MICROSOFT CANADA Case Study Solution


The Home and Entertainment Division (HED) of Microsoft Canada’s is the consumer side business. This division has two businesses:Xbox and PC. Its PC business consists of consumer software, commercial software, and commercial hardware. The brands operated by consumer software are Encarta, Money, and Works.Whereas,the Commercial software includes the applications, which consist of Windows, Office, and Excel. Home and Entertainment Division (HED) of Microsoft Canada’s hardware area consist of Mouse and Keyboards. Due to its extremely well performance, Microsoft Canada has been dependent on it for the substantial portion of revenues as well as profits from the Canadian customers.

About HED and Taylor:

Doug Taylor is a national sales manager in the Home and Entertainment Division (HED) of Microsoft Canada’s. His responsibility is to manage national sales for both of the businesses Xbox and PC marketing. The main customers of Xbox and PC include mass merchandisers, such as: Walmart, Zellers, toys “R” Us and Electronic Stores such as Best Buy, Future shop, Focused Chain and EB Games. For PC and Xbox marketing sales, Taylor sets the annual team targets.For motivations to achieve the sales targets, Taylor gives an annual compensation to his team, which is the combination of basic salary and incentives. The incentives are based on the achievement of the sales volume and other objectives that are linked with Microsoft’s Management by Objective (MBO) initiatives.

Even though it is a well-known fact that there are similar customers for both of the businesses, but Taylor has beencontinuously making differences between customers’ priorities. One of the major goals of Taylor is to empower the sales of PC over Xbox or vice versa. Once he said that he is very data focused person which is why he wants to get the higher revenues for HED by selling the products of two businesses through the means he has within the budgets. For this, the number of sales for different products does not matter, but an increase in the revenues does. This is the reason behind him wanting to do the best in the favor of business………………………..


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