SWOT Analysis - Sun Microsystems

9 Pages 2314 Words

Microsystems, Incorporated started at the company in 1982. After graduating from Harvard University in Economics and studying Manufacturing at Stanford University, McNealy started as the Vice-President of Manufacturing and Operations and by 1984 McNealy was appointed President. McNealy is one of seven board members at Sun Microsystems, Inc., and the only board member currently employed by Sun Microsystems, Inc.
B. Top Management: Sun Microsystems, Inc. has six Vice-Presidents and six Presidents. These executives make up the worldwide corporate structure of Sun Microsystems, Inc.



III. EXTERNAL ENVIRONMENT (EFAS see Exhibit 1)
A. Societal Environment
1. The economy as a whole is blooming. Thus, consumers are spending more to try to keep up with the latest technology available.
2. The local market seems to be entering a mature stage. The majority of people out there already have computers and other electronic information devices. However, there is a trend in the market to keep up-to-date with technology.
3. As most of the foreign countries try to move into a high-tech era, it also presents a very good opportunity to grow in those foreign markets.
4. Technology is changing so rapidly. Most of the people are seeking for the most advanced technology. This forces Sun Microsystems to keep improving and developing new products; at the meantime, it drives price down and short product life.
B. Task Environment
1. The task environment is very competitive. Currently, the market place is dominated by Microsoft, Intel, HP, and IBM.
2. Barriers are high for new entrants because of the fix cost and the concurring costs to do this kind of business.
3. Fierce rivalry among existing firms is extremely competitive especially between Sun and Microsoft. The outcome of the lawsuit between the two companies may also determine who controls the future in computing.
4. The attempt of McNealy to break Microsoft’s power might not serve...