Criteria for Enterprise Growth Plan Project Specific Competitive Analysis Specific Customer Analysis Clear Presentation of Growth Strategy Options Logical, Validated Selection of Growth Path Assessed...

Microsoft: Growth Plan
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Introduction
Ever-changing technology and technical specification of products has generated
significant growth potentials for the firms operating in Information Technology sector
and other allied domains. Microsoft Corporation (Microsoft) is among one of the leading
names in that specific sector, which has earned a distinct repute in software and
operating system development domain and attained the position of market leader in
that specific sector. Basic operations of the Microsoft involves development,
manufacture, licensing and support services to the software intended to be used in
various computer devices. Strong operational performance and sustained financial
stability of the Microsoft over years has equipped it with the ability to leverage its
potential in optimization of the search of new growth avenues for the company to
strengthen its future in industry. In order to estimate and evaluate the Microsoft’s growth
plan and assess the industry, customers and competitors influence over it, an analytical
approach has been taken in this paper.
Competitive analysis
One of the significant approaches of assessing the influence of the Microsoft’s
growth plan strategy is to analyze the competitor’s position in the market and its direct
influence on the productivity, profitability and market share of the Microsoft Corporation.
Although company has initiated its operations through development of operating system
on demand of IBM in 1981, in later stage it has made entry in the several selective
domains of the information technology sectors and challenged several large and
established market players. Its direct competition with the large and market leader firms
were the outcome of its diversification of operation in several distinct areas.
Microsoft has made direct competition with the market leaders such as
‘WordPerfect’ and ‘Netscape Navigator’ in their specific domain of word processing and
internet
owsing. Although its beta phase products and several ‘version 1.0’ have not
attained much success in the industry but its strategy to release quick new improved
versions with innovative features has helped in capturing the initial take of the overall
market. Later strategy of offering low price computer software solution has helped
Microsoft in acquiring and expanding the respective market share.
One of its competitive strategies, which have helped it in making exponential
growth of company, was the acquisition of the almost 50 companies who are engaged
in similar business of developing software programs for the computer devices. Microsoft
has identified the unexplored potential and relative cost benefits of the acquisition in
comparison to the development of software from its own and thus has explored the
capabilities and utilized it in expansion of its own business. Microsoft always remain
keen and updated about the competition in market that even the established product
group’s new version development and manufacturing has been done after extensive
competitive analysis. (Venture Navigator, 2007)
Microsoft’s mass patenting approach has helped it in acquiring almost 3,000
patents in United States and nearly 500 in Europe, which has played significant role in
infringement of the competitive abilities of the other competitors. This extended
intellectual property ownership has enabled Microsoft to pose threat to the competitors
and impose an innate fear factor of facing legal action against violation of related norms,
which has proved to be the effective protection against the external market competition.
Customer analysis
From the view of customer segment analysis and evaluation of the perceptual
value of the Microsoft for customer a comprehensive customer analysis seems
necessary. As it is well known and accepted that the Microsoft is one of the largest
software manufacturer company which has earned global repute and recognition in
development of the innovative products. With the boom of personal computer use in
1980s Microsoft has identified the market potential and made entry in the market. From
the initial development of the operating system it has diversified its business operation
scope and its product portfolio.
Microsoft is cu
ently using the business process of developing, manufacturing,
licensing and support services to various software programs designed to meet the
operation requirements and uses of the customers. Basic product portfolio for different
category of customers of Microsoft can be categorized in five major segments: server
and tools, clients, online service business (combination of service division and platform
products), entertainment devices, and Microsoft business. It major software products
like operating system for personal computers, servers, and intelligence devices are
intended to comply with the specific requirements of individual, corporate and
institutional clients. (Datamonitor, 2007)
Further extended solution parts like information worker productivity...