Activity: Analyze Business landscapes

“The Business Landscape Before and After the iPhone” - A Microsoft Case Study

Two hikers with backpacks pause on a rocky trail, gazing out at a breathtaking panorama of rolling hills and lush forests.

Required Preparation

Before this activity, please complete the following:

  1. Read the assigned reading “Introduction to Strategy”.
  2. Complete the corresponding Canvas quiz.
  3. Watch the assigned videos:

Face of Steve Ballmer

Steve Ballmer in an interview

Description: In this activity, we’ll use the example of Microsoft’s response to the iPhone to understand how business landscapes can shift and how companies must adapt to maintain a competitive advantage.

Learning Objectives

By the end of this activity, you will be able to:

  • Explain the concept of a business landscape and how it can change over time.
  • Analyze a company’s strategic position within a business landscape.
  • Identify the impact of external forces on a company’s competitive advantage.
  • Apply key strategic management concepts to a real-world case study.
  • Collaborate with your team to analyze and solve a business problem.
  • Communicate your insights effectively to the class.

Steps:

  1. Video Analysis: Watch the two assigned videos featuring Steve Ballmer’s reactions to the iPhone.
  2. Group Discussion: Discuss the following questions with your team:
    • Initial Landscape: Using the business landscape metaphor from the reading, describe the key elements of the landscape before the iPhone launch. Consider factors like customer preferences, competitive dynamics, and technological trends.
    • Ballmer’s Remarks: Why do you think Steve Ballmer made the remarks he did in the first video? How did his perception of the landscape influence his assessment of the iPhone?
    • Shifting Landscape: How did the iPhone change the business landscape? What new customer needs emerged? How did competitive dynamics shift?
    • Microsoft’s Response: How did Microsoft respond to the changing landscape? Was their response effective? What were the limitations of their initial response?
    • Key Concepts: Apply relevant concepts from the reading to analyze this scenario. Consider concepts like:
      • Value creation and value capture
      • Customer willingness-to-pay and supplier-opportunity-cost
      • Business model: Fit and trade-off
      • Strategic Management Approaches: Internal and external fit, five forces, blue ocean strategy, resource-based view and emergent strategy,
      • Dynamic Consistency: Holdup, Imitation and substitution
  3. Presentation: Prepare a short presentation summarizing your analysis and key takeaways. Share your insights with the class. (Slides are not expected or required. Just organized talking points to convey your insights would suffice.)

Self-assessment:

  • Active participation in group discussions.
  • Depth and clarity of analysis presented to the class.
  • Effective application of strategic management concepts.
  • Individual accountability through observation and potential follow-up questions.