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Essay / Research Paper Abstract
This 6 page paper looks at Microsoft’s launch of the Zune, the problems it faced in 2006 and considers strategies that could have been used on the basis of an environmental analysis. The bibliography cites 6 sources.
Page Count:
6 pages (~225 words per page)
File: TS14_TEzune01.rtf
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Unformatted sample text from the term paper:
market (Marino, 2008). Some commentators forecast that Microsoft had a iPod beating device, and initial sales were optimistic, in the first week of sales the Zune managed to gain the
second position in the market for MP3 players with 9% of the market, but this soon fell back and Microsoft were left in 5th position. The key issue faced by
Microsoft was to identify why a product, which had some additional features compared to the competition, with wifi and an FM radio, was not selling as well as expected. Microsoft
needed to assess why and how they were failing to gain the desired market share and how this could be rectified. 2. Analysis To examine the position of Microsofts
Zune the passion of the firm itself and the product needs to be considered and then this can be looked at in terms of the business environment. This latter aspect
can be examined well by looking at the wider environment with the use of Porters Five Forces Model. 2.1 The Zune The Zune had been developed by Microsoft to
compete in the growing market for MP3 players, a market which had played a major role in saving Apple and where Apple had a dominant market share. The unit had
been developed in order to be attractive ad compete head to head with the iPOd. Microsoft were offering a full solution, not only the machinery, but also an online music
service, similar to iTunes and were seeking to leverage their well known name for technology. It may be argued the design does not have the same elegance of the iPod,
but there is a major difference with the music offering; Zune are offering a monthly subscription fee for unlimited downloads for music. This is designed to compete in a way
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