Expansion of Microsoft into Multinational Agreements: Movement into China - Research Paper Example

The expansion differs according to the region and is based on the growth and objectives within the company. The movement of Microsoft to China is one that incorporated specific positioning and growth strategies. This has created new global markets while altering the strategies and approaches to growth.

This has allowed the corporation to continue to expand while having the capability of adding to the main objectives for growth. Objectives of Expansion The basis of Microsoft as an American company is one that was based on expanding the economic potential and spread of products throughout the globe. The original focus was to integrate products of Microsoft into the local market while collaborating with other businesses in terms of software products and developing technologies in the region.

To begin, Microsoft developed offices in central cities and areas that could offer more expansion. Currently, there are over 10 cities that hold general locations for those who are looking into the technology. The expansion includes a research and development center, technology centers, and a support center. The main approach was to add both products and services to the region, specifically with a competitive edge that would fit with the region while integrating into the market. To move into the market, Microsoft incorporated Windows servers and tools, business solutions, mobile devices, MSN, home, and entertainment products.

The expansion began in 2002 with a collaborative effort with the National Development Reform Commission, specifically with the agreement of building and expanding the software industry in the region. The prospects have expanded into new strategies for services with a $62 million strategic investment to various companies for state-owned enterprises that incorporate Microsoft strategies, training areas and IT parks for expansion of the products and services of Microsoft. This is combined with the decision to collaborate with local efforts and the government of China, both of which are offering continuous expansion into the region while having specific Microsoft offices that can carry the Chinese culture while offering competitive products for the market (Microsoft 2011).

The objectives are then able to include well–rounded approaches that enhance both services and products in the greater China region while matching with the cultural and political aspects of the region. The objectives of Microsoft are furthered with strategies that can create stronger responses in both the internal and external environment. For the internal environment, Microsoft can provide more investments with returns in the region. There is also the ability to have access to more human assets that add innovation and opportunity for the business.