A hard road for software merger: enemies are united at Dun & Bradstreet

Article Abstract:

When Management Science America Inc (MSA) and McCormick & Dodge (M&D) merged to form Dun & Bradstreet Software Holdings, which happened in 1989, a single company had to be created from companies with very different product lines and management styles. The companies had been rivals. The new company will be the fifth largest software manufacturer in the world. Although still supporting both product lines, Dun & Bradstreet is now in a position to develop software for networks of microcomputers, which are replacing mainframe computers in many companies. The new company has not merged altogether smoothly. M&D was known for a 'family style' of management and for high-quality technology. MSA was known for its aggressive marketing and sales. Following after the merger, John Imlay, of MSA, emerged as chairman. Frank H. Dodge, of M&D, resigned. Dodge is moving to form his own company. About 600 employees were laid-off. Industry analysts are skeptical about Dun and Bradstreet because of the high failure rate of such mergers in the past.

Mergers, acquisitions and divestments, Appointments, resignations and dismissals, Management Style, Company Profile, Acquisition, Merger, Dun & Bradstreet Software Services Inc., Imlay, John P., Jr., Dodge, Frank H.

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Software is the next target

Article Abstract:

Japanese computer companies have targeted the software industry, dominated by US companies, as the latest competitive battlefield. Some analysts feel US companies have little to worry about because successful software development is an individual, creative process, not a corporate, group achievement. The lack of a microcomputer standard in Japan could also cause problems, as could Japanese young people's view of computer programming as a dull, menial job. Major Japanese companies, however, are spending millions of dollars on software factories and programming schools. Japanese investment money is also pouring into Silicon Valley, where Japanese-owned software companies are staffed by American programmers. The US software industry should: guard against overconsolidation, form consortiums, stop frivolous lawsuits and begin investing in Japanese computer companies.

Japan, Forecasts and trends, Economic policy, International competition (Commerce), International competition (Economics), column, Industry Analysis, Japanese Competition, Market Entry

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Selling software, Soviet-style

Article Abstract:

Nantucket Corp sets an example for US computer software industry with the company's successful joint venture and marketing of Clipper program development software in the Soviet Union. In a country with no historical knowledge of ownership rights, software piracy is prevalent. Nantucket, however, has sold 2,000 legal copies of Clipper in the USSR, which has an estimated 600,000-strong microcomputer market. Nantucket also has a successful joint venture with a Moscow clinic: JV Magnet employs 30 people and sells products in rubles. The US$795 Clipper program costs 15,000 rubles. In one year, JV Magnet has made 5 million rubles profit on a $650,000 initial investment. Nantucket is an example for Lotus Development Corp and Microsoft Corp, both of which plan to open wholly owned subsidiaries in the USSR.

Marketing, Joint ventures, Application development software, International trade, Soviet Union, Software piracy, Joint Venture, Marketing Strategy, Nantucket Corp., JV Magnet, Clipper (Database application development software)

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