Microsoft Company Background Microsoft Is Research Paper

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The gross margin for the company in this quarter was 80.9%, up from the previous quarter and also up significantly year-over-year. The first full quarter of Windows 7 results will the third quarter of fiscal 2010, and the result of that quarter will not be released until April 22, 2010 according to the Microsoft Investor Relations website.

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During the development of these two latest iterations of Windows, Microsoft has gone through two reorganizations. Both of these placed emphasis on the creation and refinement of the Windows operating group as an independent profit center. The stated goal in both instances was to spur innovation and product development. Windows 7 came to market much more quickly than Windows Vista, which may indicate that the strategy worked. However, Windows 7 represented a refinement over Vista, whereas Vista was significantly different from XP, meaning that 7 would naturally require a shorter lead time.

For Microsoft, the current strategy has been largely successful. Windows receives a tremendous amount of focus within the company and rightfully has its own unit. The marketing of Windows is conducted both globally (to OEMs) and at the national level.

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This structure is congruent with the high degree of standardization among Windows products worldwide.

The Windows 7 experience shows a trend towards more senior executive involvement in the Windows franchise. For the future, it is recommended that this support continue, primarily on a marketing basis. The fact that Vista was only a moderate success indicates that while the Windows development is indicative that while the reorganization has been a success in terms of product development, there may still be some marketing issues that need to be resolved. Senior management involvement, however, is a panacea for genuine change. At some point, Microsoft will need to find a way for its global marketing arms to have more influence on Windows. These arms right now are not empowered to any length, and are expected to sell whatever product is delivered to them. In future, a higher status should be given to the marketing element, to ensure that Windows receives a level of marketing support as high as the development support it receives.

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