Publications
Publications
- April 1993 (Revised July 1994)
- HBS Case Collection
MathSoft, Inc. (A)
Abstract
MathSoft's VP of sales has doubled the size of the company's direct field sales force to support the launch of a new, high-end workstation software product priced at almost $9,000. However, sales of the new product are far below plan. At the same time, the VP of marketing is calling for increased magazine advertising to support sales of the company's $349 personal computer software product, which has been marketed through a combination of distributors, retailers, telephone sales, and direct mail. The president of this entrepreneurial company must determine the appropriate channel structure and communications programs for MathSoft's current product line and future growth. Illustrates the close linkages and trade-offs between industrial marketing channels and communications methods and traces the evolution of one company's hybrid marketing channels. Also introduces students to the use of advertising and direct marketing in selling complex, industrial products. For students who have had a quantitative modeling course, the case includes the output of a market response model developed from MathSoft's advertising and sales data.
Keywords
Information Technology; Corporate Entrepreneurship; Applications and Software; Communication Strategy; Salesforce Management; Marketing Channels; Advertising; Product Launch; Information Technology Industry; Industrial Products Industry; United States
Citation
Rangan, V. Kasturi. "MathSoft, Inc. (A)." Harvard Business School Case 593-094, April 1993. (Revised July 1994.)