Question

In the lobbying world, to be "Microsofted" means that a company has

a. lobbied only the federal government, opening itself up to adverse actions by state governments.
b. only lobbied members of one political party, who have just lost their majority.
c. allowed other companies to become free riders on its costly lobbying efforts.
d. become vulnerable to adverse legislation and investigation as a result of failing to lobby the federal government.

Answer 1

Being "Microsofted" means a company has not lobbied effectively and thus is open to adverse actions by the government, just as Microsoft experienced in the early 2000s before it increased its lobbying efforts to protect its interests.

Step-by-step explanation:

To be "Microsofted" in the lobbying world means that a company has become vulnerable to adverse legislation and investigation as a result of failing to lobby the federal government. This term originates from the experience of Microsoft, which in its early years invested little in lobbying. However, following a high-profile antitrust case that could have resulted in the company being split into two, Microsoft began to heavily invest in lobbying efforts. Such investment makes financial sense for companies because it allows them to better navigate complex regulations, influence policy in their favor, and prevent potentially harmful legislation. Lobbying activities can also provide a voice in governmental decisions that could affect a company's business, allowing the company to protect and advance its interests. Given these financial considerations, companies often find it prudent to have a presence in the political process to safeguard against challenges that might arise, similar to the legal challenges faced by Microsoft in the early 2000s.