STRATEGIC MANAGEMENT
MICROSOFT CORPORATION
EXTERNAL FACTOR EVALUATION MATRIX
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Farah Nawaz MBA Weekend Bahria University
GENERAL OPPORTUNITIES Market developments? Industry or lifestyle trends? Technology development and innovation? Global influences? New markets, vertical, horizontal? Niche target markets? Geographical, export, import? Tactics - surprise, major contracts, etc? Business and product development? Information and research? Partnerships, agencies, distribution? Volumes, production, economies? Seasonal, weather, fashion influences?
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GENERAL THREATS Political effects? Legislative effects? Environmental effects? IT developments? Competitor intentions - various? Market demand? New technologies, services, ideas? Vital contracts and partners? Sustaining internal capabilities? Obstacles faced? Insurmountable weaknesses? Loss of key staff? Sustainable financial backing? Economy - home, abroad? Seasonality, weather effects?
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OPPORTUNITIES FOR MICROSOFT
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MICROSOFT OPPORTUNITIESOpportunitiesGame Designing and Development. Chinese Language Products Development. New Mobile Software Development and Marketing.
Weight 0.02 0.04 0.06 0.40 0.02 0.03 0.40 0.02 0.01 1
Rate 2 2 3 4 4 3 4 2 1 24
Weighted Avg. 0.04 0.08 0.18 1.6 0.08 0.09 1.6 0.04 0.01 3.73
A New Market of Cloud Computing A New Market for Web Hosting New Innovation in iPhone, iPod and ipad SoftwareMicrosoft ERP Solution (Dynamics) open many new Gates of opportunities. New Market for Microsoft Information System Auditing Certifications. Wireless Technologies
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Mobile Phone Software DevelopmentMicrosoft may start working on mobile Custom Software development as huge market is coming where most of the people use their mobile Phone instead of Laptops and PC. There would be great competition between Googls Android software and windows 7 based software for mobiles
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GAME DEVELOPMENTGame Designing and Development is a huge market that Microsoft can target. This field has a huge profits and revenues. Microsoft can work on this field as it is a good opportunity to invest and capture market.
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MICROSOFT CLOUD COMPUTINGMicrosoft cloud solutions helping customers cut costs, generate new revenue streams and provide added services to end users. Microsoft has started its new projects called Windows Azures provides platform as a service in cloud computing world where it can target huge market and capture the whole world software market. Through this technology, all the computing, software will be done live through Microsoft platform servers and they will earn revenue by renting development services on their servers to their clients.
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Customers Choose Microsoft Dynamics When Investing in Business ApplicationsAs the economy continues its recovery, industry experts forecast renewed optimism in the software industry and the business applications space. Predictions include investments in business applications, especially within the CRM market to experience the largest increase of all application software markets Sales Solutions Establish a 360-degree view of customer interaction and sales opportunities. Customer Service Solutions Deliver value with integrated interaction and knowledge management. Marketing Solutions Plan, implement, and measure more effective marketing campaigns.9
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Microsoft Bings search-success rate is risingWhen examining the top 100 search terms from Google,Yahoo! Search and Bing, we find that nearly all terms are brand and/or navigational in nature for each engine. When we look at the percentage of searches that these top 100 terms account for on each engine, we find that Google is at 9.5%,Yahoo! Search is 15.1% and Bing is at 16.5%. Google CEO Eric Schmidt believes that Microsofts Bing is a bigger threat to the search engine giant than social networking giant Facebook.10
MICROSOFT THREATSTHREATSLINUX, APPLE OS Threats BROWSER Efficiency Threats Threats in Messenger Market Hardware Low Price Threats Software Development Law Suit & Anti-Trust Law Threat Windows for Net Book Strong Competitor IBM and Oracle Increasing Cyber Crime threats Shorter New Technology Lifecycle Currency Exchange Rate Effect on Price Huge tax rate of Different countries11
Weight0.5 0.09 0.09 0.02 0.05 0.08 0.09 0.02 0.01 0.02 0.03 1
Rate 2 1 4 2 3 3 3 3 4 2 2 29
Weighted Avg.1 0.09 0.36 0.04 0.15 0.24 0.27 0.06 0.04 0.04 0.06 2.35
MICROSOFT THREATS Apple and Linux threaten Microsoft's 88% market share of the desktop operating
market Microsoft Internet Explorer is continuously beaten by Mozilla Fire Fox and Chrome. Windows Media Players is not good as compared to Real Players, Winamp and Comet Player. Hardware prices are falling as comparative to that OS licensing prices Instant messaging competition is growing as MSN messenger facing issues with video chatting. Software piracy and anti trust are also biggest challenges for Microsoft.
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BROWERS
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