LOTUS DEVELOPMENT CORPORATION

I. Analysis of External Situation.A. Customers.

The company's primary customer group is comprised of the users of IBMPC and compatible microcomputers. The second important customer group of Lotus Development Corporation is comprised of the users of Apple Macintosh microcomputers. The size of both customer groups was growing at the time frame of the case. Customer motivation to use the company's products is to improve the efficiency of their computer supported operations.

Lotus Development built its reputation on its spreadsheet program, Lotus 123. The company has attempted to capitalize its 123 reputation to promote other software application products.

At the time frame of the case, the company's principal competitors in microcomputer applications software were AshtonTate, Microsoft, and IBM. AshtonTate built its reputation on its database management program. Together, dBase II and dBase II contributed more than threequarters of the company's total revenues in 1984. AshtonTate hoped to capitalize on its reputation with dBase to promote other software application products.

Microsoft built its reputation on its operating program for IBM PC and compatible computers. Its MSDOS program is the industry standard, and is used by almost

. . .
er was promoting its Macintosh microcomputer line to major corporations. Apple Computer was not bundling applications software with its hardware. Thus, Lotus Development had an opportunity to promote its applications software programs to corporate buyers of Macintosh hardware. Lotus Development Corporation also had an opportunity to persuade major corporate users of the efficacy of an acquisition strategy that uncoupled hardware and software. This approach could be successful for Lotus Development Corporation is it could persuade major corporate users that they could obtain superior applications software at lower prices through such a strategy. Such a strategy, however, would require a major effort on the part of the company to market applications programs directly to major corporate users. II. Analysis of Internal Situation. A. Performance. The financial and marketing performance of Lotus Development Corporation had been outstanding in the six year period preceding the case time frame. Symphony, the company's latest integrated software applications product at the time frame of the case had not performed as well as had been hoped at the user level; however, Lotus Development Corporation was in the process of debuggi
. . .

Some common words found in the essay are:
Development Corporation, IBM PC, Recommended Alternative, Development Corporation's, Strategies Alternative, Lotus Development, Strengths Weaknesses, IBM AshtonTate, Alternative II, major corporate, lotus development, Apple Macintosh, lotus development corporation, development corporation, major corporate user, user segment, corporate user segment, corporate user, software applications, corporate users, strategy alternative, major corporate users, applications programs, marketing effort, company's marketing effort,
Approximate Word count = 1393
Approximate Pages = 6 (250 words per page)

More Essays on LOTUS DEVELOPMENT CORPORATION