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Smartpro

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In a memo to the software team of Smartpro, the author recommends that software team should add all advanced special features of professional software products to personal accounting software in order to increase sales of personal accounting software. To support the recommendation, the author cites survey statistics that Smartpro's professional accounting software is the leader among professional accounting software products. The author’s line of reasoning is that the addition of advanced features to personal accounting software can improve product’s competitive advantage over its competitors’ products and, in turn, increase its sales. The author’s argument, however, is unconvincing because it relies on several dubious assumptions and incomplete …show more content…

However, this is not necessarily the case. In my experience, software products with advanced features are not that user-friendly and users of them may require extensive training and support. If this is the case, non-professionals may need product-specific extensive training to use the software. As a result, most home users have to spend extra time or money, or both to learn how to use it. So, it is highly likely that they may not prefer to buy the software product. Lacking end user perspective and point of view, the author’s recommendation is not worthy consideration. Fourth, the author assumes that software team can upgrade personal accounting software without much investment in resources. In practical, this may not be the case. The Smartpro may have to allocate financial and human resources for this software upgrade. On the other hand, Smartpro cannot increase the sale price of the product because it wants outcompete and capture the market share. An imbalance of expenses and additional revenues may hurt bottom-line of the

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