Microsoft Positioning Strategy Essay

1087 Words Oct 2nd, 2014 5 Pages
Brand positioning is essential to the success of any firm because it delivers a perception into the consumer’s minds which differentiates them from their competitors. Microsoft began to grow their brand over 20 years ago with Bill Gate’s an underlying vision of “a computer on every desk and in every home”. This resulted in Microsoft developing into a huge multinational company with personal computing at the forefront of their business. Microsoft dominated this industry for many years which is reflected in the high brand recognition of Microsoft products worldwide.

However, this dominance has slowly evaporated and Microsoft has failed to react to new
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It will be interesting to see how Microsoft develops their brand positioning in the future. Will they continue on with Nokia’s vision or will they attempt to secure a competitive advantage in a new area?
Microsoft released the Microsoft Surface in 2012. The tablet failed dramatically with the company incurring a loss of $900 Million worth of stock. This failure could have been easy to predict as there was no real creative vision associated with the product. The product was advertised as a medium between being used for work and leisure activities. This lack of creativity resulted in there being no place for the tablet within the market as people continued using their iPads for leisure and their MacBook Air for work. The surface 2 has recently been introduced and it is vital that Microsoft ensure this time that their brand positioning exposes a new niche in the market.
Microsoft only recently attempted to infiltrate the tablet industry with the Microsoft surface last year. The company’s mission statement which states “at Microsoft, Our mission and values are to help people and businesses throughout the world realise their full potential” illustrates their segmentation strategy. Microsoft didn’t focus on a particular segment within the market but rather focused on the entire market. While, this strategy worked for many years for the company in terms of personal computing due to the monopoly they acquired it proved to be

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