Guided Response: In 300 words or more, please, provide your response to the above discussion question. Further, do you think Microsoft regrets taking action in light of Apple’s performance today? Respond substantively to at least two of your classmates’ postings. Substantive responses use theory, research, and experience or examples to support ideas and further the class knowledge on the discussion topic.
Wednesday, 11 June 2014
Strategic Behavior Oligopolies
An interesting example of strategic behavior comes from a 1997
article about Microsoft’s investment in Apple (New Straits Times,
1997). The article is included in the Required Readings list.
Facing tough anti-trust scrutiny from government agencies,
Microsoft provided financial support to Apple in order to ensure
Apple’s survival and, therefore, to ensure that competitiveness in
the industry remains. Moreover, the partnership with Apple provided
an additional market for Microsoft’s products – the MS Office and
the IE products were to be bundled with the MAC OS as one of the
conditions for this financing. Discuss this case in the context of
market structure and strategic behavior. What market structure do
these firms operate in? Why did Microsoft need to preserve
competitiveness in the industry? What was Microsoft afraid of in
the event that Apple did not survive?
Guided Response: In 300 words or more, please, provide your response to the above discussion question. Further, do you think Microsoft regrets taking action in light of Apple’s performance today? Respond substantively to at least two of your classmates’ postings. Substantive responses use theory, research, and experience or examples to support ideas and further the class knowledge on the discussion topic.
Guided Response: In 300 words or more, please, provide your response to the above discussion question. Further, do you think Microsoft regrets taking action in light of Apple’s performance today? Respond substantively to at least two of your classmates’ postings. Substantive responses use theory, research, and experience or examples to support ideas and further the class knowledge on the discussion topic.
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