Introduction
Competitive rivalry measures the level of competition between existing industries. Intense rivalry can constrain profits and result in competitive actions such as price cuts and innovation. Companies are jointly dependent; thus, the pattern of response and performance of their competition may harm all firms and the industry.
Microsoft faces competition from different software devices and platforms, primarily from Google and Apple. Microsoft competes successfully by providing clients value, safety, choice, elasticity, compatibility, and an easy-to-use interface with an extensive range of software and hardware applications such as those that allow efficiency, and the prime support network for any functional system. According to Statista (2020), in the year 2019, Apple had an annual revenue of 260.17 US billion dollars, Google had 160.74 US billion dollars while the approved Microsoft Company had 125.84 US billion dollars.
I believe Apple is a competitor to Microsoft in terms of high-end devices and hardware sales. Apple's trade model focuses on innovation and customer-centric tools. They are capable of maintaining their base as a result of the easy-to-use strategies and data relocation to new lines of product. Also, Google tries to contest with Microsoft software set with its web built productivity system referred to as Google Docs, which include spreadsheet application, word processor, and slideshow presentation, maker. It also creates a builder and drawing equipment with the access portability from any web browser.
Quality is essential in the services of the entire organization. Apple services contest through price-based rivalry by avoiding low-end markets and making sure of high-end goods. Apple products have been capable of placing themselves in the minds of the clients as high-end goods with unique services, excellent quality, and customer service (Umoh, 2017). Also, Google has the ability and flexibility in the online search arena. Google is almost a monopoly of the online search industry and volume. The large quantities of Google share are substantial in standard-cycle industries (Hitt et al., 2017). Thus this leaves a tiny room for other competitors determining to outperform and outsmart the search device, which makes its income through ads.
References
Hitt, M., Ireland, R., & Hoskisson, R. (2017). Competitive rivalry and competitive dynamics. Strategic Management (12th ed., pp. 1-15).
Statista. (2020). Revenue comparison of Apple, Google, Alphabet, and Microsoft from 2008-2019. https://www.statista.com/statistics/234529/comparison-of-apple-and-google-revenues/
Umoh, R. (2017). The No. 1 reason Apple has been so successful can be traced to Steve jobs. https://www.cnbc.com/2017/07/13/the-no-1-reason-apple-has-been-so-successful-can-be-traced-to-steve-jobs.html
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