...Southern New Hampshire University Investigative Report The Capital Structure of Microsoft Corporation Zhang Yue Capital Budgeting & Financing, Fin 630 David Fehr June 3rd, 2013 Abstract At the first part, we are going to introduce Microsoft Corp. and how it works. Then, we try to figure out the WACC of Microsoft based on the data like income statements, balance sheets, cash flow statements, and some data searched from Yahoo! And Google Finance. At last, we are going to analyze and evaluate several terms of Microsoft. Compare Microsoft performance to Apple and Google, which are the most famous technology and Internet company, and then discuss with the whole technology market. Key Words: capital structure, WACC, ROE, leverage, liquidity, 1. Introduction 1.1 Company Background Microsoft Corporation is an American multinational software corporation headquartered in Redmond, Washington that develops, manufactures, licenses, and supports a wide range of products and services related to computing. This company was founded by Bill Gates and Paul Allen in 1975. With about four decades of development, now Microsoft is the world's largest software maker measured by revenues. It is also one of the world's most valuable companies. As of 2013, Microsoft is market dominant in both the PC operating system and office suite markets. The company also produces a wide range of other software for desktops and servers, and is active in areas including internet search...
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...Microsoft Corporation International Business BADM 455, Section 1 Peng Wang (Nath) October 01, 2011 Catalogue Summary ................................................................................................. 1 Introduction............................................................................................................. 2 SWOT Analysis.......................................................................................................... 5 Global Market and Challenges................................................................................. 7 Industry Analysis…………........................................................................................... 9 Competitor Analysis…………...................................................................................... 10 Recommendation…………………………......................................................................... 12 Conclusion…………….................................................................................................. 13 Reference...........................................................................................................14 Summary Introduction of Microsoft Corporation Starting in 1975, Microsoft corporation was established by Bill Gates and Paul Allen. Depending on MS-DOS, Microsoft rose a lot in home computer operating system market in 1990s. Later, used Microsoft Windows control the computer operating system market. Relying...
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...Company Profile Now the company has grown up worldwide with net income per 2009, US$ 14.569 billion, and workers approximately 93,000 in over 100 countries. *COMING FACE TO FACE WITH PIRAC*Y "Even though we focus on enterprise class software, we see a lot of piracy, and it is a big problem. Mostly it is compliance issues rather than outright piracy. And although we see more of this internationally than in the U.S., the U.S. is still a problem." -- Microsoft Certified Partner, USA Ecosystem members run into piracy and license misuse every day in at least two ways: They find it in their customer base when deploying new solutions or services. They find it in competition with companies that bundle or otherwise incorporate pirated software into their own solutions, sometimes without customer knowledge. The unlicensed software gets into customer environments a number of ways, from counterfeiting and {draw:rect} REPORT A survey commissioned by Microsoft and conducted by IDC, a global provider of market intelligence, in November 2007 reported that more than 80 percent of commercial enterprises across Russia continue to use unlicensed or pirated software. “Many company directors still think procuring software legally is not cost effective and inevitably involves extra expenses like training of IT managers or paying for software upgrades,” said Leonid Klyaiman, Microsoft’s product manager in Russia. “Such ignorance has encouraged a preference...
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...| | | Form 10-KORACLE CORP - ORCLFiled: June 29, 2007 (period: May 31, 2007)Annual report which provides a comprehensive overview of the company for the past year| | | Table of Contents| | UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K | | | x ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934| For the fiscal year ended May 31, 2007| OR| o TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934| Commission file number: 000-51788 Oracle Corporation (Exact name of registrant as specified in its charter) | | | Delaware| |54-2185193| (State or other jurisdiction of incorporation or organization)| |(I.R.S. employer identification no.)| 500 Oracle Parkway Redwood City, California 94065 (Address of principal executive offices, including zip code) (650) 506-7000 (Registrant’?s telephone number, including area code) Securities registered pursuant to Section 12(b) of the Act: | | | Title of Each Class| |Name of Each Exchange on Which Registered| Common Stock, par value $0.01 per share| |The NASDAQ Stock Market LLC| Preferred Stock Purchase Rights| |The NASDAQ Stock Market LLC| Securities registered pursuant to Section 12(g) of the Act: None Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES x ...
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...United States vs Microsoft Corporation, for Committing Monopolization Written By: Blank March/24/2014 Blank Lee The federal case United States vs Microsoft Corporation (2001) was an anti-trust case tried in the U.S. District Court in which the U.S. government filed suit against Microsoft on May, 18, 1998 because they were concerned that the company was using the power of it enormous market share in the PC operating system market to exert undue influence on the market prices and competition. The government also alleged that Microsoft had engaged in anticompetitive conduct in violation of § 1 and § 2 of the Sherman Act. Although the investigation really began in 1993 when Microsoft’s marketing tactics had sparked the Department of Justice’s interest in the business dealings of the company in order to conclude whether or not the company was partaking in monopolistic practices. This Department of Justice investigation was directly subsequent to two deadlocked probes by the Federal Trade Commission that were initiated in 1990 ("Wired.com”). During the 1993 investigation the Department of Justice found that indeed Microsoft was abusing the monopoly power it possessed over the PC operating systems markets. Monopoly Powers are generally defined as the absence or ineffectiveness of competitive constraints on price, output, product decisions and quality. The Supreme Court defines monopoly power as ''the power to control prices or exclude competition.'' A firm is...
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...Introduction The Department of Justice investigated Microsoft Corporation for anti-trust behavior throughout the 1990’s. 19 States complained against Microsoft for practicing monopolistic behavior, following the investigation, the case went to trial. The following paper discusses the case against Microsoft, than talks about the monopoly market structure, and how it can affect society. United States of America V. Microsoft Corporation Microsoft Corporation, a multinational software corporation, was investigated for anti-trust behavior throughout the 1990’s. Complaints to the Federal Trade Commission (FTC), sparked an investigation on Microsoft corporation for using market power to monopolize web browsing software, which may prevented competing web browsers to gain marginal revenue. (Kleiner, 2011) In 1990, the FTC started investigating the Microsoft Corporation for monopoly (Brown, 1993), though in 1993 the FTC could not reach a conclusion if Microsoft practiced anti-trust behavior and further dropped the case (Keho, 1993). In 1994, The Department of Justice (DOJ) reopened the case, which resulted in a settlement between the complainants, the DOJ and Microsoft Corporation (U.S. Department of Justice, 1995). In May of 1998, 19 state plaintiffs and the DOJ filed a lawsuit against Microsoft, accusing the corporation for being a monopoly market structure by destroying competing threats posed to Microsoft. The company was accused for bundling their software to include with...
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...Bill Mclaren, Jr. v. Microsoft Corporation The United States is know for its freedom by many people.This came from all of the country's founding fathers. That was created to make it a place where you can be free. Using the amendments in the constitution for the guidelines to be based off of. One of the know brainers that people expect is the right to privacy. This is not unreasonable, due to most of the fourteenth amendment is saying that you have that right. At the end the right to privacy has mainly been provided for procreation right. Some people feeling entitled to a right to privacy, is it almost inevitable that differences of opinions would occur in the workplace, and court cases would be raised dealing with an employee's right to privacy. The question that needs to be answered is where a corporation's rights and employee's rights are differentiated. Should employees have a reasonable expectation to privacy? Should companies have a reasonable right to access their employees various tools in the workplace? In the privacy court case, Bill McLaren Jr. v. Microsoft Corporation, the most fought over is whether a business has the right to intrude on a worker's privacy as it relates to personal emails. Privacy rights can be violated under common law if the intrusion into the private life would be found offensive by a average person. Bill McLaren Jr. was an employee of Microsoft who was under accusation of sexual harassment. As the accusations were looked into, McLaren...
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...Shantee Hill MGT301 Mod1 case The Microsoft corporation is one of the most prevalent and powerful companies in the private computer business. Established in 1975 by Paul Allen and Bill Gates, Microsoft has the strongest presence in just about all areas of computer software, from applications to programming tools. Bill Gates wanted to create a healthy, productive work environment that maintained its employee’s values and commitment of excellence. In building a corporation based on the principles of diversity and respect of one another’s individuality, Bill wanted to bring in the right people to manage his corporation that had the same common goals to achieve the main goal of having a thriving corporation. Planning is important at all levels of management within Microsoft. However, its distinctiveness differs by level of management. Within Microsoft the key terms of planning management functions are vision, mission, objectives and goals. Planning requires a organized approach and an establishment of objectives. It starts with setting goals and objectives that can be achieved. Those objectives provide a underlying principle for a variety of tasks as well as designate course of efforts. Additionally those objectives also focus the attention of the managers on the final results wanted to be achieved. Objectives are the core to the planning process. Consequently, objectives should be stated in a obvious, accurate and unequivocal manner. Otherwise the tasks to be carried out are...
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...Microsoft Corporation Outline the target market for the business and assess the effectiveness of their marketing strategies for TWO elements of the marketing mix. Microsoft Corporation Table of contents Microsoft corporation overview 3 Introduction 3 Marketing strategies and their effectiveness 4 Conclusion 5 Reference list 6 Appendix Financial Statements For Microsoft Corporation: annual data 7 Microsoft corporation overview Microsoft is a public multinational corporation founded in Albuquerque, New Mexico on April 4th, 1975 by Bill Gates and Paul Allen. Where know the head quarters are in Redmond, Washington, USA with Steve Ballmer (CEO), Brian Kevin Turner (COO), Bill Gates (Chairman), Ray Ozzie (CSA), Craig Mundie (CRSO) and approximately 89,000 employees. Introduction Microsoft became one of the largest and most profitable companies in the world. Its founder, Bill Gates, became one of the wealthiest people in the world. Microsoft products enjoy a market share of more than 90 percent of the operating systems business worldwide. Microsoft has continued to expand and to update its product offerings and in doing so, it continues to spur demand among software buyers for Microsoft's newest and best products. The company has successfully navigated through changes in technology, the rise and fall of competitors, the growth of the Internet, and the globalization of business. In order for this success, Microsoft...
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...AFTER TOMORROW Microsoft Corporation is one of the biggest Corporation in our generation, it was owned and run by Mr. Bill Gates. For me as a business course student taking up Bachelor of Science in Accountancy, Making money for the day after tomorrow. Means like this: if the sales division of Microsoft in China makes money for today, and the product division makes money for tomorrow. But in the other hand the research division makes money for the day after tomorrow. The Microsoft Research Asia serves as a Microsoft’s reserve – the talent accumulated here will lead to wealth down the road. Microsoft Research Asia is leading the wealth and future of Microsoft Corporation due to its advance research and development in the world. With the help of the computer literate experts whose working hard to achieve its goal to the brighter and better future of our technology. Due to an effort to “stock” its reserves Microsoft Research Asia sends a representative each year to all leading colleges and universities that provides teaching in a degree that specialized in computer literate major such as computer sciences and information technology. For the vast demand of computer literate student across the world with the help of the said universities and college across China Microsoft Research Asia is now searching for a talented lucky students to participate in the said seminars that conducted by the Microsoft Research Asia representatives. In this reason, Microsoft Research Asia...
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...died on January 2, 1972. y favorite leader is William Henry Gates III, or Bill Gates to most people. Bill Gates is a computer engineer and world-class entrepreneur. He founded Microsoft Corporation in 1975 with a high school friend named Paul Allen. The leadership role that he serves is chairman and chief software architect of Microsoft Corporation. Up until 1998, Gates was CEO of the company, but he relieved himself of those duties, and currently is only a software architect and serves on the Microsoft committee. He currently is involved in all the new creations of new Microsoft technology and products. Microsoft is currently the most powerful computer company on the face of the planet. They create everything from video games and personal pc’s to even cell phones. Bill Gates is also well known for being one of the richest human beings on the face of the planet. Bill Gates was born October 28, 1955 in Seattle, Washington. He has two sisters, his father William H. Gates II, who was an attorney, and his mother Mary Gates who was a schoolteacher. He married on January... ... middle of paper ... .... Gates strives on effectiveness and efficiency. Recently, Gates has also shown me that it is okay to step down from a high position to instill trust in others. He is still high up in his corporation, but...
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...and a way for incumbents to reinvent their products for success. This paper evaluates Microsoft Corporation’s innovation strategy as it related to its product and also evaluates the strategy as a measure of the company’s success. Company background and SEC filings Founded in 1975, incorporated in 1981 and with an initial public offering in 1986, the Microsoft Corporation mainly focuses on developing software products and services for their customers. There are five divisions of Microsoft: Windows and Windows Live Division, which creates operating systems for PCs; Server and Tools that develops server infrastructure and software; Online Services Division that focuses on easing consumer concerns and simplifying searches with Bing; Microsoft Business Division, which sustains the Microsoft Office Suite; and the Entertainment and Devices Division with products such as the Xbox360 and Kinect. Microsoft operates in more than 100 countries around the world, with sales growth attributed to creative design of new products and services. Their main competitors are Apple, Google, Yahoo, Adobe, Nintendo, IBM, and HP. With that level of competition, Microsoft is thoroughly committed to staying at the top of their business. To do this, they developed a deep passion for research and development that results in exciting new products that keep the world on its toes. In a recent corporate report, Microsoft declared a dividend of 23 cents per share, in which shareholders saw an increase of...
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...Microsoft Corporation (NASDAQ: MSFT) --A Review of Capital Structure and Internal/External Analysis Introduction Bill Gates and Paul Allen had founded Microsoft in 1975 to develop and sell computer languages and microcomputers in Redmond, Washington State. The company had pioneered in operating system business and had been able to invent new technology and acquiring subsidiaries in order to produce a large range of personal computer solutions. Microsoft is currently reporting a rate of return on book assets of 13.41% last year. IPO of the company started in 1986 and has been trading on NASDAQ. Internal Financial Analysis The capital structure of Microsoft Corporation in the past 5 years have been selected and shown as in Appendix figure 1. With regards to the company’s current financial performance, the debt ratio has been reducing in the past 5 years and currently at 45.28%. That indicate a reducing risk associated with Microsoft’s operation. Compare to its competitor Apple Inc, which have a ratio of 32.86 with a similar rate of reduction, this may also indicating Microsoft have a lower borrowing capacity, which will affect the corporation’s financial flexibility. On the investor’s side, currently the stock price is $28.15, which expected return is at 3.1%. Weighted Average Cost of Capital is 11.49%. WACC considers Debt (taxable), Preferred stock and Common stock (Equity). If Microsoft’s borrowing increases, the lenders would demand a higher rate of interest on the...
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...Zizhang Huang 07/19/2012 Reflection Paper Introduction Microsoft, which is the largest software corporation measured by revenue, was founded by Bill Gates and Paul Allen in 1975 in Redmond, Washington. It is a multinational corporation which develops and sells basic home computer operational system and other supporting software. Relating to what we learned in chapter 3, we can know that the structure of Microsoft is Hybrid Structure which is combined Matrix Structure and Geographic Structure. In this essay, I will write about the detail of Microsoft’s structure. Microsoft’s Matrix Structure In 2010, they have 5 product divisions: Windows & Windows Live, which handles the operating system like Windows 7 for home computer and Windows Mobile for smart phone. Server and Tools, which is the division for internet server software like E-mail server. Online Services, which responsible for the online advertising and search engine of Bing. Business Division which is a developing division related to commercial using software like Microsoft Office. Entertainment and Device which is in charge of the game platform like XBOX or other computer games. Also they have the departments like Design, Manufacturing ,Marketing ,and so on. They have not only horizontal communication among all these departments in one specific division, but also vertical communications among all the divisions in one specific department. Also the employees will transfer into different divisions if necessary...
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...died on January 2, 1972. y favorite leader is William Henry Gates III, or Bill Gates to most people. Bill Gates is a computer engineer and world-class entrepreneur. He founded Microsoft Corporation in 1975 with a high school friend named Paul Allen. The leadership role that he serves is chairman and chief software architect of Microsoft Corporation. Up until 1998, Gates was CEO of the company, but he relieved himself of those duties, and currently is only a software architect and serves on the Microsoft committee. He currently is involved in all the new creations of new Microsoft technology and products. Microsoft is currently the most powerful computer company on the face of the planet. They create everything from video games and personal pc’s to even cell phones. Bill Gates is also well known for being one of the richest human beings on the face of the planet. Bill Gates was born October 28, 1955 in Seattle, Washington. He has two sisters, his father William H. Gates II, who was an attorney, and his mother Mary Gates who was a schoolteacher. He married on January... ... middle of paper ... .... Gates strives on effectiveness and efficiency. Recently, Gates has also shown me that it is okay to step down from a high position to instill trust in others. He is still high up in his corporation, but...
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