Microsoft Corporation or Microchip Technology Incorporated: Who Manages SG&A Costs Better?

Who Manages SG&A Costs Better: Microsoft or Microchip Technology?

In the ever-evolving tech industry, managing Selling, General, and Administrative (SG&A) expenses is crucial for maintaining profitability. From 2014 to 2024, Microsoft Corporation and Microchip Technology Incorporated have shown distinct strategies in handling these costs. Microsoft, a tech giant, has seen its SG&A expenses grow by approximately 56%, reflecting its expansive operations and market reach. In contrast, Microchip Technology, a key player in the semiconductor industry, has managed a more modest increase of around 175% in the same period, indicating a more controlled approach to scaling its operations.

While Microsoft's expenses are significantly higher, this is proportional to its vast revenue streams and global presence. Microchip's leaner expense management could be seen as a strategic advantage in maintaining competitive pricing and innovation. As the tech landscape continues to shift, these companies' approaches to SG&A costs will be pivotal in shaping their future success.