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PROJECT WORK

MICROSOFT CORPORATION

PRAGATI MISHRA-2017146
SANDRA EDISON-2017153
SANDRA ROSE ALBIN-2017154
SANJANA MENON-2017155

Submitted To:

Dr. Alice Mani

MCOM PROGRAMME
DEPARTMENT OF COMMERCE
SCHOOL OF COMMERCE FINANCE AND ACCOUNTANCY
MAY 2021
INTRODUCTION

Microsoft Corporation is a multinational, Redmond, Washington, United States-based


technology corporation. The company develops, manufactures, licences, supports and sells
computer software, consumer electronics, personal computers and related services. The
company's most famous software products are Microsoft Windows, Microsoft Office, Internet
Explorer & Edge. The company's flagship hardware devices are the Xbox Video Game
Consoles and the Microsoft Surface line of personal touchscreens.Microsoft was ranked
No.21 by overall sales in 2020 in Fortune 500 of the largest US companies, the largest
software manufacturer worldwide as of 2016. It is one of the Big Five IT firms with Apple,
Amazon, Google and Facebook in the United States.

Bill Gates and Paul Allen created Microsoft (a microcomputer software portmanteau) on 4
April 1975 to build and sell Altair 8800 BASIC interpreters. With MS-DOS in the
mid-1980s, Microsoft Windows and Microsoft dominated the personal computer system
operating market. As a result of the company's initial public offering (IPO) in 1986 and
subsequent share price growth, Microsoft employees became billionaires and
millionaires.Since the 1990s, it has diversified from the OS industry and has completed a
series of corporate purchases, the largest of which was LinkedIn's $26.2 billion acquisition in
December of 2016 and Skype Technologies' $8.5 billion acquisition in May of 2011. As of
2015, although Microsoft has lost the majority of Android overall operating system markets,
it is the industry leader in operations systems and office software compatible IBM PCs.The
company's other user and business software services offer desktops, laptops, tablets, gadgets
and servers included internet research (with Bing), digital services (via MSN), mixed reality
(HoloLens), cloud computing (Azure), and app creation (Visual Studio).

Steve Ballmer took over as CEO in 2000 from Bill Gates and subsequently proposed a
"devices and services" plan. The first exploration into the personal computer industry started
with the acquisition by Microsoft of Danger Inc. in 2008 and the introduction of Microsoft
Surface Tablet Computers in June 2012 Microsoft formed Microsoft Mobile after the
acquisition of Nokia's Devices and Services division.Since Satya Nadella acquired the
position of Chief Executive Officer in 2014, the company has changed its focus to cloud
computing since December 1999. After being dismissed by Apple in 2010, Microsoft
returned to its role as the world's most precious publicly traded firm. In April 2019, after
Apple and Amazon Microsoft has become the third public corporation to be valued at over $1
trillion. Microsoft has the world's third-highest brand assessment by 2020.

FORMATION

Microsoft is a public limited company founded in Albuquerque, New Mexico, 46 years ago
on 4 April 1975. USA. U.S. Bill Gates and Paul Ailen have been founders. One Microsoft
Way Redmond, Washington, USA, is its headquarters. It works throughout the world. It
operates in the software development industry, consumer electronics, computer hardware, the
social networking service, cloud computing, video games, internet and business capital.

CORPORATE AFFAIRS

A board of directors consisting mainly of external companies, as is customary with publicly


traded companies, runs the company. Satya Nadella, Reid Hoffman, Hugh Johnston, Teri
List-Stoll, Penny Pritzker, John W. Stanton, John W. Thompson, Emma Walmsley and
Padmasree Warrior have been members of the Board of Directors as of July 2020. Each year,
the board members are elected by majority voting system at the annual shareholders' meeting.
There are four committees within the board which oversee complex issues.The Audited
Committees, which addresses financial issues such as auditing and reporting; the CEO's and
other corporate employees' compensation Committee; and the Nominating and Governance
Committee, include these committees. These committees include: Governance and
Nominating Committee, responsible for various organisational topics such as board
nominations; and the Legal/Antitrust Committee, responsible for issues such as privacy,
businesses, digital protection, artificial information and environmental sustainability. A
committee on regulatory matters and public policy.

ACQUISITIONS

On 14 March 1986 the company made its first public offer. Shortly after the market had
started, the stock, which eventually closed at 27.75$ per share, peaked at 29.25$. Following
the bidding, Microsoft had a $519,777 million market capitalisation. Then Microsoft acquired
more than 225 companies, purchased stakes and made 25 divestments in 64 companies. 107
of the companies acquired by Microsoft are based in the USA. For the majority of these
mergers and acquisitions, Microsoft did not provide financial details.
It has bought an average of six companies a year since the first acquisition in Microsoft in
1987. Between 2005 and 2008 the company bought more than 10 firms annually and, in
2006, it purchased 18 firms, mostly in one year, among them Onfolio, Lionhead Studios,
Massive Incorporated, ProClarity, Winternals Software and Colloquis. Microsoft has acquired
over twelve billion dollars in purchases: Skype (2011), aQuantive (2007), Fast Search and
Transfer (2008), Navision (2002), Visio Corporation (2000), Yammer(2012), Nokia's Mobile
and Device Division, Mojang (2014), LinkedIn (2016), GitHub (2018).

Microsoft has also bought more than a billion dollars worth of shares. It has received $1
billion of Comcast equity at 11.5%; $2.263 trillion of Telewest equity at 22.98%, and $5
trillion of AT&T equity at 3%. In addition, only Expedia Group was sold to another firm for
more than a billion dollars, with the divestment of Microsoft in which portions of the
company were sold to the other company; the US Networks purchased the company for
$1.372 billion on 5 February 2002.
BUSINESS MODEL:

A plan of action is a structure for tracking down a precise method to open long haul an
incentive for an association while conveying worth to clients and catching worth through
adaptation methodologies. A plan of action is a comprehensive structure to get, plan, and test
your business suspicions in the commercial centre. A plan of action is a basic component for
any start-up accomplishment as it is the thing that opens esteem in the long haul. As it were,
building up a plan of action isn't just about adaptation procedures. 

In fact, that is far more comprehensive. To build up a plan of action organizations need to
make an incentive for a few partners. Accordingly, a plan of action is about what makes
clients return to your application, administration, or item. A plan of action is every one of
those things together. So, when those pieces meet up, that is the point at which you can say to
have a plan of action. Microsoft is an innovation organization that gives programming items
and administrations to its customers. Their business model can be classified as: 

Customer Segments:

Microsoft focuses on a scope of clients that can normally be isolated into business customers
and general buyers. It fundamentally offers programming and distributed computing
arrangements through its efficiency suite Office 360, email stages Outlook and Exchange and
web based calling stage Skype, which are used by both end clients and organizations.
Microsoft's worker the board, IT support and counselling administrations are pointed to a
great extent at corporate customers, while its items and administrations relating to its cell
phone and computer game stages focus on the mass market.

Value Propositions:

Microsoft has set up a standing as a solid supplier of programming arrangements and is


viewed as a market chief. Large numbers of the Company's items are accessible for nothing
and can be gotten to either by means of the MSN entry or through the Company's different
applications. 

This similarity is a major draw for Microsoft, especially inside the business local area where
its working framework and set-up of Office 360 items are generally viewed as the
instruments of decision.
Channels: 

A lot of  Microsoft's items – including Outlook, Office, OneNote, OneDrive and Skype – are
accessible online by means of its MSN web-based interface at www.msn.com. The Company
additionally has various separate work area, Apple iOS and Google Play applications for its
items. 

A portion of the Company's items should be downloaded and introduced straightforwardly on


to client PCs to be gotten to. Large numbers of the Company's different administrations –
including its counselling and client assistance administrations – can be gotten to by means of
Microsoft's deals and showcasing group.

Customer Relationships:

Microsoft's different client sections require contrasting degrees of correspondence with the
actual Company. Its product and equipment items are generally self-support and don't need
any huge individual communication with deals and promoting agents. The arrangement of big
business efficiency administrations, notwithstanding, requires a more noteworthy level of
individual help with request to appropriately satisfy the individual necessities of every
customer. 

Likewise, direct joint effort with Microsoft agents is fundamental in giving counselling and
backing arrangements and publicizing administrations. Microsoft additionally associates
straightforwardly with its clients by means of person to person communication profiles on
Facebook and Twitter.

Key Activities:

Microsoft creates, licenses and supports a scope of big business and customer programming
items and administrations. This incorporates working frameworks for PCs, workers and
telephones, worker applications and the board instruments, and profitability applications. 

The Company additionally plans and sells equipment items, including PC embellishments,
cell phones and computer games consoles and adornments; and conveys internet publicizing
arrangements. Also, Microsoft gives subordinate IT counselling and item support
administrations to customers across different areas.
Key Partners:

Microsoft deals with a broad organization of associations, coordinated under the Microsoft
Partner Network, fully intent on empowering tech organizations to assemble their
organizations around Microsoft advancements and to offer types of assistance for the
Company's benefit. 

As a trade-off for their interest Microsoft Certified Partners get backing and instruments
straightforwardly from Microsoft, and are given admittance to items at a limited cost.
Accomplices can accomplish gold and silver organization abilities, with gold accomplices –
those viewed as top tier – accepting extra advantages, for example, free admittance to
Microsoft apparatuses. Microsoft has as of late dispatched organizations with programming
organization Jasper, adventure creation studio ConsenSys, Chinese hardware producer China
Electronics Technology Group, and gaming programming firm Valve VR, among others.

Resources: 

Microsoft's distinct advantages worry its scholarly properties and exclusive advances, relating
generally to  executives and programming items. This likewise incorporates its actual server
farms and workers. The Company's work force, especially inside its innovative work groups,
are critical to keeping up Microsoft's market position, recruiting just the top up-and-comers
after a broad confirming cycle. 

Author Gates himself, seen inside the business as a creative and ground breaking pioneer, can
likewise be viewed as a distinct advantage. As one of the world's biggest organizations by
income, Microsoft has huge amounts of money available, permitting the Company to be
adaptable in its methodology and core interest.

Cost structure: 

As a broadened innovation organization, a lot of Microsoft's expenses identify with


innovative work tasks, this incorporates the maintenance of master staff. Moreover, the
Company likewise gathers cost comparable to the upkeep of its protected server farms and
workers. Microsoft likewise has a generous promoting financial plan and an enormous
outreach group to stay cutthroat in an undeniably soaked field. Microsoft's various provincial
workplaces cause critical fixed expenses, including office rental and utilities.
Revenue streams: 

Microsoft keeps up expanded income streams and is regularly positioned among the world's
best 100 organizations coordinated by income. The Company's income is isolated into three
chief portions: 

● Productivity and Business Processes


● Intelligent Cloud
● More Personal Computing

Income credited to Microsoft's Productivity and Business Processes section incorporates that
created by the deal and authorizing of its different programming items and cloud
administrations across a scope of gadgets and stages. This contains business and buyer
permitting of Microsoft's set-up of profitability items and cloud administrations, including
those relating to the Office 365 suite, email stages Exchange and Outlook.com, content
administration instruments Share point and OneDrive, and call administrations supplier
Skype. 

Microsoft's Intelligent Cloud fragment involves all income created by its worker items and
distributed storage administrations, including the deal and permitting of Windows Server,
Microsoft SQL Server, Visual Studio, System Centre and Microsoft Azure administrations to
business customers and general shoppers. Income from the Company's help and counselling
administrations – which mean to create imaginative IT answers for organizations – are
likewise assembled into this fragment. 

Microsoft's More Personal Computing section relates basically to its items and
administrations that give cross-stage utilities to end clients, designers and experts on
numerous gadgets. This incorporates permitting of Windows working frameworks, Microsoft
licenses, and Windows telephones; the offer of Microsoft gadgets, including cell phones and
PC frill; and the offer of licenses and items identifying with the Microsoft Xbox gaming
stage, including Xbox Live memberships, exchanges, outsider computer game sovereignties
and publicizing. Search publicizing income created by Microsoft's Bing web crawler and
show promoting income from the MSN entry are likewise remembered for this section

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