Strategic Analysis of Microsoft

Extract

[...] Nonetheless, there exists a certain level of consumer loyalty to the products designed and developed by Microsoft Corporation for the gaming markets; users of the Xbox series and Microsoft's game streaming services do not easily switch to other consoles and software designed by Microsoft's competitors within the market as they have developed proficiency in the usage of such products. Regardless, the competitive rivalry remains significantly high for Microsoft Corporation. The Threat of New Entrants - Medium The threat of new entrants remains low within Microsoft's software and gaming business, largely as a result of high entry barriers. [...]

[...] Strategic Analysis of Microsoft Author Author Affiliation Course Instructor Date Introduction Apart from Microsoft being the designer and developer of the Windows Operating System, the company has been known for being innovative within other sectors, especially cloud service. However, the technology industry has witnessed some considerable changes and competition over the years with companies such as Apple and Google, as well as other cloud service organizations, which have intensified against Microsoft's services and products. And to find fast growth and development, Microsoft has invested heavily in expansion and innovation of services and products, a strategy that grew its revenue from 86.7 billion dollars to 93 billion dollars from 2015 to 2017, with most of the increased revenue getting attributed to its cloud business operations. [...]

[...] The suppliers, large in number, supply critical components necessary in the development of gaming hardware such as the consoles, and often feel prestige and a sense of satisfaction to get labeled as the suppliers of Microsoft Corporation. And since the switching cost for suppliers often remains low, many of the suppliers are often not able to influence prices or bargain. Hence, the bargaining power remains relatively low against Microsoft. Bargaining Power of Buyers - Moderate Consumers who make use of Microsoft's products and services less often switch to products designed by Microsoft's competitors, even when the products may have the same quality or perform the same function. [...]

[...] E. (2020). Unveiling the technological trends of augmented reality: A patent analysis. Computers in Industry Sehgal, G., Kee, D. M. H., Low, A. R., Chin, Y. S., Woo, E. M. [...]

[...] Robust Distribution Channels Microsoft works exceptionally well with all major hardware producers, including Toshiba, Samsung, Dell, Lenovo, and Hewlett Packard, to make sure produced Personal Computers get sent to the market with pre-installations of Windows Operating System, as well as other Microsoft products such as Office. The companies further invested in Nokia and Dell to tighten their relations with the organizations. Weaknesses Poor Investments and Acquisitions It is worth noting that just a few of Microsoft's acquisitions have proven successful and yielded not just income but also competencies and new skills for the organization. LinkExchange, WebTV, Danger, and Massive have been just a few of the multimillion-dollar acquisitions made by Microsoft but later divested or shut down. [...]