EBSC7180: PESTLE Analysis of Microsoft in the Global Games Market

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This report provides an analysis of Microsoft's position within the global games industry, utilizing a PESTLE framework to assess the macro-environmental factors influencing the company. It explores political, economic, social, technological, environmental, and legal aspects impacting Microsoft's operations and strategic decisions. The report highlights the importance of adapting to changing consumer behaviors, technological advancements, and legal frameworks. It also touches upon the challenges related to environmental sustainability and the importance of strategic planning for innovation and expansion. Contingency theory is noted as a relevant management approach due to the dynamic nature of the industry. This assignment is available on Desklib, a platform offering a wide range of study resources and solved assignments for students.
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E ELECTIVE UE GLOBAL GAMES INDUSTRY & BUSINESS EBSC7180 EGLO7005 EGMC7005
INTRODUCTION
Global games industry play significant role in the context of entertaining the
people, especially youngster, who are interested to play varied games and
select the same according to their interest level. The current assignment will
be based on Microsoft, which falls under the category of leading video game
companies in the UK. The study will explain macro environmental factors
for studying chosen company via a global perspective. Furthermore, it will
also specify the concepts and theories of business and management,
including rationale for choice.
Analysing macro environmental factors in PESTLE format.
Political factor-
Changes related to political stability, and other factors that
falls under this category of forces may lead to decrease the effectiveness of
Microsoft, in term of developing challenges that affect its performance and
further plans related to innovation or expansion (Chen and Wang, 2021).
Economic factor-
This factor may affect positively, as economic stability in
the world may drive the attention of individuals toward purchasing and
playing games which in turn contribute to increase profitability and
organizational productivity.
Social factor- Change related to customers behaviour, market trend and interest as
social factors put direct impact on chosen game company, in positive manner. As
people in the recent time are taking too much interest to play games, with their
family and friends instead of going out of home because of pandemic.
Technology factor- Technology advancement may affect positively upon
Microsoft, in form of providing chance to add some value in its games. It may take
efforts to make its games attractive in term of adding HD clarity and 3D effects that
give players the best experience.
Legal factor- Fluctuation related to legal factors or frameworks may affect
negatively upon company success and growth, as it may put a lot of pressure on
gaming industry to make some possible modifications related its products
strategically, which is not possible to do that in short time period.
Environmental factor- It is fact that global game industry is getting worries about
the environmental sustainability and because of this reason it may put a lot of
efforts to make environment sustainable in varied terms that put positive impact on
its growth as well as Rock-Star North that also operate under this industry.
Theories and concepts of business and management-
Contingency is the best business and management theory as it
may drive the attention of manager or leader toward taking
approach to handle a situation by applying appropriate
technique or approach, instead of choosing the best that might
be not suitable according to situational analysis (Ginley and
et.al., 2021).
Rationale- The main reason behind choosing current topic such
as global game industry analysis, is to collect information about
its external environment including factors that affect companies
working under the overall sector.
CONCLUSION On the basis of above study, it has been
concluded that organization had faced varied challenges while
managing its venture practices in the world of game industry. Its
administration had considered the theories and frameworks
related to business & management, that aid to manage
everything systematically.
References
Chen, Y. and Wang, H., 2021. Analysis of Perfect World Co.,
Ltd’s international business using PESTLE. Academic Journal
of Business & Management. 3(2).
Ginley, M. K and et.al., 2021. Long-term efficacy of
contingency management treatment based on objective
indicators of abstinence from illicit substance use up to 1 year
following treatment: A meta-analysis. Journal of consulting and
clinical psychology. 89(1). p.58.
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