Subject category:
Strategy and General Management
Published by:
WHU - Otto Beisheim School of Management
Length: 19 pages
Data source: Field research
Abstract
This case study is situated in the enterprise software industry and presents the situation of the world market leader in the applications segment, Germany's SAP AG, and its reaction to aggressive moves from Oracle, the company's biggest rival. At the time of the case in January 2005, Oracle laid out its plans for Project Fusion melting its product line with those of PeopleSoft and JD Edwards. PeopleSoft had previously acquired JD Edwards and had agreed to be bought by Oracle after a fierce take-over battle that lasted for 18 months. Oracle was driving consolidation in the industry and attacked SAPs dominant position in the application business; the German software company had to find an adequate strategy in order to respond to this emerging challenge. The story is centred on Dr Peter Zencke, a member of the company's executive board since 1993 and responsible for the development of SAP's software architecture and the co-ordination of global research activities. With its Project Fusion, Oracle aimed at increasing its market share especially in the application segment, SAP's home turf.
About
Abstract
This case study is situated in the enterprise software industry and presents the situation of the world market leader in the applications segment, Germany's SAP AG, and its reaction to aggressive moves from Oracle, the company's biggest rival. At the time of the case in January 2005, Oracle laid out its plans for Project Fusion melting its product line with those of PeopleSoft and JD Edwards. PeopleSoft had previously acquired JD Edwards and had agreed to be bought by Oracle after a fierce take-over battle that lasted for 18 months. Oracle was driving consolidation in the industry and attacked SAPs dominant position in the application business; the German software company had to find an adequate strategy in order to respond to this emerging challenge. The story is centred on Dr Peter Zencke, a member of the company's executive board since 1993 and responsible for the development of SAP's software architecture and the co-ordination of global research activities. With its Project Fusion, Oracle aimed at increasing its market share especially in the application segment, SAP's home turf.

