Growth Mindset Diversity and Inclusion Accountability. Microsoft describes its corporate culture as a culture of accountability.
The SWOT Analysis is a tool for determining organizational strengths and weaknesses internal strategic factors and the threats and opportunities affecting the business external strategic factors.
Through these approaches, the company can achieve long-term growth in the computer hardware and software market. Microsoft must maintain effective responses to address the factors shown in this SWOT analysis. This SWOT analysis of Microsoft Corporation highlights the necessity of strategies geared toward further innovation and diversification of the computer hardware and software business.
Microsoft can also extend its efforts to consider issues beyond the internal and external strategic factors in this SWOT analysis. Dominant brand image Product alignment with positive externalities Strong alliances with other firms The Microsoft brand is one of the strongest in the computer hardware and software market.
Microsoft also benefits from positive externalities with existing products in the market. For instance, the company can establish an alliance with a hardware manufacturer to create hardware products that use Windows OS.
Thus, the strengths in this area of the SWOT analysis of Microsoft show that the organization has strong foundations to compete against other large firms in the global industry.
In the case of Microsoft, managers must address the following weaknesses: For example, the Windows operating system remains a target of countless cybercrime attacks globally.
This factor is a weakness because it limits the attractiveness of Microsoft products. In this regard, cyber security is a product aspect of competition among firms in the computer hardware and software industry.
On the other hand, the imitability of some products is a weakness because it could reduce the strength of the Microsoft brand. Based on the strengths outlined in this area of the SWOT analysis, Microsoft needs to improve product features and intensify its hardware development efforts to ensure competitiveness.
Business diversification Innovation for computer hardware products Stronger security against cybercrime Microsoft Corporation is primarily a software business that heavily relies on the popularity of the Windows operating system. In this regard, the company has the opportunity to grow based on diversification.
For example, Microsoft can diversify through new business development or mergers and acquisitions to establish operations in new markets or industries. In this way, the company can take advantage of other avenues of business growth [Read: Another opportunity is for Microsoft to innovate computer hardware products, so as to increase revenues from hardware sales.
Also, Microsoft has opportunities to improve the attractiveness of its products through continuous improvement of their security features. Thus, the opportunities shown in this area of the SWOT analysis of Microsoft indicates the need for diversification and product improvement.
SWOT: An Analysis of Microsoft For a full outline of identified strengths, weaknesses, opportunities and threats to the company, see Appendix B. Some of the key issues facing Microsoft as it aims to maintain past successes include the following. Direct Stock Purchase and Dividend Reinvestment Program. American Stock Transfer, Microsoft's transfer agent, administers a DSPP and DRIP for the company. A company overview of Microsoft including information for shareholders, potential investors, financial analysts, and more.
Cybercrime Piracy Strong competitive rivalry Cybercrime remains one of the major threats against computer technology businesses. Another threat facing the company is piracy, which is especially rampant in many developing countries. The strong brand image and positive externalities are among the major contributors to such market position.
Thus, a recommendation is for Microsoft to continue enhancing its brand image. It is also recommended that the company must increase its alliances with other firms to improve positive externalities. For example, the company must continue innovating to develop products that are less vulnerable to cybercrime.
Another recommendation is for Microsoft to diversify its business to boost potential growth. Recent research on team and organizational diversity: SWOT analysis and implications. The Handbook of Human Performance Technology, If Microsoft doesn’t manage to stay current, its products will quickly grow out of date, and as a company they will be pushed aside.
Static pricing models: Microsoft products are typically big, expensive purchases that consumers only consider every few years. Direct Stock Purchase and Dividend Reinvestment Program. American Stock Transfer, Microsoft's transfer agent, administers a DSPP and DRIP for the company. Threats in the SWOT analysis of Microsoft Competition: The software market is highly competitive, which may impact the company’s performance.
The company faces stiff competition in all its segments. Analyze Microsoft Corporation (MSFT) using the investment criteria of some of the greatest guru investors of our time. Microsoft Corporation’s organizational culture ensures workforce resilience and capability to address business needs in the dynamic market for computer hardware and software products.
A company’s corporate culture refers to the values, traditions and behavioral expectations among employees. A company overview of Microsoft including information for shareholders, potential investors, financial analysts, and more.