Microsoft (NASDAQ:MSFT) - Many investors have written off Microsoft as a dinosaur and it is true that Ballmer has destroyed innovation in the company and time after time failed to deliver products in time to the market.
The main problem at Microsoft has been and still is with people who are running the company. These people are just business men and lack understanding of technology. Simply ask yourself, would you let a blind person look into a Microscope and tell you what they see?
Microsoft should take a page from Apple's playbook.
1) Deploy technology to where it can be applied. Apple market strategy was to start fresh and bring products to market that appeals to teenagers whom has the house hold most discretionary buying power.
2) Go after untapped market. Apple started by donating laptops to elementary schools and condition children to use their products.
3) Apple managed to create a fluid ecosystem, even with a clunky ITUNE.
4) Apple marketing is by far more superior then Microsoft. When comparing the Apple's vs. Microsoft stores, one gets feeling entering to Nordstrom vs. Walmart. Apple employee are group of heap employees yet argent and all carry an Iphone and they could answer most of consumers "How to" questions. At Microsoft's stores, many of the employees carry Android or even IPhones and when asked questions about Windows 8 phones, they are at best lost. This reminds me of going to a overweight doctor's office and asking on how to lose weight.
Apple has managed to sell the most phone relative to its most competitors with a least amount functionality. Apple's IPhone is just cute. However, Apple has managed brain wash the teenagers. These are the die hard consumers that carry the Apple technologies into collage and work.
So far Apple has succeed into collage level and next is work environment.
These strategies lead to Apple's win and allowed IPhone's to be successful.
The only wild card that Microsoft holds is the lack of business application for Apple. That will change within 6 years' time frame.
In an event of Microsoft broken up, the Back Office and cloud division could fetch as high as 10 times it current revenue. The Windows' OS which currently controls 90% of market could fetch as high as 4 times its current revenue. The gaming and device division could get close 4 times it current revenue.
Microsoft needs to be broken down into two companies, Business and Consumer in order to be successful. Lastly, managing a company by a holding a baseball bat in hand at the meeting is a sign of a weak leader.