COMPREHENSIVE EXAM _ OF MICROSOFT

CORPORATION

SUBMITTED TO:
Sir Dr.
SUBMITTED BY:

-1
Master of Business Administration - Cairo
E
xecutive Summary
Microsoft is an American public multinational corporation founded by Bill Gates and
Paul Allen on April 4, 1975, with a vision of a PC on every desktop by a Harvard
dropout. Its headquarters are located in Redmond, Washington. The company has
offices in over 60 countries around the world. Its main operations center's are located

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in Dublin, Ireland, Hu Macao, Puerto Rico, Reno, Nevada, and Singapore. Today,
Microsoft rules the world and is a leader in a variety of industries. Microsoft had $73
billion in revenue in fiscal year 2012, which ended on June 30, 2012. Microsoft is a
Fortune 100 company with a diverse portfolio of resources, alliances, global
operations, customers, and critics. Microsoft Corp. is a publicly traded company on
.the NASDAQ
Microsoft is at the start of a new era of unprecedented change, the Fourth Industrial
Revolution, powered by technologies from the physical, digital, and genetical spheres.
This revolution has great potential for addressing the critical challenge of climate
change by facilitating conversion across all aspects of society as the world transitions
to a low-carbon economy. Cloud computing is driving the revolution, and they
recently launched initiative and book A Cloud for Global Good, they commit to public
policy to make the cloud more trustable, dependable, and supportive.

TABLE OF CONTENT

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Executive Summary
2 . Introduction to Microsoft Corporation
3 A comprehensive carbon programme: The Critical Need for Action………………………………………………..
3.1 microsoft current programme focus
3.2 microsoft strategy to become carbon neutral
3.3 microsoft pillar 1 be lean
3.4 microsoft pillar 2 be green
3.5 microsoft pillar
4. grounding in science and math
5. microsoft carbon negativity by 2030
6. HISTORY
7. THE MISSION AND VISION STATEMENT
8. MICROSOFT CORE VALUES
9. EXTERNAL ENVIROMENT ANALYSIS
9.1.1 POLITICAL Factors/13
9.1.2 ECONOMICAL Factors
9.1.3 SOCIAL FACTORS
9.1.4 TECHNOLOGICAL FACTOR
9.1.5 LEGAL FACTORS
9.1.6 ENVIROMENTAL FACTORS
9.2 OVERVIEW MICROSOFT FIVE FORCES ANALYSIS
9.2.1 COMPETITIVE RIVALRY OR COMPETITION WITH MICROSOFT CORPORATION
9.2.2 BARGAING POWER OF MIROSOFT CUSTOMERS / BUYERS
9.2.3 POWER OF MICROSOFT SUPPLIERS …………………………………19
9.2.4 THREAT OF SUBSTITUES OR SUBSTITUTION
9.2.5 THREAT OF NEW ENTRANTS
9.2.6 RECOMENDATIONS
9.3 EXTERNAL AUDIT
9.3.1 EXTERNAL FACTOR EVALUATION (EFE)
9.4 COMPETITIVE PROFILE MATRIX
9.4.1 FINDING
9.4,1,1 SCIENCE AND TECHNOLOGY
9.4.1.2 CREATIVITY
9.4.1.3 CORPORATE ACCOUNTABILITY
9.4.1.4 INTERPRETATION
10 . THE INTERNAL ENVIROMENT ASSESSMENT
10.1 SWOT ANALYSIS
10.1.1 FINDING
10.2 INTERNAL AUDIT
10.3 TWOS ANALYSIS
10.2.1 FINDING
10.3 STATEGIC POSITION AND ACTION EVALUTION
10.3.1 SPACE MATRIX
10.4 INTERNAL AND EXTERNAL MATRIX
10.5 QSPM MATRIX
10.5.1 USING ALL POSSIBLE ACTIONS
10.5.2 FACTORS MUST CONSIDER TO EVALUTAE EACH OPTION ……………………………………………….. 30
10.5.3 OPTION ONE ………………………………………………………………………………………………………….. 30
10.5.4 OPTION TWO ………………………………………………………………………………………………………….. 31
11. RECOMMENDATIONS STATEGY …………………………………………………………………………………… 31
12. IMPLEMTATION AND CONTROL ……………………………………………………………………………………. 32
13. BUSSINES PLAN ……………………………………………………………………………………………………… 34
13.1 EXCUTIVE SUMMARY ………………………………………………………………………………………………… 35
13.2.MICROSOFT BUSSINES STRATEGY ………………………………………………………………………………. 36
13.3 COMPANY DESCRIPTION……………………………………………………………………..………………………..37
13.4 MARKET SHARE AND IMPORTANCE……………………………………….………………………………………..38
13.5 LICENCES……………………………………………………………………….…………………………………………38
13.6 PATENTS……………………………………………………………………………………………………………………38
13.7 COMPANY STRUCTURE / OWNERSHIP………………………………………………………………………………39
13.8 MAJOR SHAREHOLDERS……………………………………………………….………………………………………39
13.9 THE MARKETING STATEGY …………………………………………….…………………………………………39/40
13.10 TAKE PRINCIPLED POSITION ………………………………………………….……………………………………40
13.11 ANALYSIS OF MICROSOFT COMPETITIVE ………………………………………………………………………..41
13.12 MICROSOFT COMPETITIVE ANALYSIS AVER ITS COMPETITORS …………………………………..………41
13.13.1 WHO HAS THE GREEN CLOUD ?..........................................................................................................................42/46
14. MICROSOFT MARKETING MIX………………………………………………………………..………………………..45
14.1 PRICE MIX OF MICROSOFT………………………………………………………………..………………………..45/47
14.2.PROMOTIONAL MIX OF MICROSOFT………………………………………………………………….……………..47
15. FINANCIAL ………………………………………………………………………………………………………………….48
15.1 MSFT FINACIAL OVERVIEW……………………………………………………………………..…………………….48
15.1.2 MSFT INCOMASTATEMENT……………………………………………………………..……………………………49
15.1.3 MSFT BALANCE SHEET …………………………………………………………….………………………………..50
16. CLOSING THOUGHTS and refeneces …………………………………………………….…..……………………….54/55

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2. Introduction to Microsoft Corporation
Microsoft is an American multinational computer technology corporation founded on
April 4, 1975. Microsoft, founded by Harvard College dropout Bill Gates and his
childhood friend Paul Allen, has grown to become the world's largest software
company. It is also one of the world's most valuable corporations, Windows Mobile
OS is used by numerous sellers including HTC, LG, Samsung and LG. Microsoft had
to cut the prices of their gaming consoles to gain a higher market share. Office 365 is
a cloud version of Office business software suite . Microsoft was the first software
company to reach $1 billion in revenues. In 1990, Gates showed the future plan for
Microsoft with the introduction of Windows 3.0. Vista was released to the general
public in 2007 and it was the new operating system. Microsoft acquired Skype in
2011 for $8.5 billion.
Microsoft Corporation is a global leader in the development of computer software
systems and applications. Furthermore, the company publishes books and multimedia
titles, produces hybrid tablet computers, offers e-mail services, and sells electronic
game systems and computer peripherals (input/output devices). It has sales offices
throughout the world. In addition to its main research and development center in
Redmond, Washington, United States, Microsoft has research labs in Cambridge,
England (1997), Beijing, China (1998), Bengaluru, India (2005), Cambridge,
Massachusetts (2008), New York, New York (2012), and Montreal, Canada. BASIC
was adapted for use on an early personal computer by Bill Gates and Paul G. Allen.
MS-DOS debuted alongside the IBM PC in 1981. Windows 3.0 and subsequent
versions sold one million copies per month by 1993. Nearly 90% of the world's PCs
ran Microsoft's operating system. Microsoft went public in 1986, and it has
consistently earned profits of 25 cents on every dollar of sales, an incredible record.
Some claimed that the company's practices violated US unfair competition laws.
Microsoft and its supporters argued that the company's rise had fostered innovation.

3. A comprehensive carbon programme: The Critical Need for

Action
These cloud-enabled technologies are now "impacting all disciplines, economies, and
industries, and even challenging ideas about what it means to be human." 2 As our
CEO, Satya Nadella, puts it, "data is the new currency in the Fourth Industrial
Revolution."
Cloud computing should enable [non-governmental organizations (NGOs)] and
civic organizations to gain access to world-class technology and, as a result, to create
world-class products solutions.” Microsoft also recently launched the initiative and
book A Cloud for Global Good.
which includes more than 70 public policy recommendations divided into 15
categories to aid in cloud adoption technologies that are more reliable, responsible,

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and inclusive This effort reflects the values of our organization, view of the global
potential for cloud-powered transformation and shared responsibility .
Microsoft is dedicated to taking significant action to combat climate change. they've
taken a number of steps to reduce our environmental impact, most notably through
their carbon programmed. Since 2012, our commitment to carbon neutrality and their
carbon fee model have assisted us in responsibly managing our business's direct
carbon (or climate) impact.
Microsoft's dedication does not stop there. While they address the carbon footprint of
their operations and cloud services, they are also excited about the possibility of using
their technology, particularly their cloud services, to assist individuals, organisations,
and communities in the global transition to a low-carbon economy.

3.1Microsoft current programme focus

they have been operating at 100 percent carbon neutrality—or climate neutrality3—
for all of their operations, including datacenters, offices, software development labs,
manufacturing plants, and business air travel, since July 2012. As they strive for long-
term operations, they hope to:
 Be lean—reduce energy consumption and travel.
 Be green—make environmentally responsible choices with our renewable
electricity and carbon credit procurement.
 Be accountable—quantify and hold groups responsible for carbon impact

3.2. Microsoft’s Strategy to Become Carbon Neutral

Microsoft's strategy for reducing our environmental footprint and achieving
carbon neutrality

three strategic pillars will be implemented: be lean, be green, and be accountable .

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3.3Strategic pillar #1: Be lean
In this approach to environmental sustainability is built on being efficient in our operations.
"be lean" strategy pillar focuses on leveraging technology to improve energy efficiency and
reduce reliance on air travel.
Microsoft is improving the efficiency of its data centers. New facilities will use 30–50 percent
less energy than traditional industry data centers, Microsoft says. Redmond Ridge 1 is a
highly efficient, centrally managed facility that uses 27 percent less electricity and 26
percent less carbon than its decentralized labs. In 2011, Microsoft initiated an energy-smart
building management system pilot on its Redmond, Washington, campus. thet have begun
implementing building energy management technology in additional locations around the
world.

Based on this pilot,they expect an additional 6–10 percent energy savings across the
campus. Microsoft is using technology to ensure that its employees' PCs are energy efficient
and consume power only when needed. The average business trip generates more than
2,200 pounds (or more than 1 metric ton) of carbon. Employees are encouraged to examine
low-cost alternatives, such as using Lync and Telepresence.

3.4Strategic pillar #2: Be green

Microsoft is committed to increasing our use of renewable energy while decreasing waste
and water consumption.

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Microsoft's cloud services should reduce net energy consumption and emissions associated
with the use of our technology globally. As we absorb workloads from less efficient sources,
Microsoft will become an increasingly energy intensive company. We are looking to look to
industry expertise and research to ensure we are using the best technology and strategies
available. Each month we recycle an average of 673,360 pounds of material at our Puget
Sound campus. In the second half of 2011, we recycled or reused the equivalent of over 3
million pounds (or 1,480 metric tons) of technology hardware in the United States.

3.5Strategic pillar #3: Be accountable

The first two strategic pillars address the need for Microsoft to increase efficiency and make
operations more "green." The third strategic pillar focuses on the critical aspect of
accountability throughout the organisation.
Microsoft is implementing a carbon fee chargeback model for emissions associated with
data centers, software development labs, offices, and air travel. By charging an internal fee
for carbon emissions, we will build an investment fund that can be used for renewable
energy and offset projects. These projects, in turn, will enable Microsoft to reduce net
emissions and be carbon neutral.

Starting in FY2030, Microsoft is implementing a carbon fee chargeback model for emissions
associated with data centers, software development labs, offices, and air travel. The
chargeback, which will be administered through the corporate finance department, will be
applied across more than 100 countries.

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The chargeback model should provide an incentive for local offices to determine the best
way to reduce their energy use and related carbon emissions through a mix of energy
efficiency initiatives. Microsoft: Becoming Carbon Neutral purchases. This approach will be
an evolving process.

4. Grounding in science and math

It is critical that Microsoft's or the company's efforts to address carbon issues are based on
ongoing scientific advances. In a nutshell, they must use more energy while reducing our
carbon footprint. This is true all over the world, but perhaps most so in developing
economies.

Recent advances in scientific research have highlighted the significance of this issue. These
findings show that the average global temperature has risen by 1 degree Celsius over the
last 50 years, and that carbon dioxide emissions have been a major contributor to this rise.
Indeed, if they do not make significant and rapid changes, average temperatures will rise by
one to four degrees Celsius by the end of the century.

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5. Microsoft: Carbon negative by 2030
While the world must eventually achieve net zero, Microsoft employees who can
afford to move faster and farther should. As a result, Microsoft is announcing an
ambitious goal and a new plan to reduce, and eventually eliminate, its carbon
footprint today.
Microsoft will be carbon negative by 2030, and by 2050, it will have removed from
the environment all of the carbon it has emitted, either directly or through electrical
consumption, since its founding in 1975.
They understand that progress requires not only a bold goal, but also a detailed plan.
We are launching an aggressive programme today to reduce our carbon emissions by
more than half by 2030, both directly and across our entire supply chain, as
described below.

We are also launching an initiative to use Microsoft technology to assist our global
suppliers and customers in reducing their own carbon footprints, as well as a new $1
billion climate innovation fund to accelerate global development of carbon reduction,
capture, and removal technologies. Beginning next year, we will also make carbon
reduction an explicit component of our supply chain procurement processes. Our
progress on all these fronts will be detailed in a new annual Environmental
Sustainability Report. Finally, all this work will be supported by our voice and
advocacy in support of public policies that will accelerate opportunities for carbon
.reduction and removal

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6. History
Bill Gates and Paul Allen, childhood friends, founded Microsoft, a computer software
company, on April 4, 1975, when most Americans still used typewriters. Microsoft began in
Albuquerque, New Mexico, and relocated to Washington State in 1979, growing into a major
multinational technology corporation. In 1987, the year after Microsoft went public, Gates
.became the world's youngest billionaire

Gates and Allen founded Microsoft to create software for the Altair 8800, an early personal
computer (originally called Micro-Soft, for microprocessors and software). Allen quit his job
as a programmer in Boston, and Gates dropped out of Harvard University, where he was a
student, to focus on their new company, which was based in Albuquerque because MITS,
the maker of the Altair 8800, was headquartered there. By the end of 1978, Microsoft's sales
had surpassed $1 million, and the company relocated its headquarters to Bellevue,
Washington, a Seattle suburb where Gates and Allen grew up, in 1979. Following that, IBM
licensed the company's MS-DOS operating system for use in its first personal computer,
.which debuted in 1981. Other computer companies followed suit

Windows, a new operating system with a graphical user interface that included drop-down
menus, scroll bars, and other features, was released by Microsoft in 1985. The following
year, the company relocated its headquarters to Redmond, Washington, and went public at
$21 per share, raising $61 million. Microsoft had surpassed IBM as the world's largest
personal-computer software company in terms of sales by the late 1980s. Windows 95 was
released in 1995, during a period of increased home and office computer purchases. It
introduced innovations such as the Start menu (Windows 95 TV commercials featured the
.Rolling Stones singing "Start Me Up") and sold 7 million copies in the first five weeks

The US Department of Justice and 20 state attorneys general charged Microsoft in 1998 with
violating antitrust laws by using its dominance to drive competitors out of business; in 2001,
the company reached a settlement with the government that imposed restrictions on its
corporate practises. With the release of the Xbox console in 2001, Microsoft entered the
video-game market.

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The mission and vision statement .7
I would decide on the mission and vision based on the facts of the case. Climate
change facts endanger the continuation of life as we know it. The actions of publicly
traded companies have contributed to some of humanity's worst sustainability
performance. To put it another way, a company may be unaware of the impact its
financial holdings have on the future of the world. Microsoft Corporation is a
multinational corporation that develops, licences, and supports software, services,
goods, and services around the world. The company's three business segments are
productivity and business operations, smart clouds, and more personalised computing.
The company sells its products directly through online marketplaces, retail locations,
and online stores in addition to OEMs, distributors, and resellers. Microsoft
.Corporation was founded in 1975 and is headquartered in Washington, DC
Microsoft's IT sector leader is setting an example of ethical business conduct in the fight
against climate change. Microsoft will raise its internal carbon emissions price to $40 per
metric tonne of emissions beginning in 2021. By 2025, the corporation plans to use only
renewable energy and be carbon negative by 2030. It intends to eliminate all carbon emissions
generated by the company since its inception in 1975 by 2050. In addition, plans are in the
works to eliminate all waste at the company's corporate headquarters and to power all future
structures entirely with renewable energy. As it begins to develop strategies for removing
carbon from the atmosphere, fighting wildfires, and other sustainable development activities,
Microsoft is focusing on the potential of AI development.

Microsoft's Corporate mission Statement

 The main mission is to reduce carbon footprints while focusing on

AI development, so that we can improve sustainable strategies,
have a less negative impact on farming, and fight current
environmental and wild lifeforms issues.

Microsoft's Corporate vision Statement

 The Vision: by 2025, completely transition to renewable energy,

and by 2030, achieve carbon neutrality. It aims to remove all
emissions produced by the company since its inception in 1975 by
the year 2050..

The vision in this case would be long-term forecasts or goals, but they
must first focus on some priorities, which are listed here, mission, and
vision.

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8. Microsoft's Corporate values
 As they stated
Their values support their culture and serve as a declaration of how they
treat one another, their customers, and their partners.

 Respect
We recognize that the thoughts, feelings, and backgrounds of others are
as important as our own

 Integrity
We are honest, ethical, and trustworthy

 Accountability
We accept full responsibility for our decisions, actions, and results.

9. External Environmental Analysis

External analysis, also known as environment analysis, is the process by which businesses
objectively assess changes in their industry and the larger world that may have an impact on
their current business operations. Companies do this to ensure that they can adapt to
changes and remain successful in their industry.

9.1ECONOMICAL FACTORS

Although the global economy is improving, there are still some risks. The trade war
between the United States and China is one of the most serious threats.

THE ECONOMIC CRISIS

Employment laws, trade tariffs, tax rates, import regulations, poor relationships with
government officials and other companies, and other factors can all have a negative
impact on global companies like Microsoft's growth and profit.
The economic recession and financial meltdown were at their heights in 2008, when
Microsoft was forced to lay off 5000 of its most skilled employees. The loss was so
severe that the brand has only recently recovered after more than a decade.

Stock Markets
A currency's exchange rate can have a rapid impact on multinational corporations. If
the US dollar is stronger than other currencies, people and businesses will cut back on
their spending. If the value of the US dollar falls relative to other currencies, the

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company's expenses will rise while earnings will fall. Because Microsoft is not above
the law, it should take the exchange rate into account .

POLICIES OF PROTECTION
Since President Donald Trump took office. His administration has pursued protectionist
policies. It entails discouraging foreign imports and inputs by raising import taxes and
encouraging local producers and manufacturers to strengthen the economy.
It may appear to be beneficial to local small businesses. However, global corporations such as
Microsoft have a global business empire. Employees must travel back and forth between the
two countries because the company has some of its manufacturing plants in China. Such
protectionist and nationalist policies are harmful to multinational corporations

9.2 POLITICAL FACTORS

Most developed countries have established stable political systems, creating a
business-friendly environment. Nonetheless, in some countries, the use of the internet
and cloud computing is still subject to legal restrictions.

POLITICAL ENVIRONMENT CHANGE

Every year, politicians introduce new laws into the political environments of various
countries. Sometimes those laws are in accordance with the company's policies and benefit
brands such as Microsoft. On the other hand, some countries prohibit the use of certain
technological products/services such as operating systems, Windows, mobile applications,
and so on. Such restrictions and bans can have a negative impact on the company's growth.

COST OF LOBBYING
Microsoft hires lobbyists to present a better image of the company in government circles
around the world after realizing the power of political influence on large corporations.
According to estimates, Microsoft spends tens of millions of dollars per year on lobbyists in
order to establish and maintain a positive image of the company in various political circles.

DESCRIBED AS A MONOPOLIST
The EU and other governments have expressed concern about Microsoft's hiring of
lobbyists. According to critics and some government officials, the brand is creating a
monopoly environment by hiring lobbyists to create a favorable environment for the
company. Small software development firms, on the other hand, lack the resources to
manipulate the system.

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9.3 SOCIAL FACTORS

The importance of protecting the natural world is becoming more widely recognized.
This is a promising trend for businesses working to mitigate the effects of climate
change.
CULTURE CHANGE AND NEW TRENDS
Not only are government regulations and policies unpredictable, but so are changing
trends and customer preferences. As a result, multinational corporations like
Microsoft must keep track of all changing trends and customer preferences in various
countries around the world.
IKEA is one of those multinational corporations that adapts their products to meet the
needs of their customers. Microsoft is woefully behind in terms of keeping up with
market trends and customer preferences.

THE SMARTPHONE MARKET IS EXPANDING

The smartphone market is expanding, and mobile device users are increasing year
after year. People are increasingly using their smartphones to browse and conduct
transactions. Microsoft's products and services are designed for PCs and laptops. They
are not intended for smartphone devices. It implies that the company is losing a
significant portion of its market share in the smartphone industry.
As a result, Microsoft should also create applications for smartphones. If the company
does not, Microsoft may face the same fate as Nokia did in 2006.

STEM professionals are in short supply.

According to a 2018 Emerson study, the United States has a STEM (science,
technology, engineering, and mathematics) professional shortage. More STEM
professionals are needed, according to two out of every five Americans.
According to the President's Council of Advisors on Science and Technology,
approximately 1 million more STEM professionals will be employed outside of the
United States over the next decade.

9.4 TECHNOLOGICAL FACTORS

The technological field is one that is constantly changing. Because of the
opportunities it provides, this paves the way for businesses to develop new goods and
services.

COMPETITION IS STRONG
The technology industry and software development are highly competitive. As many
competitors as there are tech professionals and software developers. All you need is

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one big new idea that no one has ever thought of. After successfully launching it into
the market, everyone would quickly forget how great the previous software was.
Microsoft's main competitors are Google and Apple. If the brand does not keep up with the
pace of its competitors, it will lose market share and revenue. Despite the fact that Microsoft
acquired Nokia, the results were not as expected.

INVESTMENT IN R & D
Microsoft became the third trillion-dollar-plus American multinational corporation in
2019. In 2020, the company's net profit will be 44.3 billion US dollars. It means that
the company has an abundance of resources at its disposal. Now is the time for the
brand to invest in research and development in order to create something truly
unique.

GROWTH IN AI
Artificial intelligence (AI) is one such area in which top competitors such as Google
and Amazon are investing resources. Microsoft also has the opportunity to introduce
something new in the field of artificial intelligence and gain market share.

 The global artificial intelligence (AI) market was valued at US$ 87.04 billion in
2021 and is expected to reach US$ 1,597.1 billion by 2030, with a CAGR of
38.1% from 2022 to 2030. In 2021, the North American artificial intelligence
market was estimated to be worth USD 147.58 billion.

9.5 LEGAL FACTORS

There are numerous laws and regulations that affect the technology sector of the
economy. This category includes laws concerning competition, intellectual property,
and data privacy.

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LAWSUITS
As we all know, Microsoft conducts business in a variety of countries around the
world. Different countries have different attitudes toward technology, and their laws
reflect this. As a result, Microsoft is more likely to be sued than a typical local brand.
Microsoft has paid more than ten billion dollars in settlements related to various
lawsuits.

ISSUES OF GENDER DISCRIMINATION

According to a roundabout estimate, more than 9000 current/former Microsoft
employees complained and sued the company for gender discrimination. According
to another study, Microsoft is the target of one out of every 120 gender
discrimination lawsuits. According to the complainants, the brand discriminates
against people on a regular basis.

COMPLAINT OF A CUSTOMER
In 2018, a Microsoft customer sued the company, claiming that the upgrade from
Windows 7 to Windows destroyed his computer. Such customer lawsuits are not a
bug, but they encourage other customers to do the same.

ENVIRONMENTAL FACTORS 
A considerable number of people place a high value on environmental preservation. As a
result, businesses now have the opportunity to create goods and services that contribute to
environmental preservation.

STEPS FOR ECO-FRIENDLY LIVING

Over the years, Microsoft has launched numerous green projects aimed at
preserving nature and reducing global warming. According to a 2019 Just Capital
ranking, Microsoft is the world's most environmentally friendly tech company. The
brand provides brands as well as 500,000 dollars in funding to universities in order to
discover new ways to clean the environment.

TAX ON CARBON
Microsoft is the world's only carbon-neutral technology company. In fact, the brand imposes
a carbon tax on its operations in order to help the environment. The company intends to
spend more than $50 billion USD over the next five years to clean up the environment using
Microsoft AI. On October 9, 2020, Microsoft confirmed its plan to remove the carbon from
its environment that it has emitted into the atmosphere since its inception in 1975. The
three primary components of Microsoft carbon fee model.

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Following a thorough examination of Microsoft's pestle analysis, we concluded that the
brand holds a dominant position in the global software industry. However, no business can
control macro-environmental factors. It makes no difference how big the brand is.

As a result, the company should maintain a less discriminatory environment within the
organization. If Microsoft does not change its course of action, antitrust and other lawsuits
will be filed against it, casting a negative light on the company.

9.2. Overview: Microsoft’s Five Forces Analysis

Microsoft can use Porter's five forces model for competitive strategic value .
An organization's primary concern is the level of competition in its industry. In 1979,
Michael E. Porter developed the five forces model, which focuses on five factors that
determine the intensity of competition in a market. In the case of Microsoft, these
external factors are the result of other companies' activities in the computer hardware
and software industries. Customer and supplier decisions also have an impact on these
variables. Microsoft is affected by substitutes. In order to maintain its market position
as a major competitor, Microsoft must consider the issues outlined in this Five Forces
analysis of the technology industry.To mitigate the effects of the external factors identified
in this Five Forces analysis, Microsoft must develop appropriate responses. The ability to
address these concerns strategically has an impact on the company's resilience. The following
are the intensities of the five forces in Microsoft's industry environment:

 Competitive rivalry or rivalry (strong force)

 Buyers' or customers' bargaining power (moderate force)
 Supplier bargaining power (moderate force)
 Substitute threat or substitution (weak force)
 New entrants or new entries pose a threat (moderate force)

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:Solution provided
1: Microsoft's Climate Change Objectives
2: How Microsoft intends to achieve these objectives
3: Technology's role in these plans
4: How will these plans affect Microsoft's business model?

9.2.1Competitive Rivalry or Competition with Microsoft

Corporation (Strong Force)
Microsoft must achieve competitive advantage in order to remain successful. This
aspect of the Five Forces analysis determines the effects of firms on each other and
the related conditions of the industry environment. In the case of Microsoft, the
following external factors and their relative intensities exert a significant competitive
: force against the company
 Switching costs are moderate (moderate force)
 Firms with high levels of aggressiveness (strong force)
 A wide range of firms (strong force)

Existing businesses are fiercely competitive. In the market, there are many firms
competing, and each firm is attempting to gain market share. This makes it difficult
for Microsoft to achieve its goals.

9.2.2Bargaining Power of Microsoft’s Customers/Buyers

(Moderate Force)
Microsoft must maintain customer satisfaction, which has a significant effect on the
company's performance. The impact of customers or consumers on the computer
hardware and software industry environment is evaluated in this aspect of the Five
Forces analysis. Microsoft must respond to clients' moderate market power based on
the external factors and intensities listed below:
There are a lot of substitutes available (strong force)
Switching costs are strong (strong force)
Information of high quality (strong force)

Buyers have a lot of bargaining power because there are so many of them in the
market, and they can easily switch to other companies. This makes it difficult for
Microsoft to meet its goals.

9.2.3Bargaining Power of Microsoft’s Suppliers (low Force)

Supply conditions have an impact on Microsoft's business. This aspect of the Five
Forces analysis describes how suppliers influence the environment of the computer

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hardware and software industries. The following external factors and their intensities
limit Microsoft Corporation's supplier bargaining power:
 Large size of suppliers (low force)
 large population of suppliers (low force)
 low overall supply (low force)

Suppliers have little bargaining power. There are numerous suppliers on the market,
and they are not critical to Microsoft's success.

9.2.4Threat of Substitutes or Substitution (Weak Force)

Substitutes have the potential to reduce Microsoft's market share. The effects of
substitutes on firms and their industry environment are determined in this aspect of
the Five Forces analysis. In the case of Microsoft, the following external factors and
their intensities impose a weak substitution force on the company:
Substitutes perform poorly (weak force)
Substitutes are scarce (weak force)
Moderate switching costs (moderate force)

Substitutes pose little risk. There are no close substitutes for Microsoft's products and
services.

9.2.5Threat of New Entrants or New Entry (low Force)

This aspect of the Five Forces analysis focuses on the impact of new entrants on the
computer hardware and software industry environment. The following are the
intensities of external factors that contribute to the moderate force of the threat of new
entry against Microsoft:
Brand development is expensive (weak force)
Business costs are moderate (moderate force)
Switching costs are moderate (moderate force)
New entrants pose little risk. The entry barriers are high, making it difficult for new
firms to enter the market and compete with existing firms..

Government regulation poses a risk.

Government regulation poses little risk. The government is unlikely to impose regulations
that would make Microsoft's goals difficult to achieve.

These plans' potential benefits Capital availability 

The access to capital is high. Microsoft has a strong financial position, and it
can easily raise the necessary capital to achieve its goals.

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9.2.6 Recommendations
According to Microsoft's Porter's Five Forces analysis, the most powerful force
influencing the business and computer technology industry environment is
competitive rivalry. The company must implement competitive advantage strategies
in this regard. To compete with the products of other companies, Microsoft, for
example, must increase its R&D efforts and improve product development. The
general strategy and intensive growth strategies of Microsoft are both supported by
innovation. According to this Five Forces analysis, the company's strategic
formulation must account for buyer bargaining power, supplier bargaining power, and
the threat of new entrants. These three forces have a moderate to significant influence
on Microsoft's performance. Although the threat of substitutes is minimal, Microsoft
.can use this force to improve its products

10.EXTERNAL AUDIT
EXTERNAL FACTOR EVALUATION(EFE)
Weigh
WTD Rate t Factors
Opportunities
1.8 3 0.6 Transition to 100 percent renewable energy by 2025

0.6 2 0.3 To make the company's corporate base completely waste-free.

0.3 3 0.1 Get rid of all carbon emissions.

2.7 TOTAL
Threats
The rise in cybercrime and software piracy has had a
1.35 3 0.6 significant impact on Microsoft's security network system.
0.3 2 0.3 Emissions of greenhouse gases

0.40 3 0.1 Losses incurred as a result of publicly traded corporations

2.05 TOTAL

 Companies are becoming more environmentally conscious and considerate.

They require a roadmap that connects business intelligence and
environmental initiatives. The continued depletion of natural resources has
compelled businesses to expend enormous amounts of energy in order to
become more environmentally conscious than ever before.

9.4. COMPETITIVE PROFILE MATRIX

The CPM is a strategic tool used to assess a company's strengths and weaknesses in
comparison to its competitors. To stay ahead of the competition, the CPM can assist a
company in identifying its key areas of focus,The CPM is a tool that assists
organisations in identifying and assessing their competitors' relative strengths and

P a g e Microsoft: Carbon dioxide removal | 20

 weaknesses. This is accomplished by examining the internal and external factors that
can affect a company's ability to compete in its industry.
The CPM is frequently used alongside a SWOT analysis, which examines a
company's strengths, weaknesses, opportunities, and threats.

COMPETITIVE PROFILE MATRIX

Google Apple Microsoft
Rat Rat weight CSF
Score e Score Rate Score e
0.36 4 0.27 3 0.36 4 0.09 Market share
0.60 4 0.60 4 0.60 4 0.15 Financial position
Microsoft is a leader in the fight against
0.15 3 0.15 3 0.20 4 0.05 climate change.
0.30 3 0.30 4 0.30 3 0.10 Number of employees
0.18 3 0.24 4 0.18 3 0.06 Net profit margin
0.44 4 0.44 4 0.33 3 0.11 Earnings per share
0.30 3 0.40 4 0.20 2 0.10 Growth
0.24 4 0.72 4 0.18 3 0.06 Innovation
0.36 3 0.48 4 0.48 4 0.12 Customer loyalty
0.48 3 0.16 1 0.48 3 0.16 Corporate Responsibility
3.41 3.76 3.31 1 Totals

9.4.1. Finding
9.4.1.1 Science and technology
Microsoft is a technological leader in the fight against climate change. The company is concentrating
on the power of AI development to implement sustainable strategies that reduce the negative
environmental impact of farming while developing plans for removing carbon from the atmosphere,
fighting wildfires, and protecting threatened animals.

9.4.1.2 Creativity
Microsoft is constantly developing new methods to combat climate change. The
company plans to use 100% renewable energy by 2025 and be carbon neutral by
2030. By 2050, the company hopes to have removed all of the carbon it has been
responsible for since its inception in 1975. There are also plans to turn the
company's corporate headquarters into a zero-waste facility and to power all new
buildings entirely with renewable energy.

9.4.1.3. Corporate Accountability

In terms of corporate responsibility, Microsoft is setting an example for other
companies to follow. The company's internal carbon emissions fee will be increased
to $40 per metric ton of emissions. Microsoft is also emphasizing the power of AI
development to implement sustainability initiatives that reduce the negative

P a g e Microsoft: Carbon dioxide removal | 21

environmental impact of agriculture while developing solutions for removing carbon
from the atmosphere, fighting wildfires, and protecting endangered species.

Interpretation
We used Microsoft as an example, and its two main competitors are Apple and
Google. The results show that Apple is more powerful than both Microsoft and
Google. Google is also more powerful than Microsoft. As a result, it demonstrates that
Microsoft is weaker than its competitors.

10. The internal environment Assessment

10.1 swot analysis

Microsoft's internal environment assessment or analysis was founded
in 1975 by Captain Bill Gates and his business partner Paul Allen.

An internal analysis of a company focuses on the internal factors that give a company
advantages and disadvantages in meeting the needs of its target market. Core
competencies that give the firm an advantage in meeting the needs of its target
markets are referred to as strengths. Weaknesses are any constraints that a company
faces when developing or implementing a strategy. The goal of the internal analysis is
to identify the company's strengths and weaknesses, so that the company can
determine what it is or is not capable of doing and what it needs to address before
pursuing certain strategic options.

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10.1 SWOT ANALYSIS

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Weaknesses - Internal Strategic Factors Strength-Internal Strategic Factors

1) Especially when exposed to the PC market - Due to rising 1) The unquestionable global market leader in software technology,
vendor prices and currency fluctuations, PC shipments frequently particularly cloud computing, is Microsoft. It is the world's largest
fall. Microsoft is now in a precarious position. developer of Windows operating systems and the dominant cloud player.

2) Cybercrime theft - As the number of cybercrime cases has 2) Europe's greatest company with a dominant market share- In terms of
grown, Microsoft has become more highly susceptible. Hackers are market value, Microsoft is the world's second largest company.3) Broad
said to have multiple times targeted the Windows operating market reach - Microsoft operates in over 190 countries worldwide.
system's cyber security. Since the release of the promoted version of Windows 10, it has received
over 700 million installations worldwide.

3) Unfair Business Practices - In Europe, Stack Technologies filed

a complaint against Microsoft for anti-competitive practises. A 4) Simple-to-use software - Microsoft is well-known for its high-tech
federal appeals court in the United States is going to hear an appeal and high-quality product offerings. Window OS and office software
by improved search LLC, which could resurrect a civil suit against products are extremely user-friendly and meet the highest quality
Microsoft for patent infringement on seo techniques. standards.

5) Microsoft's most recent earnings report clearly demonstrates the

4) The absence of leadership in the internet browser segment -
company's strong growth in the cloud business.
While Google, Safari, and Firefox have obtained market share,
Microsoft has not. .
6) Massive Market Capitalization - The company has a market
capitalization of $776 billion USD. Microsoft is one of the largest
5) Failed acquisitions - Microsoft's few acquisitions, such as technology companies in the world. According to market value,
WebTv, LinkExchanger, Massive, and Danger, resulted in failures Microsoft was the third most valuable company in the world in 2020.
and divestitures. Such unprofitable investments are one of
Microsoft's most serious flaws.

Opportunities THREATS

1) Expansion of Cloud Business - Its cloud-based Threats -

services have seen tremendous growth and success in
recent years. As a result, Microsoft has a chance to 1) Workforce criticisms - According to Microsoft's
expand its cloud business. workforce diversity statistics for 2018, the company's
recruited workforce is unbalanced. The low number of
2) Remote work solutions – Recent events have working women and minorities fueled harsh criticism and
increased interest in solutions that enable people to debate about the company's AHR policy.
work from home or remotely from anywhere in the
world. 2) Cybercrime and privacy - Increased cybercrime thefts
and software piracy have wreaked havoc on Microsoft's
security network system.
3) Cost leadership strategy - By offering its products
3) The company could encounter opposition from
at low prices, Microsoft can increase its sales and
stakeholders who do not believe that fighting climate
revenue.
change is a priority.

4) Smartphone industry - Microsoft can capitalise on 4 ) Green house gas emissions

the rapidly growing smartphone and tablet markets. It
can profit from the rising demand for these products.

P a g e Microsoft: Carbon dioxide removal | 24

10.1.1 FINDING :
Microsoft's financial resources, commitment to renewable energy, and focus on AI
development are among its strengths in combating climate change. One of its
weaknesses is its reliance on the technology industry and the need for ongoing
innovation. Microsoft's opportunities include the potential for its technology to help
reduce its customers' carbon footprints and the company's ability to become a
leader in the fight against climate change. Threats to Microsoft's climate change
goals include regulatory changes and the possibility that other companies will
outpace it.

10.2-INTERNAL AUDIT
INTERNAL FACTOR EVALUATION(IFE) MATRIX
Factors Weight Rate Score
Strengths
1) Leading software firm 0.15 4 0.60
2) The world's largest corporation with a
commanding market share 0.12 4 0.48
3) A large market reach 0.08 4 0.32
4) User-friendly software - Microsoft is well-known
for its high-tech, high-quality product offerings. 0.11 3 0.33
5) Consistent growth - Microsoft's most recent
earnings report shows the company's rapid growth in
the cloud business. 0.05 3 0.15
6) Massive Market Capitalization - The company has
a market capitalization of $776 billion USD. 0.20 4 0.80
Weaknesses
1) Overexposure to the PC market - Due to rising
vendor prices and currency fluctuations, PC
shipments frequently fall. Microsoft is now in a
precarious position. 0.09 1 0.09
2) Cybercrime theft - As the number of cybercrime
cases has grown, Microsoft has become more
vulnerable. Hackers are said to have repeatedly
targeted the Windows operating system's cyber
security. 0.13 1 0.13
3) THE FIRST IS A LACK OF ORIGINALITY 0.03 2 0.06
4) The internet browser segment lacks market
leadership. 0.04 2 0.08

Totals 1 3.04

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Finding
Concerning the Potential Trails of Effort (ACA)
ACA # 1
Launch a tree-planting campaign or other environmentally friendly initiatives with
the support of the company's employees and other stakeholders,When volunteers
help clean up the air, their health and happiness will improve along with the rest of
the neighborhood, Planting trees is a lengthy process that requires dedication and
perseverance.
ACA#2

To achieve zero waste, more environmentally friendly raw materials must be

used. The advantage is that it is easier to recycle and therefore better for the
environment. Essential components may be prohibitively expensive.

ACA#3
Leaders should provide seminars and raise stakeholder awareness to assist
employees in developing a consistent routine of using best environmental practices
in order to comply with policies, rules, and laws.
If you do this, the ecology will be properly maintained, which will benefit everyone.
It is possible that they will not follow proper environmental regulations, which is
undesirable.

14. TOWS ANALYSAIS

The TOWS matrix is a tool that organizations use to identify and assess external and
internal factors that may have an impact on their business. The TOWS matrix can also
be used to identify and assess opportunities and threats that may impact an
organization's ability to achieve its goals.
There are four quadrants in the TOWS matrix:
• External factors: These are factors beyond the organization's control, such as
the economic environment, political factors, and social trends.
• Internal factors: These are factors that the organisation can control, such as the
company's financial resources, organizational structure, and competitive
position.
• Opportunities: These are external factors that the organisation can use to its
advantage.

P a g e Microsoft: Carbon dioxide removal | 26

 • Threats: These are external factors that could negatively impact the
organization's ability to achieve its objectives.
1) Cloud Business Expansion - Its cloud- EXTERNAL Threats
based services have seen tremendous growth 1) The regulatory barriers
and success in recent years. As a result,
EXTERNAL Microsoft has an opportunity to grow its
cloud business.
2) Cybercrime and privacy - Increased
cybercrime thefts and software piracy have
had a significant impact on Microsoft's
2) Remote work solutions - Recent events
have heightened interest in solutions that security network system.
allow people to work from home or remotely
from anywhere in the world. 3) The company could encounter
opposition from stakeholders who do not
3) Cost leadership strategy - By offering its believe that fighting climate change is a
products at low prices, Microsoft can priority.
increase its sales and revenue.
INTERNAL
4 ) Green house gas emissions
4) Smartphone industry - Microsoft can
capitalise on the rapidly growing
smartphone and tablet markets. It can profit
from the rising demand for these products.

Strength SO ST
1) Leading software 1. As the company is largest company 1. Retrofitting our existing data centres
company with dominate market so it can use its with more energy-efficient systems
financial resources to invest in research like custom LED lighting,
2) World's largest company
and development of new technologies economizers, compressor energy
with a dominant market reduction, and HVAC (heating,
that can help reduce its customers'
share-. carbon footprints. Additionally, ventilation, and air conditioning)
3) Broad market reach 2. Microsoft can use its commitment to containment and airflow reduction
4) Simple-to-use software renewable energy to position itself as a systems.
5) Consistent growth -. leader in the transition to a low-carbon 2. financial incentive, to encourage
economy. software development teams to
6) Massive Market
3. Microsoft can use its commitment to consider the energy implications of
Capitalization - their work .
renewable energy to position itself as a
leader in the transition to a low- 3. The removal of regulatory barriers
carbon economy. Carbon economy.
4.
Weakness WO WT
1. Using a life-cycle management  They can plan to electrify their global
1. It is unclear how effective approach to ensure that employee campus operations vehicle fleet.
Microsoft's actions in combating PCs and peripherals  Create a stakeholder map in
climate change will be.
2. Communicate early and frequently. collaboration with decision makers and
influencers to facilitate bottom-up and
2. The company may face shareholder 3. Create a strategy based on common
top-down feedback. As stakeholders,
backlash if its actions have a negative goals across the organization. include sustainability mentors and
impact on profits.
4. The advancement of technology to supporters, the CFO's office, key
prevent cybercrime theft revenue groups, and strategic emission
3. Microsoft's plans are heavily reliant
on the success of AI development, impact areas.
which is still in its early stages.  Empower influential stakeholders to
promote the strategy within their area
of the business

P a g e Microsoft: Carbon dioxide removal | 27

 10.2.1 FINDING:
Microsoft can use its strengths to capitalize on opportunities in the fight against
climate change. For example, the company can use its financial resources to invest in
the research and development of new technologies that will help reduce the carbon
footprints of its customers. Furthermore, Microsoft can position itself as a leader in
the transition to a low-carbon economy by committing to renewable energy.
Microsoft can use its emphasis on AI development to compensate for its shortcomings
in the fight against climate change. For example, the company could use artificial
intelligence to create more efficient and environmentally friendly manufacturing
processes. Furthermore, Microsoft can use AI to create new products and services that
help its customers reduce their carbon footprints.

10.3. STRATEGIC POSITION AND ACTION

EVALUATION (SPACE)
SPACE Matrix is an acronym that stands for Strategic Position and Action Evaluation
matrix. The SPACE matrix is a strategic tool for analysing organisations. The goal is
to identify the most appropriate strategy to use.
The SPACE matrix is divided into four quadrants: aggressive, conservative,
defensive, and competitive. The SPACE matrix is primarily based on two parts of
analysis: internal strategic dimensions (FS, CA) and external strategic dimensions
(ES, IS).

Internal Analysis External Analysis

Financial Position(FP) Rating Stability Position(SP) Rating
ROI (return on investment) 5 Inflation rate 2-
Debt to equity 5 Technological advancements 6-
Net profit 5 Governmental Rules and Regulations 2-
Excessive kindness 3 Competitive Tension 6-
Company value 6 Entry Barriers to the Market 4-
Financial Position(FP) Average 4.8 Stability Position(SP) Average 4-
Internal Analysis External Analysis
Competitive Position(CP) Rating Industry Position(IP) Rating
Market Share 2- Growth Potential 7
Product/Service Quality 2- Financial Stability 6
Monopolistic Nature of Key 1- Ease of Entry into Market 5
Products
Technological Know-How 4- Public's Dependence on Products/Services 7
Access to Capital 1- Profit Potential 6
Competitive 2- stability Position(SP) Average 6.2
Position(CP)Average

7.3 SPACE Matrix

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 FP
Conservative Aggressive
7

4
X = 4.2
3 Y = 0.8

CP IP
-7 -6 -5 -4 -3 -2 -1 1 2 3 4 5 6 7
-1

-2

-3

-4

-5

-6

-7
Defensive Competitive
SP

Microsoft is located in the SPACE Matrix's Aggressive Quadrant. It is

critical for the company to expand its consulting services as well as gain
market share in the smartphone market. SP scores of -6 on Technological
Changes and Competitive Pressure will eventually erode into FP factors
like ROA and Net Income, causing Microsoft to move into the
Competitive Quadrant.

10.4 INTERNAL EXTERNAL MATRIX (IE)

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 Strong Average Weak
(3.0_4.0) (2.0_2.99)
(1.0_1.99)
4.0 I II III

High
(3.0_4.0)

Invest ……………………….. 0 A Position of

+Hold - MICROSOFT
-
-
3.0 -
-

2.99 IV - V VI
-
-
-
Med -
(2.0_2.99) -
-
EFE -
-
-
-
-
2.0 -

1.99
VII - VIII IX
-
-
Low -
-
(1.0_1.99)
-
-
-
-
-
-
1.0 -
4.0
3.0 2.99 2.0 1.99 1.0

IFE

10.5 Quantitative strategic planning matrix (QSPM matrix)

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 10.5.1 QSPM The first step is to list all of the possible actions Microsoft could
take to fight climate change. Some options include:
1. Increasing its internal carbon emissions fee
2. Shifting to 100% renewable energy
3. Becoming carbon negative
4. Making its corporate base 100% zero-waste
5. Powering all new buildings on renewable energy
6. Developing AI technology to implement sustainability initiatives
7. Pulling carbon from the atmosphere
8. Fighting wildfires 9. Protecting endangered species

10.5.2QSPM The SEC step used to evaluate each option. Some factors to consider
include:
1. the cost of carrying out the action
2. The action's expected environmental impact
3. The likelihood of the action succeeding
4. The timetable for carrying out the action
Some options may be more viable than others based on these considerations.
Increasing the internal carbon emissions fee, for example, may be more expensive
than other options, but it is also likely to have a significant impact on reducing
emissions. Alternatively, while developing AI technology to implement sustainability
initiatives may be more expensive and time-consuming, it has the potential to
significantly reduce the environmental impact of farming.
10.5.3 The table below shows the results of the QSPM analysis for Microsoft.
Suggestion A : Research and development of new technologies
Strengths: Sources of finance, a responsibility to renewable energy, and a focus on AI
development are all priorities.
Weaknesses : include reliance on the technology industry and the need for ongoing
innovation.
Opportunities : include the potential for technology to help customers reduce their
carbon footprints and the major corporation to become a leader in the fight against
climate change.
Threats: Possibility of regulatory changes, potential for other companies to outpace
its progress .
.
Option A is the best overall choice for Microsoft. The company's strengths provide it
with the resources and expertise needed to develop new technologies that can help
reduce the carbon footprints of its customers. Furthermore, there are significant
opportunities for the company to become a leader in the fight against climate change.
While there are some risks associated with this option, the potential advantages
outweigh the risks

10.5.4

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 SUGGESTION B : Focusing on AI development
Strengths: Focus on AI development
Weaknesses: Reliance on the technology industry, need for continued
innovation
Opportunities: Potential for AI to help reduce customers' carbon footprints,
potential for the company to become a leader in the fight against climate
change
Threats: Possibility of regulatory changes, potential for other companies to
outpace its progress

Overall, Microsoft should pursue Option 2. The company's focus on AI development

provides it with the expertise required to develop new technologies that can help
reduce the carbon footprints of its customers. Furthermore, there are significant
opportunities for the company to become a leader in the fight against climate change.
While there are some risks associated with this option, the potential benefits outweigh
the risks.

Factors Weight Improve

Consulting And
Promote The
Windows Phone
Certification And Surface
Programs Tablet
AS TAS AS TAS
Opportunities
Shift to 100% renewable energy by 2025 0.15 1 0.15 1 0.15
Remove all the carbon emissions 0.20 3 0.60 3 0.60
Growth through acquisitions 0.10 4 0.40 4 0.40
Innovation in computer Hardware 0.11 - - - -
products
Threats
Climate change 0.13 3 0.39 3 0.39
Green house gas emissions 0.12 4 0.48 4 0.48
Cybercrime 0.14 - - - -
Threats of new entrants 0.05 - - - -
Totals 1        
Strength
Leading software company )1 0.15 - - - -
World's largest company with a dominant market )2 0.12 4 0.48 4 0.48
.-share
Broad market reach )3 0.08 - - - -
Simple-to-use software )4 0.11 1 0.11 3 0.33
.- Consistent growth )5 0.05 2 0.10 2 0.10
Robust financial Performance )6 0.20 - - - -
Weaknesses
.Overexposure to the PC market )1 0.09 1 0.09 1 0.09
Cybercrime theft )2 0.13 3 0.39 4 0.52
Unfair Business Practices )3 0.03 - - - -
Lack of market leadership in the internet browser )4 0.04 1 0.04 1 0.04
segment
Totals 1   3.23   3.58

11 Recommended Strategy

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The term "sustainability" is now commonly used in the context of businesses and
organizations. It is commonly understood to refer to the incorporation of
environmental, social, and economic considerations into business and organizational
decisions, Microsoft Corporation is a multinational technology company whose
mission is to empower everyone and every organization to do more. It has been
named one of the world's most admired brands by Interbrand and Forbes.
The company's approach to sustainability reflects its commitment to its employees,
customers, communities, partners, and investors.

 The first strategy is to exemplify responsible corporate practices in combating

climate change by charging an internal carbon emissions fee in 2021 and
trying to transition to 100% renewable energy by 2025.
 Second, Microsoft must continue to develop new sustainable technologies,
such as artificial intelligence-driven farming solutions or firefighting tools
that use natural resources rather than fossil fuels.
Microsoft must also persuade other businesses to follow its carbon-cutting strategies.
According to the corporation, this will result in a greater reduction in global emissions
over time. Additionally, the company is committed to becoming 100% waste-free by
2050 through recycling initiatives such as returning discarded computers and cell
phones.
Microsoft's climate change strategy is divided into three parts:
1. Increase the internal carbon cost to $40 per metric tonne.
2. Aim for 100% renewable energy by 2025, and carbon neutrality by 2030.
3. It aims to eradicate all of the company's carbon emissions since its original
conception in 1975 by the year 2050.
As it works to create solutions for removing carbon from the atmosphere, having
to battle wildfires, and other issues, Microsoft is focusing on the potential of AI
development to execute sustainability programmes that reduce the negative
environmental effects of farming.

12. implementation & Control

The following long-term objectives are set for the following phase:
First, seek out and learn from those who have had the greatest impact on the
success of our company.
The research findings will be applied in the second stage by developing a marketing
strategy that will appeal to our target audience.

In the third step, we will create company-wide policies to govern

operations and guide us toward our goals.
This, before instituting any of the proposed solutions, I would thoroughly investigate
the company's rules on employee safety and management relations. It is critical to

P a g e Microsoft: Carbon dioxide removal | 33

determine whether these criteria already reflect the institution's guiding values or
whether they must be modified to accommodate the new method. To ensure that all
relevant aspects are addressed, the appraisal system should include a review of all
legal requirements, including those relating to the law, the environment, and social
media.
We will evaluate and, if necessary, amend these policies before holding one-on-one
meetings with any employees who may be affected by this change. I'll explain why
these changes are necessary and how they will affect each member of the staff
individually at these meetings. As an added bonus, I'll provide them with a copy of
their new responsibilities so they can plan ahead of time.
I'll oversee a plan of action that includes providing for the management team as well
as the supervisors and managers in charge of delegating work related to this function
after informing everyone in the organization about the new strategy.
In general, the suggestions should be shared with staff members and their
managers, who will be held accountable for putting them into action.
The proposed solutions must be made known to the local government in order for
them to be implemented, The strategy will be implemented gradually, with each
department and employee in charge of their respective parts of the process.

Some of the suggestions include:

 Teach employees, specially managers and directors, how to recognize and
combat worksite bias. This training should cover the company's track record
on diversity, its customer complaint policies and practices, and some examples
of how these rules and regulations have been executed. It is critical that
everyone on a team understands what to do if they witness prejudice or other
negative treatment.
 Employees should be given resources to help them recognise and respond to
discrimination and bullying. Young people must learn how to respond
appropriately to unwanted attempts and insults. Gender and sexual orientation
information, which can be used to discriminate against minorities, should also
be made public.
 It is critical to establish a framework in which employees can report
discrimination or harassment without fear of retaliation.
 Furthermore, any information shared within or outside of the organization
must adhere to the defined policy of the company.

10.Evaluation and control mechanism

We can use both strategic surveillance in control and implementation control
through milestone reviews for evaluation and control mechanisms.
  Strategic Theme: Smart, Profitable Expansion

P a g e Microsoft: Carbon dioxide removal | 34

   Objective Measure Target Initiative
Setting a price signal on Avg. # of days to days year 1 180 < do energy conservation and
carbon to internalize the breakeven days year 3 130 < efficiency improvements
external impact of Revenue per metric X year 1 $ > Operations review
operations Y year 3 $ > Site selection
Raise the internal cost of Number of The project X25000 first 6 > Self-service checkout pilot
carbon emissions to $40 covers that 750,000 ,.mos
.per metric tonne hectares and their affects in first 25000 >
Financial

on more than 45,000 ,year

households (or 225,000 by year 3 100000 >
people) in 800 villages .
Putting Microsoft The number of The use # in first 6 2000 > exploring the potential to use
Research to work for of wildlife tracking ,.mos these services to track species
carbon offset community sensors would assist these ,Y in first year > .in wildlife reserves in Africa
projects communities in shifting Z by year 3 >
their focus from carbon-
dense forest extraction to
wildlife protection, while
also creating an
alternative revenue
Customer

.stream through tourism

Avg. $ customer purchase X year 1 $ > Customer loyalty program
Y year 3 $ >
Transition to 100% . Project duration, site days year 1 365 < GHG Protocol Power
renewable energy by acquisition to opening days year 3 300 <
Accounting Guidelines?
2025, and achieve
carbon neutrality by2030
..
Streamline development real-time visibility into % year 1 93% > Carbon Systems cloud-based
process energy use and emissions year 2 95% > Enterprise Sustainability Platform.
eligible employees % year 1 90%> reducing employee travel, driving
trained year 2 99%> energy efficiency improvements
in their local offices, engaging
with customers and partners on
Process

the role of technology in

environmental sustainability, and
connecting with local
policymakers to help advance the
use of IT in enabling a low-carbon
.economy
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13.Business Plan:

13.1 Executive Summary:

Microsoft is an American public multinational corporation founded by Bill Gates and
Paul Allen on April 4, 1975, with a vision of a PC on every desktop by a Harvard
dropout. Its headquarters are in Redmond, Washington. The company has offices in
over 60 countries around the world. Its main operations centers are located in Dublin,
Ireland, Hu Macao, Puerto Rico, Reno, Nevada, and Singapore , Microsoft rules the
world and is a leader in a variety of industries. For the fiscal year ended June 2016
(FY2016), the company reported revenues of (US Dollars) US$85,320 million, a
decrease of 8.8% from FY2015. In fiscal year 2016, the company's operating margin

P a g e Microsoft: Carbon dioxide removal | 35

was 23.3%, up from 19.2% in fiscal year 2015. In fiscal year 2016, the company's net
margin was 19.7%, up from 13% in fiscal year 2015.

For the third quarter ended March 2017, the company reported revenues of
US$22,090 million, a decrease of 8.3% from the previous quarter. Microsoft is a
Fortune 100 company with a diverse portfolio of resources, alliances, global
operations, customers, and critics. Microsoft Corp. is a publicly traded company on
the NASDAQ.

Some of the industry's most prominent technology companies are among Microsoft
Corporation's primary competitors. Apple, Google, SAP, IBM and Oracle, Nintendo,
and Cisco are among the well-known companies on the list. Microsoft faces stiff
competition in several key areas of the technology sector because it is a diversified
corporation that offers a wide range of products and services.

Microsoft's mission is to enable every individual and organization on the planet to

achieve more. We believe that a responsible cloud necessitates a commitment to
fostering environmentally sustainable practices. We made a company-wide

commitment to operate carbon-neutrally beginning in July 2012. they pay for the
commitment with an internal carbon fee. Microsoft's carbon fee model remains the
program's foundation.

they use carbon fee funds in four investment categories to achieve the following
goals: Renewable energy, which is assisting in the global expansion of the renewable
energy market and promoting global sustainable development. Climate Grants, which
drive climate-related energy and technology innovation for both internal operations
and global climate action.

13.2Microsoft’s Business Strategy

Microsoft's main business strategy is to focus on customer needs and satisfaction by

emphasizing interconnectivity, hardware equipment, configurability, and marketplace

P a g e Microsoft: Carbon dioxide removal | 36

security. Furthermore, the company is involved in several software merger and
acquisition, which adds emerging innovations to its business.

Microsoft paid $2.5 billion for Mojang, the company best known for its Minecraft
video games, in 2014. It hopes to improve its gaming experience by integrating it with
Microsoft's Xbox gaming console. It also paid $26.2 billion for LinkedIn in 2016,
intending to integrate it with its enterprise software business. Microsoft has acquired
over 200 companies in its 46-year history.

To increase customer sales opportunities, it leverages an extensive network of

corporate channel partners, including distributors, value-added resellers (VARs), and
independent software vendors (ISVs). Furthermore, Microsoft sells licenses to
businesses through more than 120 regional subsidiaries and field sales forces in 170
countries worldwide.

Putting sustainability into practice We support each of our four focus

areas with five strategic pillars. They are

Operations We will take responsibility for our carbon, water, waste, and land
footprints across the way our products and facilities are sourced, manufactured,
operated, and managed at end-of-life, including our supply chain.

Products and services We will develop new technology and services driven by data,
AI, and digital technology to power environmental sustainability.

Customers and partners We will help our customers and partners around the world
reduce their carbon, water, waste, and land footprints through our learnings,
technology, and services, Policy We will use our voice on climate-related public
policy issues. We will support new public policy initiatives to accelerate carbon,
water, waste, and ecosystems opportunities, Employees We recognize that our
employees are the most important asset and resource in advancing innovation and will
create new opportunities for them to contribute to our efforts.

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13. 3 Company Description:

13.4 MARKET SHARE AND IMPORTANCE

To say Microsoft is a large corporation is like saying its founder's ego is large - it's an
exaggeration. They are enormous. Microsoft (and most likely Bill Gates' ego) alone
occupies 18.3 million square feet of office building space3.
Microsoft is ranked 15th among the top 500 companies in the world, and its operating
software has powered 93% of the world's desktop computers since 19914. At its peak,
the company's market value was roughly equal to Spain's gross domestic product5. Its
Office software, which includes e-mail, word-processing, spreadsheet, and
presentation tools, commands 90% of the market and generates $9 billion per year,
accounting for one-third of the company's revenue6.

13.5 LICENSES
License 6 practically guarantees a significant upgrade every three years or so. After
many setbacks, Microsoft declared Windows 2003 still incomplete when it was
released in May. The successor to Windows XP (due in 2004) is currently codenamed
Longhorn, and there will be no backward compatibility. Microsoft gave the 24 largest
school districts in Washington and Oregon 60 days in 2002 to inventory their massive
number of computers and match them all to documentation proving they had valid
licences for all Microsoft software. Simply add up all the computers and pay
Microsoft $42 per computer each year. For more than a decade, Microsoft has fought
the spread of illegally copied software. Its most common targets are businesses that
copy software and then sell it.

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13.6 PATENTS
Microsoft Corporation grew large and successful without the use of patents, instead relying
on copyright. Microsoft CEO Bill Gates warned in 1991 that patents could bring the software
market to a halt and drive out small players. Microsoft was the only software company to
speak in favour of software patentability at the USPTO hearings in 1994. Meanwhile,
Microsoft has increased its efforts to develop a patent portfolio to compete with the much
larger portfolios of traditional IT hardware companies such as IBM, HP, Canon, and others.
When the European Committee's patent lawyers pushed for the legalisation of intellectual
property laws in Europe in 1997, they cited Microsoft as a management framework, pointing
out that Microsoft already owned 400 software patents, Microsoft Corporation grew large
and successful without using patents, instead relying on copyright. In 1991, Microsoft CEO
Bill Gates warned that patents could bring the software market to a halt and drive out small
players. At the USPTO hearings in 1994, Microsoft was the only software company to speak
in favour of software patentability. Meanwhile, Microsoft has been stepping up efforts to
build a patent portfolio to compete with the much larger portfolios of traditional IT
hardware companies such as IBM. In late 1998, an internal Microsoft strategy document
about the "opensource threat" leaked, which suggested using software patents alongside
proprietary standards to crush competition from free software such as Apache and Linux. In
the year 2000, Microsoft forced a free software project to discontinue support , In March
2002, Microsoft CEO Steve Ballmer declared that Microsoft's new standard DotNet was
patent-protected and that free configurations would be prohibited. Microsoft published
patent licence terms for CIFS in April 2003, which prohibit the use or reimplementation of
this communication architecture by GNU software. Microsoft began to discourage corporate
clients from introducing GNU/Linux in late 2002 by pointing out that if they use free
software, they will be sued for patent lawsuits 24 .

13.7 COMPANY STRUCTURE/OWNERSHIP

Microsoft is a publicly owned company and its operations can be divided into seven
segments: Client, Server and Tools, Information Worker, Microsoft Business Solutions,
MSN, Mobile and Embedded Devices, and Home Entertainment.

13.8 MAJOR SHAREHOLDERS

Jarislowsky Fraser Limited Northstar Capital Management Pacific Crest Securities
Wells Fargo Private Client Services John Hancock Technology Fund Peter Schroeder
Victory Capital Management McAdams Wright Ragen .

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13. 9 THE STRATEGIES MARKETING OF MICROSOFT
CORPORATION
Microsoft has been providing customer satisfaction through their windows and
technologies for nearly 27 years. They provide advanced technology to all users,
including business and personal users. Aside from that, Microsoft announced the
creation of Windows, a graphical user interface, in 1983. They were developing
windows for IBM PCs at the time, and the windows were compatible with the
computers. The product portfolio, however, has evolved from a graphical user
interface to a variety of operating systems. And now, the Windows Corporation is
focusing on five business divisions that have the greatest potential to serve their
customers.
Based on how their customers use their software, Microsoft has five business divisions.
Windows and Windows Live divisions, server and tools division, online services division,
Microsoft business division, and entertainment and devises division are all part of Microsoft.
They have different strategies to implement with their various divisions.

First and foremost, according to our findings, Microsoft Corporation employs

intensive strategies. In order to improve a company's competitive position with
existing products, intensive strategies necessitate intensive efforts. In other words, an
intensive strategy encourages the company to improve its existing product. Market
penetration, market development, and product development are the three strategies
included in the intensive strategy. However, according to our research, Microsoft
Corporation uses only two intensive strategies: market penetration and product
development.
Microsoft Corporation is increasing its market share through market penetration.
Market penetration is a measure of a product's or company's ability to capture a
percentage or potential percentage of the market. Using this strategy, they are able to

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reduce competitors' market share while increasing Microsoft Corporation industry
sales.
Product development seeks to increase sales by improving existing products or
developing new ones. Microsoft Corporation develops a new product in order to boost
the company's sales. Microsoftoffice, for example, is a Microsoft Corporation
product. This product exists to make it easier for people and businesses to do their
jobs.

13.10 Taking a principled position

When we take on a new and complex societal issue, we try to learn first and then
define a principled approach to guide our efforts. This has been central to our work on
privacy protection and the ethical development of artificial intelligence, and it is also
the approach we are taking to meet our aggressive carbon targets. We've determined
that seven principles, or elements, will be critical as we continue to innovate and take
additional steps.

1. A solid foundation in science and math. We will continue to base our work on the
best available science and math, as described further below.

2. Accepting accountability for our carbon footprint. We will take responsibility for
all of our emissions, with the goal of reducing them by more than half by 2030 and
removing more carbon than we emit each year.

3. Investing in new carbon removal and reduction technology. We will invest $1

billion of our own money in a new Climate Innovation Fund to accelerate the
development of carbon reduction and removal technologies that will assist us and the
rest of the world in becoming carbon negative.

4. Enabling customers all over the world. Perhaps most importantly, we will develop
and implement digital technology to assist our suppliers and customers in lowering
their carbon footprints.

5. Maintaining effective transparency. Based on strict global reporting standards, we

will publish an annual Environmental Sustainability Report that will provide
transparency on our progress.

6. Speak out on carbon-related public policy issues. We will support new public
policy initiatives that will accelerate opportunities for carbon reduction and removal.
7. Recruiting our employees. We recognise that our employees will be our most
valuable asset in advancing innovation, and we will create new ways for them to
contribute to our efforts.

Establishing ambitious science-based emissions reduction

targets

P a g e Microsoft: Carbon dioxide removal | 41

  We reported publicly for the first time in our 2016 CDP climate
change response a science-based target (SBT)—an emissions
reduction goal consistent with the level of decarbonization required
to keep global temperature rise below 2 degrees Celsius above
preindustrial levels. This goal establishes both short- and long-term
emission reductions.

 We will cut our Scope 1 and Scope 2 (market-based) emissions by

25%. by 2020, and by half by 2036, based on a 2013 baseline
(significantly more than The CDP requires a 2.1 percent annual
reduction). This commitment demonstrates a level of
determination.
 This enables us to accept responsibility for the emissions caused by
our operations and in the global economy.

They are currently investigating the possibility of expanding this SBT to reflect their
extensive value chain, from the suppliers who support the product manufacturing and
operations to Microsoft product design and performance.

13. 11 Analysis of Microsoft's Competitors

Microsoft competes with Apple, Amazon, Salesforce, IBM, and Google in a variety of
markets. These companies are expanding their presence in various verticals in order to
provide a broader range of products and services. While this gives Microsoft a
competitive advantage in the enterprise market, it may find it difficult to maintain its
dominance as new competitors enter the segment.

13.12 Microsoft's Competitive Advantage over its competitors

Microsoft's diverse product portfolio successfully provides solutions across multiple
business verticals, catering to the needs of both enterprises and consumers.
Customers have been enticed by Microsoft's 24x7 online support for the Windows 10
operating system. Furthermore, the company offers easy access to updates via a one-
click update process that rival operating systems do not offer. Some of its most recent
products, such as the Surface Pro X, have been well received by both critics and
consumers due to their high performance.

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Microsoft's emphasis on advanced technologies such as Artificial Intelligence (AI),
Internet of Things (IoT), Data Analytics/RPA, Quantum Computing/Frugal
computing, mixed reality, and so on has helped it establish a strong market foothold.
Acquisitions of other companies such as LinkedIn, Skype, Minecraft (a video game
studio), and Mojang (the Swedish company behind Minecraft) have assisted
Microsoft in improving the features of its existing products and diversifying its
product offering to a broader target audience.
To ensure the security of its cloud offerings, it has also launched several initiatives
such as AI for Accessibility and Advanced Cybersecurity protection in collaboration
with leading companies such as Cisco, Google Cloud Platform (GCP), Intel Security,
and PaloAlto Networks.

13.13Microsoft Competitor Analysis (FAQs)

The biggest competitor , Google, whose Android mobile operating system has
captured a significant share of the smartphone market, is Microsoft's main competitor.
Its strategic goal is to increase its mobile presence in the enterprise market by forming
partnerships with leading telecommunications companies to deploy 5G.

The secret of Microsoft successful , Microsoft has established itself as a strong market
competitor due to its focus on advanced technologies such as Artificial Intelligence
(AI), Internet of Things (IoT), mixed reality, and so on, as well as acquisitions such as
LinkedIn and Skype. Its acquisition of Minecraft, Mojang, aided in the enhancement
of its features and the targeting of a new group of consumers with diverse interests ,
alsothey believe that by focusing on all of the ways we can influence change, we can
have a significant impact on climate change. We, and other organisations that are
serious about an environmentally sustainable future, must use all of our levers of
influence, including our operations and our roles as a customer, supplier, investor,
employer, policy advocate, and partner in innovation to customers, organizations, and
institutions worldwide.

Microsoft Office is the company's best-selling product. It is a collection of

applications and services that allow users to work on their computer, mobile device,
or web browser. Microsoft Office, which includes Word, PowerPoint, and Access, is
widely used by both consumers and businesses.

Microsoft has distinguished itself from its competitors by offering competitive pricing
and flexible deployment options to its customers in various geographical markets , Its
main competitors, including IBM, Amazon Web Services (AWS), and Google Cloud
Platform (GCP), provide similar products with different pricing strategies.With
Microsoft's AI, IoT, and Quantum Computing focus shifting to newer technologies to
enhance its product offerings, the company is likely to strengthen its market position
even further , and the primary required for Microsoft to create a new sustainability
vision and strategy through a series of industry-leading commitments to become a
carbon negative, water positive, zero waste company by 2030, as well as to develop a
new Planetary Computer to better monitor, model, and manage the world's
ecosystems. We're taking a risk to address climate change, and the rest of the world

P a g e Microsoft: Carbon dioxide removal | 43

must follow suit. To that end, we aspire to be the world's leading technology provider
of sustainable solutions.

13.13.1Who Has the Greenest Cloud? Amazon,

Google, and Microsoft
Data centers account for about 2 percent of all electricity use in the US. For
businesses, finding the greenest way to store their data would help cut down on their
emissions. But how does a high-minded plutocrat go about cutting back on their
carbon footprint?

the top three cloud providers—Amazon Web Services, Google Cloud, and Microsoft
Azure—account for roughly two-thirds of all rentable computing services.

Makes a Cloud Green

Amazon, Microsoft, and Google have all pledged to decarbonize their data centres
completely. The source of a data center's energy is an important indicator of its
greenness. To reduce their carbon footprints, the Big Three rely heavily on renewable
energy credits (RECs).

The calculation of a cloud's greenness is fraught with nuances. i've highlighted some
of the most important factors to consider if you want to decarbonize our data in this
report card below.

Google Cloud
What they say: Although Google has the smallest market share of the Big Three, it
has arguably done the greatest to decarbonize its data. In 2017, the company
confirmed that it had achieved 100 percent renewable energy across all of its
operations, including its data centres. It claims that all information produced by
Google Cloud has "zero net carbon emissions."

Google claims to be the "largest corporate buyer of renewable energy in the world,"
and it increased its renewable energy portfolio by 40% in September through power
purchase agreements with utilities worldwide. These types of agreements are intended
to fund the development of new renewable energy projects in exchange for access to
their energy once they are operational. The concept, which Google helped to pioneer,
is to increase the amount of renewable energy on the grid.

Google uses machine learning to continuously optimise its data centres, in addition to
renewable energy investments. According to Joe Kava, Google's vice president of
data centres, an algorithm trained on historical weather data, for example, knows how
to adjust a data center's cooling system in response to the environment. Every 5
minutes, the system samples various weather conditions so that if the temperature
drops suddenly, the facility knows to devote less energy to cooling the servers.

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the snag
Google established an oil and gas division in 2018 with the explicit goal of attracting
the fossil fuel industry. The company guarantees that its machine-learning tools,
blended with its cloud service, would help those companies better act on their data,
allowing them to extract oil and gas from existing reserves more quickly and
efficiently .

It's also worth noting that Google's data centres continue to use fossil fuels in areas
where there are few or no renewable energy installations. To make amends, the
company purchases RECs.

According to Kava, Google wants its data centres to be powered by 100 percent
renewable energy on an hourly basis. This will necessitate not only increased
renewable energy installations, but also long-term energy storage. Google
collaborated with DeepMind earlier this year to develop a machine-learning model
that can predict wind farm output up to 36 hours in advance.

Microsoft Azure
What they say: Microsoft's soul goal is to "disappear the data centre" by reducing the
environmental impact of its server farms to zero. Since 2012, the corporation has been
carbon neutral, and since 2014, it has used 100 percent renewable energy, including
RECs. Microsoft's data centres run on 60 percent renewable electricity without RECs,
and the company plans to increase this to 70 percent renewable energy by 2023.

Microsoft has implemented some unique company policies, including internal carbon
taxes. The company is also making big investments in clean energy projects.
Microsoft closed a deal for a 74-megawatt solar project in North Carolina. This brings
Microsoft's total renewable energy portfolio to around 1.9 gigawatts.

Microsoft has also invested in research to improve the energy efficiency of its current
and future data centres. The company began testing data centres on the ocean floor
last year, which could save or eliminate cooling and other energy costs. Microsoft has
also been investigating the use of fuel cells to power its data centres. Microsoft, like
Google, employs machine learning to improve the efficiency of its data centre
infrastructure. It also runs a grant programme that provides cloud computing credits to
climate-related researchers.

Since 2014, Microsoft's data centres have been 100 percent renewable. RECs are used
to offset the company's use of fossil fuels. In September, the company announced a
collaboration with oil and gas behemoths Chevron and Schlumberger. Many
Microsoft employees took part in a walkout in solidarity with the global climate
strike.

Another point to consider: Microsoft is investigating the use of natural gas to power
its data centres. While natural gas does improve energy efficiency, it is not a
renewable resource and adds to the company's carbon footprint.

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Microsoft is heavily investing in the development of battery technology for its data
centers. Janous envisions fuel cells as a means of transforming a data centre into its
own power plant. Since 2014, Microsoft's data centres have been 100 percent
renewable, but they still use fossil fuels.

Amazon Web Services

Amazon Web Services is by far the largest cloud computing provider. In 2014, CEO
Jeff Bezos announced a big commitment to powering all of Amazon's data centres
with 100 percent renewable energy. Amazon has signed power purchase agreements
that have resulted in the construction of three new wind farms and six solar farms to
date.

Amazon remains committed to using only renewable energy. The company was also
chastised for failing to provide a clear roadmap for achieving the goal. Amazon
published its global carbon footprint for the first time this year.

14. Microsoft Marketing Mix – 4Ps

The marketing mix is the mixture of analysis of most important factors of the
business, they are as follows
 Product
 Place 
 Price 
 Promotion
Microsoft Product Mix refers to an item that meets the needs and desires of the
consumer, whereas Product Mix refers to the assortment of that product. Microsoft
manufactures both hardware and software. Computers, laptops, tablets, Xbox, and

P a g e Microsoft: Carbon dioxide removal | 46

phones are among their hardware products, while Microsoft Office and Windows OS
are among their software offerings.
Microsoft has an extensive product line. It is most well-known for:
Devices
Software's
Apps
Games
Entertainment

14.1Price Mix of Microsoft

Price refers to a product's monetary value, whereas Price mix is the strategy used to
determine the price of the product. Microsoft frequently employs market-oriented
pricing strategies, freemium pricing strategies, and Buy Only What You Use pricing
strategies.

The following are Microsoft pricing strategies used in marketing :

14.2Place Mix of Microsoft

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Microsoft's official website accounts for the majority of its sales. Place in marketing
refers to providing convenient access to the consumer, whereas Place mix in
marketing refers to product distribution. Users can download and consider purchasing
Microsoft software from this website. Microsoft also has physical stores where
customers can purchase their hardware. Aside from that, this technological behemoth
is linked to a number of strategically located sellers throughout the market.

Under Price mix, Microsoft provides the following services to its customers:

 Microsoft has an official website where customers can easily select products
and services based on their needs.
 Microsoft has stores all over the world where customers can use the advice of
technical advisers to make a better decision.
 Microsoft has authorized distributors and resellers as well.

14.2 Promotional Mix of Microsoft

Promotion is the marketing of products that includes elements such as sales
promotion, advertising, and many others, whereas promotional mix is the efforts made
by businesses to reach a larger audience using promotional tools.
By leveraging its strong brand image, Microsoft's promotional mix precisely targets
its customers. It advertises its products on social media sites such as Facebook,
Twitter, Google, and Instagram. Advertising, direct marketing, and sales promotion
are all part of Microsoft's promotional strategy. It communicates with its target
customers via a strategic channel. Microsoft's marketing mix includes.

 Advertising – It is a marketing tool that is used to promote products, services,

and ideas through an open-sponsored marketing communication channel.
 Sales Promotion – A marketing strategy where the merchandise is promoted
using short-term attractive initiatives to stimulate its demand and increase its
sales.
 Direct Marketing – A promotional technique where a firm directly
communicates its selected customers without the involvement of third-party
such as Facebook, Instagram, etc
 Personal Selling – In this strategy, a sales representative meets with potential
clients for transacting a sale.
 Public Relations – A promotional strategy that establishes and maintains two-
way, mutual relationships and communications between a corporation and its
potential customers. 

15. Financial

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15.1MSFT Financial Overview
Microsoft Corporation reported earnings for the first quarter of 2022, which ended on September 30,
2022. Revenue for the first quarter was USD 50,122 million, up from USD 45,317 million the previous
year. Net income was USD 17,556 million, down from USD 20,505 million the previous year. Basic
earnings per share from continuing operations were USD 2.35, down from USD 2.73 the previous
year. Diluted earnings per share from continuing operations were USD 2.35, down from USD 2.71 the
previous year.

15.1.1Income statement

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MSFT BALANCE SHEET

P a g e Microsoft: Carbon dioxide removal | 50

P a g e Microsoft: Carbon dioxide removal | 51
 Name Company Industry

P/E Ratio TTM 26.39 31.68

Price to Sales TTM 9.07 9.49
Price to Cash Flow MRQ 22.05 25.67
Price to Free Cash Flow TTM 29.09 35.49
Price to Book MRQ 10.61 13.09
Price to Tangible Book MRQ - -

Gross margin TTM 68.26% 71.97

Gross Margin 5YA - -
Operating margin TTM 41.69% 6.28
Operating margin 5YA - -
Pretax margin TTM 41.74% 10.64
Pretax margin 5YA - -
Net Profit margin TTM 34.37% 6.35
Net Profit margin 5YA - -
Revenue/Share TTM - -
Basic EPS ANN - -
Diluted EPS ANN - -
Book Value/Share MRQ - -
Tangible Book Value/Share MRQ - -
Cash/Share MRQ - -
Cash Flow/Share TTM - -

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Name Company Industry

EPS(MRQ) vs Qtr. 1 Yr. Ago MRQ -13.74% -32.96

EPS(TTM) vs TTM 1 Yr. Ago TTM 3.52% -25.45
5 Year EPS Growth 5YA - -
Sales (MRQ) vs Qtr. 1 Yr. Ago MRQ 10.6% 15.82
Sales (TTM) vs TTM 1 Yr. Ago TTM 15.22% 18.92
5 Year Sales Growth 5YA 15.47% 16.55
5 Year Capital Spending Growth 5YA - -
Quick Ratio MRQ 1.59 1.43
Current Ratio MRQ 1.84 1.66
LT Debt to Equity MRQ - -
Total Debt to Equity MRQ 44.44% 84.45
Asset Turnover TTM 0.58 0.53
Inventory Turnover TTM 16.79 10.99
Revenue/Employee TTM - -
Net Income/Employee TTM - -
Receivable Turnover TTM - -

Dividend Yield ANN 0.97% 0.65

Dividend Yield 5 Year Avg. 5YA - -

Dividend Growth Rate ANN 10.71% 6.98

Payout Ratio TTM - -

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 15. Closing thoughts
The experience of Microsoft in establishing the carbon non-aggression commitment
and working to create a cultural shift across their organization to support that loyalty
has already taught them some important lessons:
 To comprehend business requirements in order to make the debate relevant to
your audience.
 Take action as the designated team leader to drive an integrated cross-
corporate effort, including projects involving fuel efficiency and renewable
energy.
 Develop a company-wide strategy based on mutual objectives: What impact
will your efforts have on the environment? whole organization? How can each
group help the organization succeed?
 Prioritize financial gains while keeping other goals in mind, such as risk
reduction and citizenship.
 Communicate frequently and early. Assign influential stakeholders to
promote the strategy in their respective areas of business.
 Continuously refine the strategy and ensure that teams understand how their
efforts contribute to the overall success of the organization.
 Use governance to ensure long-term accountability.
 Don't let sceptics derail a good plan.
Microsoft's commitment to carbon neutrality will contribute to the company's culture
of innovation and efficiency. Because they believe it will help them drive operational
excellence, allowing the company to thrive while reducing its environmental impact.
They are leading the way in promoting resource efficiency and purchasing renewable
energy. Microsoft hopes to set an example by purchasing renewable energy and
conserving resources, and they hope to drive accountability through our internal
carbon pricing and chargeback model .

16 . references

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 https://blogs.microsoft.com/blog/2020/01/16/microsoft-will-be-carbon-
negative-by-2030/
 https://swotandpestleanalysis.com/pestle-analysis-of-microsoft/
 file:///C:/Users/Admin/Downloads/Microsoft_Becoming%20Carbon
%20Neutral%20(1).pdf
 file:///C:/Users/Admin/Downloads/233414871-THE-STRATEGIES-
MARKETING-OF-MICROSOFT-CORPORATION-pdf.pdf
 https://businesschronicler.com/competitors/microsoft-competitors-
analysis/
 https://theecobahn.com/technology/microsoft-sustainability-carbon-
neutral-by-2030/
 https://www.investing.com/equities/microsoft-corp-ratios
 https://theecobahn.com/technology/microsoft-sustainability-carbon-
neutral-by-2030/
 https://news.microsoft.com/en-gb/2022/03/09/microsoft-partners-lead-the-
way-in-sustainability-by-committing-to-net-zero-target/
 https://www.wired.com/story/amazon-google-microsoft-green-clouds-and-
hyperscale-data-centers/
 https://www.microsoft.com/en-pk
 https://www.businessinsider.com/microsofts-15-biggest-acquisitions-and-
what-happened-to-them-2011-3
 https://www.academia.edu/37532164/
An_evaluation_of_corporate_management_and_strategical_planning_of_
global_companies
 https://www.bizjournals.com/seattle/blog/techflash/2013/09/investors-see-
nokia-acquisition-as-a.html?page=all

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