Microsoft Project
Summer 2006
BUS 597A
INTRODUCTION
In 1975, Bill Gates and Paul Allen created a company called Microsoft. More than thirty years later, Microsoft is a leader in the field of computer programming. Gates and Allen both had big plans for their company and came up with different ways of managing people and products
in order to create possibly the most effective and versatile workforce of any corporation in existence. To study Microsoft's way of doing business is to look at the company from many angles, from a managerial and organizational standpoint to its process of developing products and services for its customers and its competitive environment. The purpose of this paper is to analyze Microsoft from a strategic fit
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Microsoft's core competency is software development, which has led to the creation of massive sales of software applications. Microsoft has a competitive edge because of the control it exerts in the operating systems segment of the industry. When the company established the intent to make Windows, the standard operating system of the future, it sets its resources into motion. In a way, Microsoft forces other software manufacturers to use Windows as a platform for its software application. The result was major competitive advantage for Microsoft as other software manufacturers were preoccupied converting to Windows platform. Microsoft's dramatic growth and profitability has enabled to invest a large amount of cash flow into its core products as well as core competencies, which has led to economies of scale and scope. Microsoft has been able to develop core competencies resulting from collective learning in the organization, which can come from coordination of diverse production skills or the integration of multiple streams of technologies.
Reputation resources include software products that have high brand recall and recognition, generic corporate and consumer acceptance (Word, Excel, PowerPoint, Access), and numerous powerful features that are in use worldwide, which promote standardization and competitive advantage through their ease of integration and cost-effectiveness. Microsoft's intellectual resources include copyrights, trademarks,
Microsoft has their dominance of the industry at stake. They could potentially come out on top if left to continue their current tactics. They are masterfully “marketing their products” and it is paying off for them (Love, 1997).
Brand positioning is essential to the success of any firm because it delivers a perception into the consumer’s minds which differentiates them from their competitors. Microsoft began to grow their brand over 20 years ago with Bill Gate’s an underlying vision of “a computer on every desk and in every home”. This resulted in Microsoft developing into a huge multinational company with personal computing at the forefront of their business. Microsoft dominated this industry for many years which is reflected in the high brand recognition of Microsoft products worldwide.
Microsoft has grown into an enormous and powerful corporation by a combination of aggressive business practices and having written operating systems (DOS and Windows) for personal computers. From operating systems it branched out into other software which has, along with the operating system, become something of an industry standard.
Microsoft was founded in 1975, and is the worldwide leader in software, services, and solutions (Career). Microsoft is proud to offer great products and employ outstanding people. Previous Microsoft CEO, Steve Ballmer once said, “There are many things that are true about Microsoft. We have big goals, big dreams, and big aspirations for the future. We are both competitive with our products and in the way we attract and retain talent. For me, the most important factor is competition for talent, because I know our success comes from the people who work here” (Foley).
One company that appears to have a gap between its mission and its capabilities is Microsoft. The software giant has long had a problem with respect to innovation, and continues to rely on aging franchises for the bulk of its revenue. It was left out of the mobile operating systems boom and has failed to be a leader in either software or consumer electronics as a result (Clarke, 2010).
Microsoft’s entry into the video game industry with the Xbox exemplifies the firm’s implementation of sturdy adaptive strategies. Instead of only focusing on operating systems and computer software, Microsoft has expanded to other business ventures in the gaming industry.
Microsoft's struggles might seem somewhat perplexing, given its stunning success with Windows and the fact that it seems to have pursued a 'related linked' diversification strategy of primarily concentrating on products 'linked' to technology. It has not acquired businesses that are fundamentally anathema to its core product. "Companies' implements related diversification strategies in order to achieve and
In 1979 Gates and Allen moved the company to Bellevue, Washington, a suburb of their hometown Seattle. ( Microsoft moved to it's current headquaters in Redmond in 1986.) In 1980 International Business Machines Corporation (IBM) chose Microsoft to write the operating system for the IBM PC personal computer, to be introduced the following year. Under time and pressure, Microsoft purchased QDOS (Quick and Dirty
Microsoft operates in many geographic locations around the world and are behind the world’s most popular desktop operating system in the world. Microsoft is primarily a software company but have flexed their arms into internet services and are behind certain products in consumer market which is directly against Google. Microsoft’s market includes end-customers, enterprises and institutions just like Google. Some of the key Microsoft products are Bing which is a search engine just like Google.com and Microsoft ad center which is a direct
The beginning of Microsoft Inc. started with Bill Gates and Paul Allen writing computer program code for local businesses and municipalities. In 1975 they were inspired by an issue of Popular Electronics that showed the new Altair microcomputer kit, manufactured by MITS Computer. Bill Gates and Paul Allen wrote a version of BASIC, a computer programming language, for the machine. Later that year Bill Gates left Harvard University to work full time developing programming languages for the Altair, and he and Paul Allen relocated to Albuquerque, New Mexico, to be near MITS Computer, where Paul Allen took a position as director of software development. Bill Gates and Paul Allen named their partnership Micro-soft (Microsoft
Microsoft Corporation is a public multinational corporation headquartered in Redmond, Washington, USA that develops, manufactures, licenses, and supports a wide range of products and services predominantly related to computing through its various product divisions. Established on April 4, 1975 to develop
This report is issued in order to inform the public about Microsoft Corporation. We analyzed the profitability and liquidity of this company. In addition, we were able to provide recommendations for investments or credits in Microsoft for the best interest of the public.
Mr. Gates’ also explains how Microsoft tackled the challenge of integrating the Internet to be compatible with various Microsoft products. The biggest dilemmas were determining what should be incorporated into the existing Microsoft products, what should be packaged as new products, and how should the Windows Operating System support the Internet. He gives frequent examples of how the other competing computer industry giants were able to succeed in the computer industry. A lot of success he points out was made through trial and error as well as learning from one’s mistakes. He talks about how Microsoft has learned from projects that have failed such as the Multiplan spreadsheet that went on to be developed into Microsoft Excel, and the Omega database that would become Microsoft Access. One suggestion that Mr. Gates makes in achieving company success is by
Microsoft is a well known is a well-known multinational corporation that deals in computer technology. Microsoft was founded by one Bill Gates and Paul Allen. The current Microsoft products that are the best selling in the market are the Microsoft Windows operating system, Microsoft office. We also have Xbox, a line of entertainment of games and also music and video. There is also Bing, which is in the line of search engines.
Microsoft Corporation is one of the largest and most influential companies in the personal computer industry. It has won several awards for innovation, for their commitment to diversity, and for their flexible work arrangements. It has always been a leader in the market with regard to its compensation. With 80,0004 employees across the world, having more than $15 billion revenue, it is one of the biggest and best‐known technology companies in the world.