Mr. Bean: Your response was most courteous and informative. I threw a "barb" at you, and now I feel bad. I both apologize and thank you.
Dr. Cowpland's strategy to acquire WordPerfect at a bargain basement price was sound. Competing with Microsoft in the Suite Wars was, and is do-able, but I disagree with your analysis of why it hasn't worked.
You referred to "Goliath." David didn't beat Goliath by becoming like him, that is something he couldn't do. David simply "outsmarted" him. Armed with a belief and developed skill, he took down Goliath, and the Philistine hostility, with a simple "small stone" directed at the right place. If Corel Management believes that its present condition renders it impotent, that prophecy will be fulfilled. Conversely, if Management takes developed skills and slings them in the "right marketplace," they just may well be able to "produce cash."
Throwing money at the marketplace in the hope to take a piece of it from Microsoft would never work on that basis alone. If that principle were true, Microsoft would undoubtedly win on the basis of their cash reserves alone. David could have thrown stones at Goliath all day long without hitting him, or more specifically, in the right place, and the Philistine would have eventually overtaken him.
Capital, like David's stones, must be used with skill. If so done, the results can be the same. In short, Corel's balloon need not "burst."
WordPerfect is now better than Word, Corel programmers have done a terrific job the on "Pro" Suite. Skill in finding the right marketing combination is what is needed to sell it. Take the specialty suites for example. Great idea, but practically no visible effort in marketing them. I personally kept looking for Corel Chemlab to show up on retail shelves (and asked for it), but before you knew it, it was "spun off" to another firm.
Too many "quick turns" is what has used up capital leaving the company further behind. Its like getting off a crowded freeway thinking side streets will get you there faster, only to find out it usually takes longer and with more fuel expended.
I agree heartily with your solution that Corel should stick to "core competencies" and take advantage of small stones flung in the right place. Very astute observation. I hope Management follows. If so, it'll pump hot-air back into that beautiful balloon, and a create a little better disposition from shareholders.
Up, Up, & Away!
Scott |
