Microsoft in India

1. Microsoft’s “one size fits all” strategy does not work well in emerging markets such as India because people in those countries are too poor for each person to own his or her own personal computer. People in these countries use pirated versions of Windows or they use Linux, which is free. Since there are few schools in India with one PC per student, students are often lined up three or four deep to use a computer. Microsoft found that in India many people use their cell phones to perform functions that other countries would do while using a computer.

2. Microsoft developed a special version of Windows that was cheaper than its other operating systems but had limited functionality. Microsoft also began selling monthly online access to its other offerings for a low subscription fee since the packaged software was too expensive for most people and businesses. Since there is a low PC to student ratio in India, Microsoft began developing a program where multiple students can interact on the same computer at the same time. Microsoft is also trying to expand into the Smartphone industry because cell phones are cheaper than computers and more people in India can afford a phone easier than a computer.

3. Microsoft began to add new products to India at a lower price to make things more affordable. Microsoft was able to change their existing products to help fit the needs of the people in India.

4. Microsoft has learned that not every country needs the same things. Each country has its own unique problems that need to be solved. There is no “one size fits all” solution.