Write a 2 page essay on A porters 5 forces analysis of Microsoft Corporation.
The following figure represents computer OS market share.
Threat of new entrants is extremely high in the computer software industry. Faster product developments and technological innovations allow a new entrant to easily capture the market. The current industry trends indicate that people are highly attracted towards new software developments as they always try to replace the existing technology with more improved ones. It is obvious that a number of new market players have entered the software industry over the last two decades. However, higher entry costs reduce the threat of new market entrants to some extent. Nowadays, majority of the governments invests heavily in research and developments. Therefore, new entrants are overcoming the fund deficiency issue.