Microsoft Surface: Accelerating Digital Transformation

In December 2017, the corporate vice-president of Microsoft Corporation’s Devices division was considering two options to chart a strategic course for the next few years. Since first joining Microsoft Corporation in 2004, one of the vice-president's key roles had been to oversee the strategic direction of the personal computing hardware business. The company, which was headquartered in Washington State in the United States, had a multitude of products and services that presented both opportunities and challenges for its future. Microsoft Corporation had to decide between two project options that represented growth in different business areas in Asia Pacific. The first option was to launch new products from the company's Surface division in the Asia Pacific market. This could be Microsoft Corporation’s opportunity to showcase its holistic devices ecosystem to prospective customers in the region. The second option was to intensify efforts to market and sell the firm’s cloud solutions. This could further differentiate Microsoft Corporation as an early mover enabling enterprises to migrate to the cloud.

The case is suitable for an undergraduate- or graduate-level course on corporate entrepreneurship or innovation. It can also be used in an elective class or training program on strategic management. After completion of this case, students will be able to<ul><li>understand the competitive landscape of the technology industry and Microsoft Corporation’s strategy to enhance its competitiveness within the environment;</li><li>discuss how large organizations leverage business model innovation and value proposition tools to strengthen their core businesses and create new solutions;</li><li>understand how companies utilize design thinking processes and principles to create successful products;</li><li>learn how firms use partnerships and collaboration to create shared value with stakeholders; and</li><li>learn about managerial issues and understand how trade-offs are made when deciding on strategic options.</li></ul>

• innovation
• entrepreneurship
• digital business
• technology