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I am using a software - https://www.microsoft.com/en-us/p/screen-recorder-lite/9mvbdsj392f2#activetab=pivot:overviewtab
for recording audio and video. It's a screen recorder for windows.
But it creates really big files. A 10 min video recording is 200 MB.
Are there any good tools that could compress the video by reducing some video
the quality or audio quality? As its a big file I am looking for something
that I can install locally

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One possible tool if ffmpeg. Here you can find good explanation how to recode the video file. Here is extract from answer:

ffmpeg -i input.mp4 -b 800k output.mp4

Be moderate as every compression introduce (more or less) artefacts in the image.

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