Some serious analysis is in order here so as to explain recent events and statements by officers of Visio and Microsoft.
I feel a Visio share price rise is definitely in the cards now that the panic has passed. The company has proven its strength even in the face of terrible economic conditions abroad. Indeed, how can this be? Well...ultimately, I feel economic turmoil can actually boost demand for specific technology -- or at least there are certain items which cannot be postponed. Let me explain...
You see, I think Visio actually BENEFITS to a certain degree when companies at home and abroad are subject to turmoil. That's because Visio software is often called for when a company needs to restructure any one of many internal systems. Specifically, Visio software is incresingly the first step (perhaps THE primary tool) by which a company becomes more efficient (and by the way, such application is also needed to support EU, Y2K and/or ISO 9000). Indeed, many companies are trying to become ultra-efficient like a Dell Computer. In order to do this, internal processes must be analyzed and documented over and over again -- often to the level of each individual job function by each employee (indeed, such is required by ISO 9000). By looking deeper we can see why Visio software is so important: it is the first tool, and the tool choice which supports a number of key trends.
Let me support my above statements with those made by others. Specifically, note the recent statements made by the CFO of Microsoft concerning Windows 98. He said sales of Windows 98 were STRONG in Japan despite economic severe turmoil there. That's because Win '98 is key to running a modern, efficient company. Likewise, sales of key software which is needed to optimize and restructure cos. has seen strength despite economic turmoil. There is absolutely no question that Visio is a key company in this regard.
I must say I know of no other company which benefits from Y2K, EU, and ISO 9000 at the same time in the way Visio does. Process documentation and optimization is increasingly called for in a modern world. Maybe this is what will be explained at the conference next week.
Dan |
