Is Microsoft a Monopoly Free Essay Example, 2250 words

The relevant commodity market has all commodities made by the firms which have matching characteristics and the relevant location of the market has the commodities which are not the same although they can be used as substitutes for each other. In the case of Microsoft, it is essential to shed some light on the relevant market where it carries on its business. It has been disputed about the relevant market of Microsoft which is the software market, where its sales are only 5% of total dollar sales. However, if the relevant market is termed as the market of operating systems, where Microsoft s Windows operating system takes greatly large portion of the market, it would become are rather more relevant market to determine the nature of the competition it carries on. Even if we consider only the operating systems, it can be said that Microsoft has been seen to hold share around 80% and 90% or more of the market of personal computer operating systems. There are several reasons why Microso ft is called as a single dominant leader in the world of software and exclusively the market of operating systems. One reason can be the fact that it initially came to produce the operating systems which were used in the personal computers and started to dominate the market where most of the users of the personal computers used the Microsoft s product which is the Windows as their operating systems and thus the operating system became much more popular and was spread among the market. There is a great deal of compatibility if one user wants to integrate with another and thus the fact that since the product has been used all over the world, it has become more easy to use and little education regarding the product is required which makes it more saleable. Thus, for a new competitor to enter the market, it will require a long time for the product to be understood and educated for the users even though there are much more features in that product so the users will prefer a system in whi ch they have prior knowledge. This makes Microsoft alone and single dominant in the market of software, especially the market of operating systems. We will write a custom essay sample on Is Microsoft a Monopoly or any topic specifically for you Only $17.96 $11.86/pageorder now