Published by MBA Skool Team, Last Updated: August 29, 2021
SWOT analysis of Microsoft analyses the brand by its strengths, weaknesses, opportunities & threats. In Microsoft SWOT Analysis, the strengths and weaknesses are the internal factors whereas opportunities and threats are the external factors.
SWOT Analysis is a proven management framework which enables a brand like Microsoft to benchmark its business & performance as compared to the competitors. Microsoft is one of the leading brands in the IT & Technology sector.
The article below lists the Microsoft SWOT, competitors and includes its target market, segmentation, positioning & USP. Let us start the Microsoft SWOT Analysis:
For Microsoft, SWOT analysis can help the brand focus on building upon its strengths and opportunities while addressing its weaknesses as well as threats to improve its market position.
The strengths of Microsoft looks at the key aspects of its business which gives it competitive advantage in the market. Some important factors in a brand's strengths include its financial position, experienced workforce, product uniqueness & intangible assets like brand value. Below are the Strengths in the SWOT Analysis of Microsoft :
1. Microsoft is a world leader in computers, software, consumer electronics, cloud computing, smartphones & services
2. Microsoft Office, O365 and Teams are one of the most widely used products across the world by individuals and enterprises
3. The company has got an extremely strong financial position owing to its strong business
4. Strong legacy of the brand since its inception in 1975
5. Microsoft has constantly evolved and strengthened its market dominance with acquisitions like Github, Skype, Linkedin etc.
6. Internet Explorer, Edge and Bing search are among the leading internet solutions provided by the company
7. PCs have been running on operating systems like Microsoft Windows 10, 8, 7, XP etc.
8. The company has flagship stores at prime locations across the world
9. Excellent advertising and branding of the brand done through TVCs, online ads, print ads, sponsorships etc.
10. More than 150,000+ people are employed with Microsoft
11. The company has also invested for providing technology for the US army
12. In 2021, Microsoft had a valuation of nearly $2 trillion
13. The brand has a strong financial position is visible from its performance on NASDAQ, S&P, DJIA etc.
14. During the 2020 pandemic, the company provided medical aid, protective gear, financial support to several institutions
15. Microsoft Azure is one of the world's most powerful & efficient cloud solutions offered to customers
The weaknesses of a brand are certain aspects of its business which are it can improve to increase its position further. Certain weaknesses can be defined as attributes which the company is lacking or in which the competitors are better. Here are the weaknesses in the Microsoft SWOT Analysis:
1. Some Microsoft products are vulnerable to imitations which can hurt the brand image
2. Being a global brand the company is vulnerable to legal issues & lawsuits in various countries
The opportunities for any brand can include areas of improvement to increase its business. A brand's opportunities can lie in geographic expansion, product improvements, better communication etc. Following are the opportunities in Microsoft SWOT Analysis:
1. Microsoft can continue to be a market leader in innovation in technology as its has the resources & funds
2. With increasing data penetration, the brand can tap a wider audience worldwide
3. The company can provide more solutions to enterprises especially in online security, smartphone solutions etc.
The threats for any business can be factors which can negatively impact its business. Some factors like increased competitor activity, changing government policies, alternate products or services etc. can be threats. The threats in the SWOT Analysis of Microsoft are as mentioned:
1. Many technology companies coming up with internet boom have reduced the dominance of Microsoft
2. Concerns over confidential information of users being vulnerable to leaks
There are several brands in the market which are competing for the same set of customers. Below are the top 8 competitors of Microsoft:
Microsoft is one of the top technology companies of the world
IT Solutions/software retail and business
Microsoft targets nearly all individuals and business who use a computer
Microsoft is one of the world's best technology company
Microsoft Product Portfolio
1. Microsoft Windows
3. Microsoft Office & O365
5. Microsoft Edge
The above mentioned brands are the prominent products under the Microsoft product portfolio.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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