competitors who provide equally good IT solutions and the piracy of software by hawkers.
For instance, the streets of Melbourne are littered with relatively cheap and pirated copies of Windows 8 OS. Opportunities have presented themselves in the form of various mobile phone manufacturing companies, which use Windows 8 as their preferred mobile phone OS. And finally, the threats arise from a plethora of factors. First off, the high prices associated with Microsoft Australia products does not match those found elsewhere in the global market.
Suffice to say Microsoft products are the most expensive in Australia. Having this in mind, the second threat is that most of Microsoft’ s competitors e. g. Apple and Adobe produce relatively cheaper products like software. Lastly, the IT-solutions industry is far too differentiated to have a good grip on the whole market (SC Australia Staff, 2013).
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