PROFESSIONAL PRACTICUM I

SEC # C
PARTICIPANTS
Maidah Amjad F2021392150
Amna Moheen F2021392146
Mahnoor F2021392114
Sawera Zaka F2021392225

RESOURCE PERSON: Sir Imran

 MICROSOFT
The world's biggest supplier of computer software is Microsoft. In addition, it is a top supplier
of internet search, gaming gear, video games, cloud computing services, and other services.
Microsoft has operations throughout more than 60 countries.

HISTORY
Bill Gates and Paul Allen created Microsoft, a global technology business, on April 4, 1975. Its
history may be broken down into many key phases:
1. Early Years (1975–1980s): Software development for early personal computers, such as the
Altair 8800 and IBM PC, was Microsoft's primary focus. They agreed to supply IBM with an
operating system for the IBM PC in 1980, which resulted in the development of MS-DOS.
2. MS-DOS and Windows (1980s–1990s): Microsoft proceeded to create Windows, a graphical
user interface for MS-DOS, while MS-DOS emerged as the main PC operating system. 1990 saw
the introduction of Windows 3.0.
3. Rise to Dominance (1990s): Windows 95 and 98 secured Microsoft's standing as the top PC
operating system supplier. Microsoft Office also become quite well-liked.
4. Internet and Expansion: Microsoft created Internet Explorer and joined the web browser
industry in the late 1990s and early 2000s. They entered a number of new markets, like as cloud
computing with Azure, gaming with Xbox, and acquiring LinkedIn and Skype.
5. Transition to a New Era (2010s): Microsoft refocused on cloud services and artificial
intelligence (AI) under CEO Satya Nadella's direction. During this time, Windows 10, Office 365,
and Azure were important products.
6. Recent Developments (2020s): In 2016, Microsoft acquired LinkedIn, a significant step in the
company's ongoing efforts to broaden its cloud computing offerings. Microsoft introduced
Windows 11, its most recent operating system, in 2021.
Microsoft has shaped the personal computer industry over the course of its existence. Its
influence has been felt in software, operating systems, office productivity, and enterprise
solutions. It is still among the biggest IT corporations in the world.

MISSION
Microsoft's mission is to empower every person and every organization on the planet to
achieve more. The company's dedication to using technology to assist people and organizations
in achieving their objectives and being more productive is reflected in its mission statement.
Windows, Office, Azure, and other Microsoft services and products are among the many that
are created with this goal in mind.
BUSINESS MODEL
Microsoft offers a broad range of goods and services under its complex business strategy.
Below is a summary of Microsoft's main business sectors and the ways in which it makes
money:
1. Efficiency and Commercial Procedures: Products and services including Microsoft
Office, Office 365, Microsoft 365, Exchange, SharePoint, Skype for Business, and
LinkedIn are included in this category. One-time purchases, license agreements, and
subscription-based business models all provide revenue.
2. Intelligent Cloud: This category includes cloud computing platform Microsoft Azure
as well as additional cloud services. Azure provides Microsoft with income streams in
the form of cost-per-usage pricing, licensing, and support services.
3. More Personal Computing: This category includes a variety of goods aimed at
consumers, such as Xbox games, Surface devices, Windows, and search advertising.
The sale of Windows licenses to computer makers, hardware sales, gaming services,
and Bing advertising are the sources of revenue.
4. LinkedIn: LinkedIn is a professional networking site that is a component of the
Productivity and Business Processes category. It makes money via advertising,
staffing solutions for businesses, and premium memberships.
5. Server and Tools: Previously, this category included Windows Server and associated
goods; however, it has been merged into the more expansive categories of More
Personal Computing and Intelligent Cloud.
6. Dynamics: The enterprise resource planning (ERP) and customer relationship
management (CRM) system Dynamics 365 is covered in this section. Sales of
subscriptions and licensing bring in money.
The shift in Microsoft's business strategy from traditional software sales to a more cloud-
focused and subscription-based model is evident. The business has generated significant
recurring income by effectively utilizing its broad product portfolio, strong enterprise presence,
and cloud services. In example, Microsoft's Azure platform, which offers infrastructure and
services to companies all over the world, has grown to be a significant participant in the cloud
computing market.
Furthermore, Microsoft has attempted to bring together its many offerings and services,
therefore facilitating an uninterrupted user journey and promoting support. To be on the
cutting edge of innovation and technology, the organization also makes significant investments
in research and development.
COMPETITORS
Microsoft's main rivals in the tech sector include a few of these:
1. Apple Inc.: This competitor may be found in markets for operating systems, software, cloud
services, and personal computers.
2. Google (Alphabet Inc.) - This competitor is present in search engines, cloud computing
(Google Cloud), mobile operating systems (Android), and productivity software (G Suite).
3. Amazon: This company competes in e-commerce, cloud computing (via Amazon Web
Services), and a range of hardware and software goods.
4. IBM: This competitor offers cloud services, AI, and corporate applications.
5. Oracle: This competitor offers cloud services, corporate software, and database software.
6. Adobe: This competitor offers marketing and creative applications (like Photoshop and
Illustrator).
These are but a few illustrations of how the competitive environment in the technology sector
is ever-changing and dynamic.

COMPETITIVE ADVANTAGE
Microsoft's long-term success in the technology sector may be caused by a number of
competitive advantages. Among these benefits are the following:
1. Strong Brand Recognition: Microsoft has an edge in winning over customers' trust and
loyalty since it is a well-known brand around the world that is associated with dependability
and trustworthiness.
2. Product Ecosystem: Office, Windows, Xbox, Azure, and LinkedIn are just a few of the many
products and services that Microsoft has developed. Customers may easily use different
Microsoft products thanks to this integrated environment, which leads to cross-selling and
restrictions.
3. Leading Cloud Computing: Azure is a top cloud computing platform that offers a large
selection of cloud infrastructure and services. Microsoft is in a strong position in the quickly
expanding cloud sector because to its investments in cloud technology.
4. Diverse Revenue Streams: Software, cloud services, hardware, gaming, and professional
services are just a few of the industries from which Microsoft derives its money. This variety
lessens the dangers that come with depending too much on one product or market.
5. Research & Development: Microsoft makes significant investments in this area, which helps
them stay ahead of the curve and remain competitive in the fields of future technologies like
IoT, quantum computing, and artificial intelligence.
6. Developer Ecosystem: To produce apps and services for its platforms, Microsoft maintains a
large developer and partner community. Microsoft's services and products are more valuable
because of this extensive developer support.
7. Cyber Security Focus: Microsoft provides a variety of security products and services in
response to the increasing focus on cyber security. Organizations that prioritize security find it
more appealing due to its emphasis on safeguarding client data.
8. Strategic Acquisitions: Microsoft makes purposeful purchases of businesses to enhance its
current product line, broaden its product offering, and provide it with a competitive advantage.
For instance, its professional network and advertising capabilities have benefited greatly from
its purchase of LinkedIn.
9. Regulatory Experience: Microsoft's familiarity with handling regulatory matters has enabled
it to better travel the legal environment of the technology sector, even in the face of prior
antitrust charges.
The combination of Microsoft's past successes, continuous innovation, and flexibility in reaction
to shifting market conditions gives it a competitive edge. These elements have contributed to
Microsoft's continued prominence in the technology industry.

CUSTOMER EXPERIENCE VS CUSTOMER NEEDS

When it comes to offering value to consumers, a company's approach must take into account
both customer needs and customer experience. It's critical to look at Microsoft's approach to
meeting customer wants and experience in the context of the software which offers a wide
range of goods and services.
Microsoft Customer Experience:
1. User-Friendly Interfaces: Microsoft makes large investments to develop user-
friendly interfaces for its software, including Office, Windows, and Azure. By
emphasizing ease of use, Microsoft's products improve the user experience for all
customers and facilitate user interaction.
2. Customer Support and Training: Online resources, troubleshooting manuals, and
customer care agents are just a few of the customer support services that Microsoft
provides. These resources help create a pleasant customer experience by quickly
responding to questions and concerns from customers.
3. Product Integration: A smooth user experience is made possible by the way
Microsoft's products are made to function together. For example, combining
Microsoft Office software with Windows OS offers consumers an easier and more
effective experience.
 4. Updates and Improvements Frequently Released: Microsoft fixes faults and adds
new features to its software and services via regular updates. This strategy increases
consumer satisfaction by ensuring that items are up-to-date and relevant.
Microsoft Customer Needs:
1. Security and Privacy: Consumer demands for privacy and data security are critical,
particularly in light of the growing dependence on personal devices and cloud
services. To address these demands, Microsoft makes investments in strong security
measures.
2. Compatibility: Users frequently need Microsoft products to work together across
many platforms. Microsoft works hard to make sure that its products are compatible
with one another so that consumers may operate more easily across different
devices.
3. Scalability: Requirements for scalability vary widely among enterprise clients.
Microsoft responds to this by providing enterprise-level services and flexible
solutions via its Azure cloud platform.
4. Accessibility: It's critical to address the needs of people who have disabilities. In an
effort to serve a wider range of users, Microsoft has included accessibility tools like
screen readers and voice commands in its products.
5. Affordability: It's critical to provide affordable solutions, especially for small
enterprises and educational institutions. Microsoft provides a range of price choices
and license options to suit a variety of budgets.

NPS
BCG MATRIX
A strategic planning tool called the BCG (Boston Consulting Group) Matrix is used to assess a
company's line of goods or business divisions. Based on their market share and rate of growth,
it divides goods and business units into four quadrants: Stars, Question Marks, Cash Cows, and
Dogs. Let's use the BCG Matrix to examine Microsoft's product portfolio and offer justifications
for each quadrant:
1. Stars:

 Microsoft Teams (Cooperation and Communication)

 Microsoft Azure (Cloud Services)
Justification: With a substantial market share and quick market expansion, Microsoft Azure is a
global leader in the cloud services sector. It is a star since it can expand even more significantly
and makes a sizable amount of income. Particularly during the COVID-19 outbreak, Microsoft
Teams became a very popular platform for cooperation and communication. Its potential for
expansion is likewise high.
2. Question Marks:

 The Gaming Division of Xbox

Justification: There is a question mark next to the Xbox division. The gaming business, despite
its considerable market share, is fiercely competitive and demands ongoing expenditures in
research and development. Xbox has room to develop, but it also confronts challenges and
could require additional funding to hold onto or grow its market share.
3. Cash Cows:

 Microsoft Office Suite (Word, Excel, PowerPoint).

 Windows OS (Windows 10, Windows 11).
Justification: The Windows operating system and the Microsoft Office Suite are profitable
ventures. They command a large portion of the market, and even though their growth rates
may not be as rapid as those of more recent products, they still bring in a sizable sum of money.
These goods offer a steady revenue stream and a stable place in the market.
4. Dogs

 Microsoft Edge
Justification: Microsoft Edge belongs in the Dogs group. In a fiercely competitive market where
Google Chrome and Mozilla Firefox dominate, it has a small market share. Without major
investment, Microsoft Edge does not have high growth potential and has not been able to gain
significant popularity or market share.
In conclusion, the BCG Matrix can be used to analyze Microsoft's product portfolio. Azure and
Teams, which have a large market share and room to grow, are two of Microsoft's shining stars.
Xbox is a question mark because it has room to grow but is also unreliable. The Windows
operating system and the Microsoft Office Suite are money makers that bring in consistent
income. Microsoft Edge has a small market share and little room for expansion. Microsoft uses
the BCG Matrix analysis to inform strategic choices about product management and resource
allocation across its wide range of products.

SWOT ANALYSIS
One of the biggest software firms in the world, Microsoft, has strengths, weaknesses,
opportunities, and threats. A SWOT analysis of the company helps understand these factors in
the context of the ever changing technology sector.
Strengths:
1. Market Dominance: With its Windows operating system and Office productivity
suite, Microsoft has a strong grasp on the personal computer and productivity
software sectors. This monopoly on the market offers a reliable source of income.
2. Product Ecosystem: Microsoft provides a vast array of services and products, such as
Xbox gaming, LinkedIn, and Azure cloud computing, forming a varied product
ecosystem that serves both individual and business clients.
3. Strong Brand: Microsoft has a reputable and well-known brand that is associated
with durability and creativity. This consumer loyalty is fueled by this brand capital.
4. Financial Resources: The business has significant financial resources, which enable it
to fund R&D, buy new technology, and overcome obstacles in the market.
5. Research and Development: Microsoft makes significant investments in this area to
promote creativity and the creation of new goods and services. This helps the
business to maintain its competitiveness in the quickly changing IT sector.
Weaknesses:
1. Dependency on Windows: Microsoft is vulnerable to the uncertainties of the
personal computer industry due to its strong reliance on the Windows operating
system. Its revenues may be immediately impacted by any decrease in PC sales.
2. Legacy Products: Microsoft has a number of legacy products that can be hard to
keep up to date and limit its ability to quickly adopt new technology and market
trends.
3. Competition: There is fierce rivalry from businesses like Apple, Google, and Amazon,
particularly in the domains of internet services, cloud computing, and mobile
devices.
 4. Complex Organizational Structure: Microsoft's organization's size and complexity
can occasionally make it more difficult to make timely decisions and react to
developments in the market.
5. Privacy and Security Concerns: Microsoft, like many other IT businesses, is subject
to inspection from regulators and has difficulties with regard to the privacy and
security of user data.
Opportunities:
1. Growth in Cloud Computing: The Azure cloud platform from Microsoft is expanding
rapidly, offering chances to profit from the growing market for cloud services.
2. AI and Machine Learning: By utilizing these technologies, companies may improve
their current offerings and generate new sources of income.
3. Digital Transformation: Microsoft can strengthen its position in the enterprise
software and services industry by helping businesses with their digital
transformation initiatives, including remote work solutions.
4. Gaming Industry Expansion: The success of Xbox and associated services provide
Microsoft with chances to grow in the gaming sector, particularly with cloud-based
gaming services.
5. Purchases: Microsoft may continue to find key startups to buy, building on its track
record of successful purchases (e.g., Git Hub, LinkedIn).
Threats:
1. Cyber Security Risks: Microsoft is a target for cyber-attacks since it is a large tech
firm, and any compromise might harm the company's standing and financial
viability.
2. Regulatory Challenges: Microsoft's business operations and market positioning may
be impacted by heightened regulatory monitoring and possible monopolistic
proceedings.
3. Market Saturation: Certain markets, like those for productivity software and
personal computers, may have reached a point of oversupply, which reduces room
for expansion.
4. Shifting Customer Behavior: Microsoft's current revenue models may face
difficulties due to changing customer preferences, such as the move from traditional
software to cloud-based services.
5. Global Economic Conditions: Microsoft's sales and growth opportunities may be
impacted by economic downturns and uncertainties that influence technology
expenditure.
Justification:
Microsoft has been able to withstand changes in the business and hold a leadership position
because of its strengths in market domination, a varied product ecosystem, a strong brand, and
financial resources. The future development of the firm is well-positioned due to its continuous
investment in R&D and innovation, as well as its concentration on cloud computing and artificial
intelligence.
Microsoft does, however, have challenges because of its reliance on Windows, its legacy
product line, rivalry, and organizational complexity. It needs to adjust to shifting market
conditions, especially in the areas of digital transformation and cloud computing.
Opportunities in artificial intelligence, cloud computing, and game expansion are in line with
current industry trends. Strategic purchases, like the one made by LinkedIn, have worked well
and can yet improve Microsoft's offering.
Cyber Security threats, regulatory obstacles, market saturation, shifting customer preferences,
and ongoing economic conditions are some of the threats. For Microsoft to maintain its
development and position as a leader in the technology sector, these problems need to be
addressed aggressively.

CONCLUSION
In conclusion, Microsoft is a massive player in technology that has significantly impacted the
software and computer industries. It is important to take into account Microsoft's present
financial performance, strategic goals, competitive landscape, and social effect. The capacity of
Microsoft to innovate, adjust to shifting market conditions, and meet changing consumer
expectations will determine the company's destiny.