DOCUMENTUM

Group 3

Jahid | Kamaljeet | Kunal | Mohan | Shrikant

Pathak

RELEVANT FACTS
Documentum a startup providing document
management software (Unstructured Data)
Xerox has 80% equity stake in exchange for
technology, office space and $ 4 mn commitment
First opportunity came from Boeing for its
aircraft training manual project through its
partner Frame Technology (which provided
publishing s/w to Boeing)
Syntex, a pharmaceutical vendor became its
second customer to reduce NDA time
Oracle already a market leader by following
horizontal strategy in IT

PROBLEM DEFINITION
How to take the technology product to mainstream
market
Financial projections showing lack of profitability at
its current rate of customer acquisition
Firm lacking direction as to how to enter the
marketplace (horizontal strategy / vertical strategy)

ALTERNATIVES (1)

Market the technology vertically

Positives
Leverage available resources more effectively
High focus on a particular segment
Less risky and cost-effective
Negatives
Lack of clarity on which vertical application to target
Competitors may exploit the unexplored markets
Lack of support from VCs

ALTERNATIVES (2)

Take the horizontal strategy as proposed by VCs

Positives
Big payoffs due to the big market opportunity
Disable competitors from entering the market
Expand customer base
Negatives
High risk involved
Non-availability of resources and capabilities
No focus on a particular segment

MOORES METHOD OF MARKET

SELECTION
Allows everyone to be a part of the growth story
Selects the market based on three critical success
factors

Economic

Buyer
Compelling reason to buy
Whole product

Takes into account important criteria for rating

the application
Does not let the individual guts to take over the
decision making

SHOULD DOCUMENTUM ACCEPT

M&M
Insurance sector scores the lowest among the five
sectors based on Moores method
Scores the lowest in Partners & Allies, a critical
factor that played a major role in Boeing and Syntex
There is already a competition in this segment and it
is also not fit with the current company positioning
But insurance is a big market and they can capture
the market through customer references
By providing solution to multiple sectors, they can
leverage to multiple sectors and they can form a
whole product to address the mainstream market