Microsoft Questions - MSFT case questions Microsoft case...

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MSFT case questions Microsoft case will be used to introduce you to the software ecosystem and the underlying economic characteristics. Think about the following questions: 1. What products are offered by Microsoft Microsoft Windows, Microsoft Office, Xbox, MSN 2. Identify key economic characteristic(s) of each product. Microsoft Windows: Microsoft windows does not have economies of scale. The fixed cost and initial investment in R&D is high. As the product is sold to many people, investments in R&D must continue to keep the product updated with the highest security. Windows does have a one sided network effect. As more people use Microsoft and utilize its unique features, Windows will become more and more popular. As more people use Windows, the value for consumers will increase. Also, Windows’ popularity has increased use and comes preloaded onto PCs. With this, it also has an indirect network externality with PCs. As more people choose to use Windows, an increase of sales in PCs will occur. And as more PCs are purchased, more people will use
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Microsoft Questions - MSFT case questions Microsoft case...

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