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Microsoft Search

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WAC II: Group Assignment

Microsoft Search– Competitive Analysis

2010-2012

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Group 9, Section E

Ankur Gupta – 2010PGP050

Arunkumar Pasi – 2010PGP069

Manish Mahakalkar – 2010PGP177

Pranabesh Chatterjee – 2010PGP254

Pritom Pangging – 2010PGP267

Swapnil Kumthekar – 2010PGP403

Vikas Deswal – 2010PGP416

INTRODUCTION

Microsoft Corp has been around for more than 30 years now and still continues to have high profit margins in software segment. As the company is maturing, its growth has slowed down as compared to initial stages, but the power the computer software maker has over the flow of the world's information is very formidable. On the other side we have Google Inc., a company just a decade old but with power that rivals Microsoft in many ways. In a sense, Microsoft provides the river, and Google provides the current.

That's probably not what we (Microsoft executives) had in mind, but that's reality. Now it’s time for us to weigh alternatives for improving the company’s position in the market for Internet Searches and related advertising.

PURPOSE OF THE REPORT

In this report we are going to discuss the issues faced by Microsoft, the opportunity available to Microsoft and the analysis of the issues. Further we will list the options available, their evaluation and then we would propose our recommendations.

ISSUES and PROBLEMS

• Microsoft has not been able to achieve considerable market share in Internet Search Engine and related advertising market, which is clearly dominated by Google

• The revenue per search for Microsoft is lower than the industry leaders – Google and Yahoo!

Microsoft has set the trend of succeeding as the first mover in different areas like Operating system, Office suit, Internet Browser and Java. In spite of this it has not succeeded in search engine optimization.

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