Business Case Studies & Business Publications

Louis Gerstner and Lotus Development (A)

Harder, Joseph W.,...

Case

Louis Gerstner and Lotus Development (A)

Harder, Joseph W.; Kato, Tak

OB-0696 | Published April 18, 2000 | 9 pages Case

Collection: Darden School of Business

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This case deals with the acquisitions by International Business Machines (IBM) of Lotus Development Corporation. The (A) case lays out some of the strategic issues in the software industry as well as a brief history of IBM, Lotus, and their respective CEOs, Louis Gerstner and Jim Manzi. Issues of strategic and cultural fit can be analyzed. The (A) case ends with Louis Gerstner beginning a speech to Lotus employees, which provides an opportunity for student role-plays. The (B) case is the text of the speech Gerstner actually gave and can be analyzed in terms of content, purpose, and delivery. The (C) case covers some issues around post-merger integration.