Name: - Revappa (2021085)

Case 4
Precise Software Solutions

1. Should Alon plan on introducing Insight at OpenWorld 2000? Why or Why not?

:- The reason why Alon should target his product Insight for open World 2000 are

 Along should go with introducing Insight at open world platform, which means 14
months away. The company should do so, to capitalize the market opportunity before
the competing and develop a blue ocean strategy in the market.
 This will allow the company to frame the market forces in its favour with no threat of
competition. Also, it will allow to set the pricing strategy first and le other to follow,
giving it the competitive advantage and the strong base of value proposition in the
market.
 If delay the launch of product, it may give the competitors cancel launch the product
before precise and hence may drive away the attractiveness of the project.
 In addition, if the competitions launch with the company in the next open world
platform, it may create a rigorous competition for the project to get selected.

2. Develop an ROI model for Precise/SQL product using data in Exhibit 4.

Total Saving DBA (12533.3) + User saving (250098) + Hardware Savings (85800)

Total saving 461231.3

Average price that firm is Expenditure 20000
ROI % 23.06157

3. How should Precise Insight be priced?

Hardware
DBA Savings User savings Savings
Hours saved/ DBA 9.4
No of daily
Total number of hours saved transaction Assuming annual
in a year 488.8 per user 903 interest rate 10%
daily end user
Assuming 45 working hours response time Cost of capital
per weel(8hours *5days) per user 3.76 saving 21450
 Improvement
Total number of hours per in end user saving due to
year 2340 response time 11.75% price drop 64350
Saving per Total hardware
Average DBA Salary 60000 user 1164 saving per firm 85800
Total user
Saving per DBA 12533.33 saving 250098
Average number of DBAs 10
Total saving 125333.3

4. What should be the sales strategy be for insight?  (a)  How good is their current sales
force? (b) Should they launch a separate sale force for the new product or sell it
through their existing sales force?

:- By analysing the current state of the company and the performance of the sales team, it
is better to launch the product by using the different team. This is because since the
existing team is offering the other product the market, the mix of offering two product
and also effect the overall sales margins. Also, it may exhaust the customer in
understanding what actually the sale person is selling to him, hence may damage the sales
base in the market. However, by develop separate sales lines which will keep the balance
between the two-product sales performance, also along with the clear market positioning
and value proposition developed in the customer mind.
Apart from this, it is determined that the sale performance of the sale represent is quite
high.it is depicted through the commission they make through the commission they make
through the sale which usually reaches to $30000 in month. Though the sales pitching
time is long form 6-12months, however, the sales are closed at the end of period.

5.  Should Precise continue with Precise SQL after the launch of Precise Insight?

No, SQL server cover only vertical focus, specializing in sale to specific database
sever. Insight asses the monitor specific , not support to subsequent process detection
and improve, analyze data.