Microsoft is a hyper competition company which means that there are other companies directly competing with each other to sell similar products. However their main competitive advantage is product development, they develop their “software products and services internally” rather than the actual outside look of it. Internal development allows Microsoft to be different from other companies which helps them gain competitive advantages. This competitive advantage allows them to have control over their ideas and which changes they want to implement and when they want to implement it. They take careful measures to fix products that need to change internally.
Microsoft produces quality products that have safe software for the public before releasing new software platforms. Microsoft provides application vendors that test and read guidelines before releasing products. This is a sustainable competitive advantage because other companies are competing to have the best looking product while Microsoft looks in the internal software more rather than the outer aspect of its product. This is a difficult advantage to mimic because “during fiscal years 2012, 2011, and 2010, research and development expense was $9.8 billion, $9.
0 billion, and $8.7 billion, respectively. “They already have established a base for a company that puts a lot of their investment in internal product developments.Human resources and how they train customers have the best customer service is another competitive advantage however it is not the main. They acknowledge the fact that in order for them to be a leading company they would have to gain power by highly “trained individuals from all regions of the world, and those from a wide range of diverse backgrounds.”This is a sustainable competitive advantage because they care a lot about their customer’s safety and feedback. Therefore they put a lot of effort in training their employees to perform outstandingly.
Microsoft Human resources is something that is difficult for competitors to imitate because they really try to understand both their employees and customer’s issue.