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Harvard Case - Double Dealmaking in the Browser Wars (A)

"Double Dealmaking in the Browser Wars (A)" Harvard business case study is written by James K. Sebenius. It deals with the challenges in the field of Negotiation. The case study is 17 page(s) long and it was first published on : Aug 3, 1999

Microsoft is a global technology company that offers a wide range of products and services, including the Windows operating system, the Office suite of productivity software, and the Xbox video game console. Netscape is a leading provider of web browsers and other internet software.

3. Analysis of the Case Study

There are several factors that FFU should consider when making its decision. These factors include:
  • Strategic fit: Both Microsoft and Netscape offer products and services that could be beneficial to FFU. Microsoft's Windows operating system and Office suite are widely used by businesses and consumers, while Netscape's web browsers are popular among internet users.
  • Financial impact: FFU should carefully consider the financial implications of forming a strategic alliance with either Microsoft or Netscape. The university should ensure that the alliance will provide a positive return on investment.
  • Marketing impact: A strategic alliance with either Microsoft or Netscape could have a positive impact on FFU's marketing efforts. The university could use the alliance to promote its online programs and services to a wider audience.
  • Operational impact: FFU should also consider the operational impact of forming a strategic alliance with either Microsoft or Netscape. The university should ensure that the alliance will not disrupt its existing operations.

4. Recommendaations

Based on the analysis above, we recommend that FFU pursue a strategic alliance with Microsoft. Microsoft is a global leader in the technology industry, and its products and services are widely used by businesses and consumers. A strategic alliance with Microsoft would provide FFU with access to cutting-edge technology and would help the university to enhance its online presence.

We recommend that FFU take the following steps to implement this recommendation:

  1. Develop a clear statement of objectives. FFU should clearly define the objectives of the strategic alliance before entering into negotiations with Microsoft. This will help to ensure that the alliance is successful.
  2. Identify potential benefits and risks. FFU should carefully consider the potential benefits and risks of forming a strategic alliance with Microsoft. The university should ensure that the alliance will provide a positive return on investment and that it will not disrupt its existing operations.
  3. Negotiate a fair and equitable agreement. FFU should negotiate a fair and equitable agreement with Microsoft. The agreement should clearly define the roles and responsibilities of each party and should include provisions for dispute resolution.
  4. Monitor the alliance closely. FFU should monitor the alliance closely to ensure that it is meeting its objectives. The university should make adjustments to the alliance as needed.

5. Basis of Recommendaations

Our recommendations are based on the following considerations:
  • Core competencies and consistency with mission: A strategic alliance with Microsoft would be consistent with FFU's core competencies in education and technology. The alliance would also help the university to achieve its mission of providing students with access to cutting-edge technology.
  • External customers and internal clients: A strategic alliance with Microsoft would benefit FFU's external customers (students) and internal clients (faculty and staff). The alliance would provide students with access to cutting-edge technology and would help faculty and staff to develop and deliver innovative online courses.
  • Competitors: A strategic alliance with Microsoft would help FFU to compete more effectively with other universities that are offering online programs. The alliance would give FFU access to Microsoft's marketing and distribution channels.
  • Attractiveness ' quantitative measures: A strategic alliance with Microsoft would be financially attractive for FFU. The alliance would provide the university with access to Microsoft's technology and marketing resources, which would help to increase enrollment and revenue.

6. Conclusion

We believe that a strategic alliance with Microsoft would be a positive step for FFU. The alliance would provide the university with access to cutting-edge technology, would help to enhance its online presence, and would benefit students, faculty, and staff.

7. Discussion

There are several other alternatives that FFU could consider, including:
  • Developing its own online platform. FFU could develop its own online platform to provide students with access to cutting-edge technology. However, this option would be expensive and time-consuming.
  • Partnering with a smaller technology company. FFU could partner with a smaller technology company to provide students with access to cutting-edge technology. However, this option would not provide FFU with the same level of access to technology and marketing resources as a partnership with Microsoft.

We believe that a strategic alliance with Microsoft is the best option for FFU. The alliance would provide the university with access to cutting-edge technology, would help to enhance its online presence, and would benefit students, faculty, and staff.

8. Next Steps

We recommend that FFU take the following steps to implement our recommendations:
  1. Develop a clear statement of objectives.
  2. Identify potential benefits and risks.
  3. Negotiate a fair and equitable agreement.
  4. Monitor the alliance closely.

We believe that FFU can successfully implement our recommendations and achieve its objectives through a strategic alliance with Microsoft.

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Case Description

Recounts two complex negotiations in which Netscape and Microsoft compete to win a browser contract with AOL--then later with KPMG. After reviewing the web and browser sectors, this case recounts AOL's dramatic negotiations with Netscape and with Microsoft over which firm's web browser would be used by the online service. A path-breaking deal was announced between AOL and Netscape to use Navigator as the "default" AOL browser, only to be undermined the next day by an AOL-Microsoft deal that designated Microsoft Explorer as the "preferred" AOL browser. The deal also put an AOL icon, the Windows desktop, the "world's most valuable cyber-real estate." Describes the first stages of a see-saw negotiation the following year in which Netscape and Microsoft were again competing, but this time for a major deal with KPMG. Concludes as KPMG has awarded the contract to Netscape with Microsoft still scrambling to get the business.

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