My experience is that 'users in business settings' absolutely refuse to consider any alternatives, mainly because of two 'fear factors': 1.) "Everyone else in my industry uses Microsoft Office products so I must as well" 2.) (Usually unstated explicitly) "Learning an alternative is going to cost me time and money and personal effort"
Sure, Excel can be a useful spreadsheet tool, but Word is a clumsy and difficult publishing tool. Many alternatives from LaTeX to LibreOffice to InDesign tend to be more portable and reliable but require the user to assume a degree of risk for learning something new and different. That seems to be enough to keep the majority of users away.
For a lot of people, they don't want to learn alternatives ('cuz that's on my time, since they boss ain't training me), and the cost of the license isn't coming out of their pocket. Of course they use Office. That's not an unreasonable choice.
The current Mac version can't even keep track of recently opened files. Working with styles is torture. (You can't search them, you can't group them, you can't sort them, the ribbon selection seems to be random.)
The ribbon itself is an unusually eccentric example of software design.
A competitor could easily produce a leaner, better product. But it would never sell, because Word has so many corporate users that anyone who exchanges files with them has to use it too.
Locked-in products do sometimes fail, but they usually only fail to competing products from large companies. The textbook example is the move from QuarkXpress to InDesign, which only became possible because Quark were so famously greedy and lazy about Xpress they literally pissed off the entire print design industry.
Adobe not only had a better product, they also had the sales team and industry relationships to push it. Without those, it's likely Xpress would still be Number 1.
There are several competitors in this space. Pages, LibreOffice, and Google docs come to mind. The only one I've ever heard described as better is Google docs. I'm not sure reality supports your statement.
Page layout is what LaTeX and InDesign are intended to do, and that's what Microsoft Word does too. Do you think Word users are only using it for a text editor?
If your arguments are: 1) Most users can pick it up easily due to familiarity. 2) Excel is a general tool usable by many disparate groups in the organization. 3) Excel is the lingua franca of manipulating data within the organization.
Then it seems to me that these would fall under the category of 'institutional knowledge', and you are in effect arguing that it is thriving because of institutional knowledge.