Free

Microsoft Monopoly - Essay Example

Comments (0) Cite this document
Summary
Microsoft monopoly-Why was Microsoft investigated for antitrust behavior?
Microsoft Company is one of the biggest companies in the world. It is also termed to be a computer software industry that is diversified. …
Download full paperFile format: .doc, available for editing
GRAB THE BEST PAPER97.4% of users find it useful
Microsoft Monopoly
Read TextPreview

Extract of sample "Microsoft Monopoly"

Microsoft monopoly-Why was Microsoft investigated for antitrust behavior? Microsoft Company is one of the biggest companies in the world. It is also termed to be a computer software industry that is diversified. The reasons that lead to Microsoft being reconnoitered for antitrust performance is the fact that there were reports of Microsoft Company abusing the position they had as one of the leaders in supplying operating systems of computers. It leads to various lawmakers carrying out investigations if Microsoft Company was creating a monopoly to the markets available for the computer software’s. These lawmakers later found out that Microsoft Company was causing a monopoly in the industry of computers.The lawmakers came out with facts used in supporting their judgments (McLaughlin, 1999). Microsoft Company created Microsoft office which gave services to everyone in any professional field. The Microsoft office was to be used to operate an operating system that was specifically from Microsoft Company. This operating system used by Microsoft, is windows. McLaughlin(1999) affirms that during the internet development, Microsoft Company tried to put measurements that were to eradicate and push out other companies competing with them in terms of net browsing. By doing so, Microsoft Company came up with the internet explorer which was to be used freely in their all operating systems introduced. The introduction of internet explorer came when people were spending their money in using Netscape Navigator and other browsers. According to the lawmakers, Microsoft Company was mortified of these exclusive dealings. This type of regulation gives Microsoft sole rights to a particular commodity. This led to Microsoft competition in the available market being prevented. In addition, Microsoft Company started to use a pricing schedule that was beneficiary to windows users but if someone was using another operating system other than Microsoft, the services or products would be a little expensive. It was a warning for all users using different types of operating systems other than Microsoft. In addition, Microsoft Company was being reconnoitered for the antitrust behavior (McLaughlin, 1999). According to McLaughlin (1999), the company was blamed for going against the Sherman act that stated that a person, who monopolizes any commerce part with other foreign countries, shall be found guilty of a wrongdoing and punishment is a fine not more than $10,000,000 to a company and $350,000 to an individual. The person who has attempted to monopolize may also be imprisoned for three years. Monopolization in the United States is an illegal act. Moreover, I agree that Microsoft Company was trying to monopolize the available market. These monopolies may have effects to the providers and the market in general. Artificial pricing can be caused, increase in demand of products with low supply, no response to complaints made by the users and the users may find it difficult changing to other services and products. Zanettin(2002) asserts that despite variations by the law makers, the profits and market power of Microsoft Company are in danger. According to press reports, court order is being sought by the department of justice in splitting the business of Microsoft Company operating systems from its main role of supplying office applications like Excel, PowerPoint and Word. According to Charles Schumer a senate in New York, the worldwide dominance of United States in the market would be undermined if a sanction is put on the software. He continues to assert that Microsoft could be broke up another company that would be leading in the world would be from German, China or Japan. The whole industry of computers is an enormous byproduct, coordinated efforts socially and subsidized or directed largely by the United and Britain governments among others (Zanettin, 2002). The first computers developed in the United States were used in performing calculations that were complex and used in creating of hydrogen and atomic bombs. Microsoft Company did not acquire a monopoly position in the software’s used because the operating system available was greater technologically. Many analysts in the software industry may have differences of opinion whether Windows is one of the ideal systems and it is not stable in the office use day by day. The industry concerned with software’s was supposed to make standards of the operating systems in order to issue a collective platform for the applications writing and workers training who will need to learn every new operating system used by any type of computer. On the other hand, the system had to standardize and determine the standard system. This was to be done by the competing capitalists’ struggle concerns whereby connections in business and marketing practices considered being sharp were much more counted than the technical quality (McLaughlin, 1999). In conclusion, monopoly is the unavoidable result of capitalist economy development. This is not only in the software industry, but even in other major companies. This capitalist accumulation process leads to amalgamation of small amounts of capitals into large amounts of capital. The substitute to monopolization is the capitalist monopolies being transformed into public utilities and worked under the control of people working but not an era whereby capitalist is a free competition. References McLaughlin, M. (1999, November 11). Behind the Microsoft antitrust case: computer giants battle for markets and profits. Retrieved from . Zanettin, B. (2002). Cooperation Between Antitrust Agencies at the International level. Oxford: Hart Publishing. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“Microsoft Monopoly Essay Example | Topics and Well Written Essays - 500 words”, n.d.)
Retrieved de https://studentshare.org/business/1451514-microsoft-monopoly-why-was-microsoft-investigated
(Microsoft Monopoly Essay Example | Topics and Well Written Essays - 500 Words)
https://studentshare.org/business/1451514-microsoft-monopoly-why-was-microsoft-investigated.
“Microsoft Monopoly Essay Example | Topics and Well Written Essays - 500 Words”, n.d. https://studentshare.org/business/1451514-microsoft-monopoly-why-was-microsoft-investigated.
  • Cited: 0 times
Comments (0)
Click to create a comment or rate a document

CHECK THESE SAMPLES OF Microsoft Monopoly

Critical Analysis of Microsoft Monopoly Power

...? Critical Analysis of Microsoft Monopoly Power Introduction A monopoly is a situation in which one firm is the sole supplier in the market or a firm control substantially the market supply. Microsoft has enjoyed monopoly position in the supply of software that is used as operating systems in personal computers around the globe. The company has been accused of pursuing anti competition strategies that are unlawful in order to dominate the market and benefit from the monopoly power (Meller 2009). In a monopoly, the firm will have the entire control in setting prices and sometimes derails innovation due to lack of competition. Moreover, the firm will stand to benefit from the economies of production and the cost per unit of products... may...
5 Pages(1250 words)Essay

Monopoly and Microsoft

...Section/# Table of Contents: Introduction Monopoly and Microsoft: Microsoft’s Approach to Profitability and the Engagement of the Monopoly as a Function of Capitalist Drive Conclusion Works Cited Introduction: The question of whether or not Microsoft represents a monopoly has long since been settled. With fully 90% of all computers running Microsoft operating systems, the reality of the current market speaks for itself. However, even though it is been demonstrably proven that Microsoft is in fact a monopoly, a further question that must be engaged is whether or not this...
5 Pages(1250 words)Essay

Monopoly

...? Monopoly Table of Contents Table of Contents 2 Introduction 3 Body 3 Characteristics of Monopoly 3 Merits of monopoly 4 Demerits of Monopoly 6 Conclusion 8 References 9 Introduction Monopoly is the Greek term meaning alone or single. This term exists when a specific enterprise is the only sole provider of a particular commodity. In a market setting, monopolies a thus characterized by a lack of economic competition (McKenzie& Lee, 2008). This is when, in a company’s production of goods and services, they face little if any viable substitute goods. A monopoly is a single seller in an economic setting whereby the company...
8 Pages(2000 words)Term Paper

Microsoft a Monopoly

...'Microsoft a Monopoly' Dissertation Research Framework Research Problem Area: "Microsoft a Monopoly" Research Question: Is Microsoft company's Marketing strategies are able to build a healthy environment in the industry Research Objectives: The main objectives of the research is to observe the, Strategical marketing plan of business success. Product and pricing & Promotional scenario Steps taken by the company to competitor prevention Reasons for being called as Monopoly Facts Vs False paradigm behind Microsoft as Monopoly Research Hypotheses (or themes for some qualitative...
2 Pages(500 words)Dissertation

Microsoft and Monopoly

...Micro Economics - Microsoft and Monopoly The software industry is one of the fastest evolving industries around the world. The fast pace of advancements taking place in this industry have brought about changes in almost all sectors in the industry having an impact on our lives. Today while on the one hand the information technology industry is one of the fastest growing industries, its impact on our lives ranges from the way we communicate, travel, work etc. Computer and software industry is the leader in bringing about such changes. Microsoft is one such company, which has made a mark in this industry to the extent that the company has established a monopoly kind of lead...
4 Pages(1000 words)Essay

Bill Gates Versus Brussels- The European Union Action On The Microsoft Monopoly

...Running Head: THE EUROPEAN UNION ACTION ON THE MICROSOFT MONOPOLY Bill Gates Versus Brussels- The European Union Action On The Microsoft Monopoly [Writer's Name] [Name of Institute] Bill Gates Versus Brussels- The European Union Action On The Microsoft Monopoly European Union And American Monopoly - An Introduction A hundred or more years ago, the threat of monopoly might have been greater than it is today because of the limited variety of resources available within given markets. A firm might conceivably corner the market on a given resource--for example, iron or bauxite ore--for which there were no...
16 Pages(4000 words)Essay

Is Microsoft a Monopoly

...Is Microsoft a Monopoly? Microsoft Corporation, popularly known as Microsoft, is a multinational company with its headquarters in Washington, USA. It began operations in 1975 and since its inception it has gone on to become a giant in the operating systems (OS) industry for laptops and desktop PCs. It has expanded its operations to produce a diverse range of products that include software, search engine and mobile OS among others. The contemporary world is being introduced to new technologies and new innovations all the time. As a result Microsoft’s position as the market leader in its core operations is threatened. Before drawing any conclusions...
7 Pages(1750 words)Research Paper

Windows, owned by Microsoft, is the operating system installed on more than 90% of the worlds computers. Using your knowledge of economic theory, discuss whether Microsofts monopoly position is in the public interest

...Microsoft Introduction Monopoly form of market is a market structure that is characterised by a single firm and many buyers. The firm is the only provider of a particular product or service in the market and caters to all customers. Microsoft is one of the leading companies in the high technology sector, but the company has been accused to practice monopoly practices. The paper discusses the negative and positive aspects of Microsoft’s monopoly. Monopoly market structure and behaviour of firms The fundamental conditions of this form of market have been given below: The monopoly market is one in which there are many buyers while only one seller caters to the demand of all the buyers. There are strong barriers to entry to the market... ...
4 Pages(1000 words)Essay

Monopoly and Competition: International Attempts to Curb the Power of Microsoft

...Monopoly and Competition: International Attempts to Curb the Power of Microsoft In relation to the present unconventional global economy, organizations are often witnessed to involve in diverse conditions with respect to their range of business operations. Moreover, the organizations have also been identified to face numerous lawsuits due to their non-compliance of governmental regulations that are revealed by the countries from different geographical regions. In keeping with such evolving global scenarios, Microsoft Corporation (Microsoft) has faced certain critical challenges as well in the global business environment. Microsoft has long been...
3 Pages(750 words)Case Study

Narrative, genre, script

8 Pages(2000 words)Essay
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.

Let us find you another Essay on topic Microsoft Monopoly for FREE!

Contact Us