This website uses cookies to ensure you have the best experience. Learn more

Microsoft Xbox Analysis

8269 words - 33 pages

Should Microsoft Consider Divesting Xbox?Nicholas Dzierzak, Ryan Mann, Taleen Sarkissian, and Will TompkinsMGMT463: Technology and Innovation StrategyBeing the industry leader within a product category isn't enough anymore for a company to have an optimal strategy. In innovation-heavy industries, significant R&D spending and capital requirements are common in the race to be the market share leader, especially in the world of gaming consoles. This spending makes sense for some companies and not for others.IndexExecutive SummaryVideo Games Hardware Market OverviewMarket Size, Competitive Dynamics by Company, and Competitive Dynamics by Flagship Product5-Forces Analysis of IndustryBuyers, Suppliers, Substitutes, and New EntrantsCurrent S-Curve and Estimated New S-CurveOptions for Microsoft and Xbox_______________________________Maintain Status Quo_________________________________Invest Heavily in XboxDivestiture_________________________________[Add in considerations about trade-offs of investing in Xbox and not in rapidly growing industries like mobile (Windows phone) or Tablets]Course of Action & ConsiderationsTwo-sided marketsMulti-homeSubsidize Games or ConsolesOpen EcosystemNetwork EffectsAlignment of Strategies: Xbox as a channel for MicrosoftOrganizational Structuring to Make it HappenRiskOutcomesAppendix1. Executive SummaryThe purpose of this report is to examine the opportunities for Microsoft Corporation to consider when thinking about the long-term strategic inclusion of Xbox among their portfolio of products and services. To determine the long-term importance of Xbox for Microsoft, our team first took a high-level approach to determine the attractiveness of the gaming console. Our team then evaluated how Microsoft is performing relative to its competitors.To support our overall analysis of the report, our team utilized Euromonitor to pull and analyze important figures for determining growth and strengths within the Video Games Hardware market. The Video Games Hardware market can be more accurately described to include "any electronic device that allows an electronic or computerized game to be played by manipulating images on a video display or TV screen." [Euromonitor_Export] This includes gaming consoles such as Xbox, PlayStation, and Wii. In addition to consoles, this category also includes accessories for video game consoles as well as hand-held devices, such as the Nintendo 3DS or PlayStation PSP. Although these additions are not by themselves traditional game consoles, they are important to include in evaluating the overall brand strength. Comment by Ryan Mann: What do the highlights mean? Can you use footnotes to reference (easybib)? Comment by Will Tompkins: Don't know why it's green but the yellow sections were a reminder of what needed to be updated with a footnote. I planned to footnote them after we read through and make sure we want them in. Comment by Taleen Sarkissian: I like this fact. Do we still need to add the...

Find Another Essay On Microsoft Xbox Analysis

Microsoft Canada Executive Summary Essay

3059 words - 12 pages Microsoft Canada Executive Summary Microsoft Canada is preparing its marketing plan for the Xbox over the coming year. The Xbox was launched the previous year and positioned as the complete home entertainment solution combining video gaming, the Internet and DVD playback. The Xbox is the most robust gaming console on the market, but faces stiff competition in its product category. The Sony Playstation 2 is the market leader with over 50

Survey on the Impact of Microsoft on Communication Systems

2657 words - 11 pages the Xbox One up to eight controllers may be connected to a single console, which is twice as many as with the 360. Microsoft decided to keep the battery compartment as opposed to using a rechargeable controller as other consoles have done. This allows for the controller itself to last longer before being replaced because there is no battery cell within. The new controller got rid of the protruding battery pack on the controller’s backside and

Bill Gates and Microsoft

913 words - 4 pages displaced in the early 1980s. Microsoft's Windows 3.0 and its subsequent versions were sold at a rate of one million copies each month. Almost nearly 90 percent of the world's PCs ran on Microsoft. There was an analysis that showed that not all 200 million licences that did most of the basic PC tasks. The amount of Windows 8 devices in operation was a lot closer to Microsoft's mark that they claimed than nine months ago. After analyst last May, Patrick

Analysis of Microsoft

3367 words - 13 pages these main products: Windows, Office, Phone, Xbox, Bing, and OneDrive. The Commercial division contains: Server, Exchange, SharePoint, and software that facilitates these services (Microsoft, 2014). Microsoft’s CEO is Satya Nadalla (Microsoft, 2014). Company Research Value Chain Analysis The value chain for Microsoft is very important. Applying the value chain analysis on Microsoft is a little different than most companies because for the

Analysis of Video Game Systems

3383 words - 14 pages Analysis of Video Game Systems The consumer video game systems offer an exciting opportunity to discuss and analyze the design of technology based on the strategy of each of the players within the industry. We will focus our analysis on the next generation of video consoles: Nintendo’s Wii, Microsoft’s Xbox 360 and Sony PlayStation 3 (PS3). First, we will analyze the targeted customer and the proposition designed by each company to

Business Strategy for CanGo

1342 words - 6 pages ). Their weaknesses, a large array of product segments or product categories they tend to lose product focus that softens the stability of the company. CanGo has similar operations and wants to offer online gaming services to rise above the rest of its competition. CanGo will create and develop a strong strategic plan that will help offer their consumers unique products and better services. XBOX Microsoft the makers of XBOX, has proven that even a

Microsoft and Skype

3380 words - 14 pages which had real competitive strengths through a combination of chance, leadership & astute strategic insight. The company has diversified in recent years into the video game industry with the Xbox and its successor, the Xbox 360 as well as into the consumer electronics and digital services market with MSN, Zune and the Windows Phone Operating System. However, Microsoft has faced failure in dominate mobile markets as well as failed in the

Case Study: Nintendo

1254 words - 5 pages Microsoft PlayStation 3 from Sony. Both the Xbox and the PlayStation 3 consoles were made to be the fastest and most powerful gaming machines on the market (Lamb, 2011, p. 385). Nintendo chose a different marketing strategy by creating a lower priced console that was simpler yet fun for the whole family. The numbers speak for themselves: in 2008 Nintendo was at the top of the video gaming industry by selling 4.1 million Wii consoles, while Microsoft

Being Appointed Communication Manager of Microsoft

1626 words - 7 pages appointed communications manager for Manager for Microsoft Inc. Write a report (using the standard business report format) on the current communications strategy at Microsoft Inc. On the way they use business communications. Analysis in your report should consider (and provide evidence of): 1) Microsoft Incorporation is an American multinational corporation that develops, manufactures, licenses, and supports a wide range of

Microsoft Current Market Conditions

1331 words - 5 pages creator of a world-leading network for video game advertising, in a move to deliver advertisements across Microsoft's online services, starting with Xbox Live and MSN Games in May 2006 (SWOT, 2007). These acquisitions broaden Microsoft's dedication to providing consumers and businesses with the cutting edge in products. In 2007, Microsoft worldwide PC unit shipments are expected to grow 8%-10%. PC unit growth rates are expected to be higher in the

Microsoft’s Diversification Strategy

3331 words - 13 pages , 2008, pg263). An example of this is Microsoft selling their software packages at lower prices and covering costs from the surplus they make from the X-box (Mintel, 2011). This is just one example of where Microsoft can increase their market power; deeper analysis into the core business could bring fourth numerous other cross subsidizations. Spreading Risk Spreading risk across a range of businesses is another reason Microsoft may have chosen

Similar Essays

Business Analysis Of The Microsoft Xbox Product

1619 words - 6 pages into an Xbox for their children and families to use. Market Growth With all of the different games and accessories available for the Xbox and the continuing advancement with the Xbox the market has seen steady growth. SWOT Analysis The following SWOT analysis captures the key strengths and weaknesses within the company, and describes the opportunities and threats facing Microsoft Xbox. Strengths • They have captured the gaming market. • High

Microsoft Outsourcing The X Box Essay

808 words - 3 pages world, which were all under the centralized information system, s they could shift the production from one country to another if necessary for optimal profitability. Analysis 1. What is the strategic advantage to Microsoft of outsourcing Xbox production to Flextronics? Microsoft has a lot to gain from outsourcing the Xbox production to Flextronics. Microsoft’s core competency is producing software, not hardware. So by the Law of

Microsoft Xbox Essay

653 words - 3 pages Microsoft targets numerous segments of the population of many countries through advertisements of its Xbox. Microsoft, one of the most successful companies in the world, is using its innovations to take over the machine gaming market. Sony and Nintendo have been the gaming powerhouses for many years now, but are now starting to become overshadowed by the success of Microsoft’s Xbox. As long as gaming machines have been available, teenage boys

Microsoft Xbox, Nintendo Gamecube, And Playstation Two

648 words - 3 pages Which system is better, Microsoft Xbox, Nintendo GameCube, or Sony PlayStation 2? Which system is the better buy? These are just some of the questions people ask themselves when it comes to purchasing one of these systems. In my opinion, I believe that the “best buy” is the PlayStation 2.      The PS2 offers a reasonably powerful processor, about 297MHz (Megahertz). It may seem a little bit on the sluggish side