Business SL

IB Business SL: Microsoft Analysis

Microsoft is a multinational corporation based in Washington that develops, manufactures, licenses, supports and sells personal computers, services, consumer electronics, and computer software. The company is known for Microsoft Windows which is the most used operating system in the world. Also Microsoft Office is used worldwide for the standard office workflow tool.

Mission Statement

“The Microsoft mission regarding global diversity and inclusion is to create an environment that helps Microsoft capitalize on the diversity of its people and the inclusion of ideas and solutions to meet the needs of its increasingly global and diverse customer base.”

Vision Statement

“Global diversity and inclusion is an integral and inherent part of our culture, fueling our business growth while allowing us to attract, develop, and retain this best talent, to be more innovative in the products and services we develop, in the way we solve problems, and in the way we serve the needs of an increasingly global and diverse customer and partner base.”

Objectives

  • Establish and preserve management accountability to Microsoft’s owners by appropriately distributing rights and responsibilities among Microsoft Board members, managers, and shareholders.
  • Provide a structure through which management and the Board set objectives and monitor performance.
  • Strengthen and safeguard our culture of business integrity and responsible business practices.
  • Encourage the efficient use of resources, and to require accountability for stewardship of those resources.

SWOT Analysis

  1. Strength
    1. Brand reputation
      1. Windows or Microsoft Office is used in every personal device around the world and so everyone knows Microsoft.
    2. User friendly software
      1. Microsoft office is the world’s standard for office work, and Microsoft really benefits from this more than their other departments.
    3. Weakness
      1. Slow to innovate
        1. They don’t really update windows or Microsoft office that often. And when they do, they fix what they want to fix but break what was fixed previously.
      2. Windows is prone to virus
        1. Their money maker product is prone to viruses, and so customers start to ditch windows and turn to mac.
      3. Opportunities
        1. Cloud services
          1. Microsoft just released SkyDrive as their cloud computing service, however it is still not as good as Dropbox or Google Drive yet. With the demand of more online storage, Microsoft could expand its cloud services to beat their competitors.
        2. Mobile device industry
          1. With companies such as Google and Apple dominating in the mobile industry and the mobile industry growing rapidly, Microsoft should join in and get the market share.
        3. Threats
          1. Intense competitors
            1. Microsoft has Apple as its main competitor and people are starting to move from Windows to Mac because of the viruses that are dominating Windows.
          2. Lawsuits
            1. Microsoft has been targeted for many times and has lost many times, and is now still being targeted by many other companies.

PEST Analysis

 

Political           Changes in the taxation policies

International Trade Regulations

Employment laws (Microsoft hires hundreds of thousands of people)

Competition regulations is

Economical           Changes in monetary policies and exchange rates

Inflation levels and economic growth

Social           Income distribution change

Change in lifestyle of people

Change in the demographics

Change in education

Technological           Speed of technology

Transfer rates

Technological advancement

Updates on products done on a regular basis

Easy accessibility

Enhanced security

BCG Matrix

*look at pdf file above*

Ansoff Matrix

Existing New
Existing Market Penetration Product Development

Windows

Xbox

Office

Mobile Windows

New Market Development

 

Diversification

MsDOS

Targeting

  1. Education Sector
    1. Schools, institutes, universities, college, etc.
  2. Business Sector
    1. Large firms, medium firms, small firms
  3. Service Sector
    1. E-government
  4. Entertainment Sector
    1. Children, gamers, families
  5. Rural Sector
    1. Target rural areas to help increase the awareness of the company

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