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Case Study
CASE STUDY: FREE-PRODUCT CEOMPETITORS
CHALLENGE MICROSOFT

A Written Report
Presented to Prof. Maria Theresa Requilman
Pamantasan ng Lungsod ng Maynila
Intramuros, Manila

In Partial Fulfilment of the Requirements for the Degree
Master in Business Administration

By
Analyn P. Deogracias
November 2014

BACKGROUND

Microsoft is an American multinational corporation headquartered in Redmond, Washington, that develops, manufactures, licenses, supports and sells computer software, consumer electronics and personal computers and services. Its best known software products are the Microsoft Windows line of operating systems, Microsoft Office suite, and Internet Explorer web browser. Its flagship hardware products are Xbox game console and the Microsoft Surface series of tablets. It is the world's largest software maker measured by revenues. It is also one of the world's most valuable companies.

STATEMENT OF THE PROBLEM

In 2007, some companies who offer free-product software emerge and widely adopted by college students, small businesses, and some large educational institution.

ANALYZE THE PROBLEM Company should conduct surveys to check the current market status of the company and what the consumers can say with the new emerging free-products offered by the rival company.

AREAS OF CONSIDERATION

STRENGTH
Strong brand name
Dominant in the market
High standard of product quality
WEAKNESS
Free-products offering
Lack of market awareness
Costly
OPPORTUNITY
Booming of internet
File incompatibility and lack of functions in the rivalry free offering
High switching costs
THREAT
Rival free offerings
Free offerings are patronized by college students, small businesses and some large educational institutions

ASSUMPTION

Consumers tend to patronize the free offerings because it’s FREE;
Consumers tried to use the free offerings to know if there are other new features that Microsoft doesn’t have in their existing software.

ALTERNATIVE

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