What Is The Weaknesses Of Microsoft

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).

They have expand their business from only on computer software and hardware to online search engine, home gaming devices and smartphone, those business are the popular business in the world, Microsoft is trying to adapt the new market.

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’s story serves as a prime example of the pitfalls of success. In this case we can analyze, critique, and make recommendations to avoid a similar disaster in the future. While they were

A business or product which generates a steady, dependable flow of cash. Typically, such business units often have large shares of markets which offer little opportunity for growth and little incentive for continued investment in marketing or product development.

A Cash Cow is a business unit within a portfolio that has a high market

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 share of the market for Intel-compatible PC operating systems is extremely large and stable,” 2. “Microsoft’s dominant market share is protected by a high barrier of entry,” 3. “Microsoft’s

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

The Xbox One, being one top competitors in the gaming console industry has many features that differ from other gaming consoles. One main feature is the Xbox Live which is an online service for the Xbox console allowing an individual

would use their leverage in one market area, such as graphical user interfaces, to gain

Microsoft are situated within the top 20 largest companies functioning in the world, with turnover figures of 60-70 billion dollars a year (E-how, 2011).

Looking at the sizable market share Microsoft has come to enjoy over the years, a new competitor would face a number of entry barriers before entering this market. Customers are very loyal to the Microsoft brand and would expect any competitor to offer at the very least the same features that Microsoft already has.

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.