Econ+140+Microsoft+Case+Study-+No+ANS - Strategies Used by...

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Strategies Used by Microsoft to Leverage its Monopoly Position in Operating Systems to Internet Browser Markets Case Summary Microsoft is the world’s largest supplier of computer software. It has dominant market share of PC operating systems with its Windows system. High barriers to entry prevent significant competition in the operating systems market. The primary barrier is that a large number of software programs must be able to interface with any operating system to make it attractive to end users. It would be extremely difficult for any competitor to create a new operating system and create or encourage the creation of completely new software to compete with Windows. However, the development of Internet Browser programs, specifically Netscape, threatened this barrier, by allowing software developers to create software that could run using the browser software as a platform for the program. Therefore, software could be created that could still be used with Microsoft Windows, but would not have to be. Microsoft recognized this development as a threat to its operating system monopoly.
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This note was uploaded on 12/13/2011 for the course ECON 100A taught by Professor Safarzadeh during the Fall '09 term at UC Irvine.

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Econ+140+Microsoft+Case+Study-+No+ANS - Strategies Used by...

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