The Development Strategy Study Of Oracle Application Product

ABSTRACT:The Application Product of Oracle Software Co., Ltd. (hereinafter referred as Oracle) is more representative in Application Product market, and possesses a huge market share. Oracle Application product is orientated to multinational companies and domestic large enterprise and other high-end enterprise users. In recent years, the economics of the world is contraction because of the financial crisis impacting and some other reasons, many companies are lying off employees and their incomes are decline significantly. The sales of Oracle Application product are affected a lot as well.The paper introduces the basic definition of Strategy and strategy of product at first, then clearly defines the definition and scope of the Application product, introduces the major trend of development at home and abroad and deeply analyzes for the same produce markets. As a starting point, discusses and analyzes the problem and disadvantage of the product development currently.Combined with the basic theory, this paper will analyze the internal and external environment of Oracle; deeply analyze the challenges in the market, internal pressure and market opportunities which Oracle application may face to. Via a series of financial analysis of Oracle Application product's profitability, a conclusion can be reached: Oracle Application operating is in a good condition, profitability of main business and cash flow capabilities are strong. Meanwhile, the paper analyzes the advantage and disadvantage of the product, and process the SWOT analysis.Then the paper puts forward the product development ideas, strategies and development goals and specific measures, gives the product recommendations combined with the specific implementation of the strategy at this stage.The conclusion is finally reached as that:there are deficiencies and problems exiting of the original Oracle's applications development strategy. Although Oracle's acquisition did not affect the normal Oracle operation, and Oracle enriched the application product line itself as well as strengthened competitiveness, by merger deal with several major competitors in software industry, which are leading manufactures in relative industries, the expected the integration advantages didn't fully been displayed. Oracle's profitability has not been significantly improved because of the acquisitions. And its profitability is flat in recent years. The application products, which are acquired, do not bring a large profit. The current profits still are supported by the original Oracle Application copyright sales revenue and consulting charges. At the same time, analysis obtained that, the investment of Oracle Application product development is slightly lower than revenue growth. Integration of related products is a long process; Oracle should accelerate the speed of integration, while increasing investment in software research and development. Through products'integration, both in profitability and market or industry share, Oracle will have better performance.