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Everybody Loves (2B) MicrosoftFirst off, let me acknowledge that the title of this blog is 100% positively inspired by the hit sitcom Everybody Loves Raymond. J I watched my fair share of sitcoms over the years, and I firmly believe Everybody Loves Raymond is among the very best. I imagine one would be even more appreciative of it after having his/her own family and kids. I have not completely been there yet (WRT the family and kids stuff), and I am already a big fan … with me being such a serious person, that kind of emotions towards a sitcom simply does not happen very often. Sorry, I digressed. Let us talk about how people in general feel towards Microsoft. Obviously, not everybody in real life loves anything anymore, as Jerry McGuire points out in the namesake movie - ‘We live in a cynical world’. But I was still a bit surprised when I recently visited some Chinese web portals. Now I would even venture to say that most people in Chinese media dislike Microsoft. Certain Chinese tech writers as well as some US bloggers are a tough bunch for Microsoft. They either laugh at the largest software company in the world for the horrible quality of its products, or they disclose some new evil schemes Microsoft has created to rip off companies and consumers all over the world. The company has money all right, but it’s just not innovative, nor moral. Give Google a couple more years, and Microsoft will officially be history. Google is a great company. Its business model is not just innovative; it’s one of the greatest business ideas ever (although Google does not necessarily created it). Its employees are smart and driven. Many Google products receive rave reviews, and anybody can see that the Google cult is growing fast. But what Google is essentially trying to do is to be the next Microsoft, period. As a matter of fact, what all ambitious businesses want to achieve is something similar to what Microsoft has done – a great impact product in a dominant market position. It may be oversimplification, but the business world is much like the board game Monopoly. Now, whether Google can pull it off remains to be seen. Personally I am rather doubtful. I know I am biased, but I do have some good arguments. However, that is an interesting discussion for another day.
What Microsoft started more than 20 years ago, is no doubt a hugely successful business (I know Microsoft was founded 33 years ago in 1975, but here I am talking about the ‘taking-off’ years of the company). I think any company makes its (19%) owner the richest man in the world 13 years in a row can be argued as being possibly the most successful company in history. Microsoft also has become the epitome of success in the digital age. Microsoft sold a lot of 0’s and 1’s to the world and made in excess of $60B in its FY 2008. But Microsoft is more than just a money machine - it started a paradigm shift. Microsoft has demonstrated to the world how you can build a hugely successful product, and then protect it, expand on it, and achieve/maintain dominant overall market position. Microsoft also showed the world that the new economy is all about talent. Simply by having the best people in the company and not really possessing any other resources, you can build the best company in the world. The East India Company, the Standard Oil Company, the Ford Motors Company, and more recently IBM, did not place so much emphasis on the importance of their employees. The McKinsey’s of the world may also understand the concept, but they are no match to Microsoft in terms of impact and scale. Google in many senses copied from more than a few pages out of the Microsoft playbook – from product and market strategy to practices of hiring talents. It is indeed very wise to do so, because these two things will stand the test of time for the foreseeable future thanks to the ‘network externality’ factors and the globalization trends happening in our world.
What’s unique about Microsoft is that it is a company about execution and results. I actually agree with some people that Microsoft may not be the most innovative company ever existed on the surface of the earth. Innovation sounds great, but it is a means to an end, and it takes a lot of time and money (which means great risk) to innovate. We need innovation, but innovation for its own sake will make a company very interesting to watch, not necessarily a winner in the marketplace.
When you are number one in the world and you are making a lot of money, people have a tendency to scrutinize you. You are held up to a higher standard. On the way to your #1 position, you surely have knocked down many people, and now you are in a position to potentially bully others. You cannot expect intense love from others. It’s a tough place to be, but it is also an exciting place ... since you have the chance to ‘take on the world’ (you have so many competitors, and you cannot expect much help from others) and do things many think you cannot possibly do. Disappoint naysayers – don’t you just love that?
Your Potential, Our Passion – won’t it feel great if you realize your maximum potential while helping others to realize theirs?
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