Environmental Scanning Example

An environmental scanning procedure entails an organization collecting data about the industry in which it participates, such as the economy, government, laws, and demographic elements such as population size and distribution. The company should concentrate on its rivals.

The purpose of environmental scanning is to help the organization identify opportunities and threats in its external environment that could impact its business.

Microsoft is a technology company that develops, manufactures, licenses, supports and sells computer software, consumer electronics, personal computers, and services. Its best known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite of productivity software, Xbox, a line of entertainment of games, and Bing, a search engine. The company was founded by Bill Gates and Paul Allen in 1975. Microsoft is headquartered in Redmond, Washington.

The global computer operating system market is forecast to decline at a CAGR of -3.5% during the period 2019-2023. One of the major factors driving the market growth is the declining PC shipments.  The decline in PC shipments is due to the popularity of smartphones and tablets, which offer more portability and are increasingly becoming powerful enough for tasks that were traditionally performed on PCs, such as browsing the internet, checking email, and working with office documents.

In addition, the increasing popularity of cloud-based services is another factor expected to negatively impact the market growth during the forecast period. Cloud-based services are offered by third-party vendors and allow users to access applications and store data on remote servers. These services are becoming increasingly popular as they offer several advantages over traditional on-premises software, such as pay-as-you-go pricing, scalability, and increased flexibility.

A company’s marketing efforts are only as effective as the research it conducts. The firm should examine the study for trends, possibilities, and threats that may have an influence on its operations. To assess a company’s strengths and shortcomings, an internal survey is required. An organization should obtain information from the community it does business with and speak with group leaders or use questionnaires to gather data.

The community should also be scanned for its demographics, trends, and any other information that would help the organization better understand its environment. The Industry should also be studied for trends, opportunities and threats. Microsoft should also research the different types of systems available to them and their impact on business. The company should also review their current marketing mix and make changes where needed. All this information will help the company make decisions about the future of their business.

– An environmental scan is important for Microsoft because it helps the company understand the different trends that are happening in its industry as well as how these trends might impact its business.

– By understanding the strengths and weaknesses of their own organization, Microsoft can make better decisions about where to focus their resources in order to stay competitive.

– By understanding the demographics of their community and the different types of systems available, Microsoft can make better decisions about how to reach their target market.

– Reviewing their current marketing mix will help Microsoft determine what changes need to be made in order to be more successful in the future.

An external examination of the business is the opportunities and challenges that exist outside it. When conducting an environmental scan, a variety of techniques should be used to gather data, including books, focus groups, leadership inside and outside the company, and the media. After data has been acquired, the conclusion phase is to evaluate it and identify possible improvements using a SWOT analysis, a resource-based viewpoint, and VRIO framework.

Microsoft is an American multinational technology company with headquarters in Redmond, Washington. It develops, manufactures, licenses, supports and sells computer software, consumer electronics, personal computers, and services. Its best known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite of productivity software, Xbox gaming console, and the Internet Explorer web browser. The company was founded by Bill Gates and Paul Allen on April 4, 1975, to develop and sell BASIC interpreters for Altair 8800.

It rose to dominate the personal computer operating system market with MS-DOS in the mid-1980s, followed by Microsoft Windows. The company’s 1986 initial public offering (IPO), and subsequent rise in its share price, created three billionaires and an estimated 12,000 millionaires from Microsoft employees. Since the 1990s, it has increasingly diversified from the operating system market and has made a number of corporate acquisitions. In May 2011, Microsoft acquired Skype Technologies for $8.5 billion in its largest acquisition to date.

Microsoft has been criticized for antitrust violations by regulators around the world. In 2000, the European Commission fined Microsoft €497 million ($613 million at that time) for breaking EU competition law. In 2004, Microsoft was ordered to pay €280.5 million fine in France for similar charges. In March 2004, The Times reported that “Critics say that Mr Ballmer and Mr Gates used their monopoly power to force PC manufacturers into signing deals that prevented them from using non-Microsoft operating systems”, and that “The Justice Department says that Microsoft used its monopoly to crush competition in every major market where it faced a challenge.”

In March 2009, the EC again fined Microsoft €899 million for breaking EU antitrust rules. In June 2012, Microsoft was ordered by the United States District Court for the District of Columbia to stop selling Microsoft Word in the United States because it infringed on copyrights held by Canadian software company i4i.

Microsoft has also been accused of unfair business practices regarding third-party applications and anti-competitive behavior. On December 16, 2010, The Wall Street Journal reported that Microsoft had threatened litigation against computer manufacturers if they installed Google’s Chrome browser on computers running Windows 7.

On February 3, 2011, it was reported that Microsoft had agreed to pay $1.1 billion to settle a class action lawsuit that accused the company of overcharging customers for its Word software. In May 2012, it was reported that Microsoft had been sued by consumer groups in the United States, alleging that the “Do Not Track” feature in Internet Explorer 10 does not actually prevent online behavioral tracking by third-party websites and ad networks.

Microsoft has also been criticized for its support of the Stop Online Piracy Act (SOPA). On January 18, 2012, several major websites, including Wikipedia and Reddit, went offline for 24 hours to protest against SOPA and PIPA. Google, Mozilla, and other companies also joined the protest by blacking out their logos or linking to protest sites. Microsoft did not participate in the protest, and later came under fire for its support of SOPA. In response, Microsoft released a statement saying that it “did not pick sides” and that it “does not believe that SOPA is an effective way to address online piracy.”

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