Microsoft's CEO Steven A. Ballmer hopes that extensive price cuts on everything from Office software to Web services will expand the company market share. But now, amid a terrible downturn and rising competition, it is shifting to a scrappier approach, cutting prices on a variety of fronts, according to the BusinessWeek article, "Microsoft's Aggressive New Pricing Strategy,"
The idea is to accept lower margins in some businesses but boost overall earnings, By lowering prices. So the company hopes to increase sales of existing products while making fast headway with new ones.