VeriFone Case

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VeriFone Case
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Reading and Analyzing a Case

• Do a quick first read through of the case.
• What is it about?
• What kind of data do I have to analyze?
• Financial
• Strategic planning
• Other
• First and last few paragraphs exhibits

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Reading and Analyzing a Case

• Read through again, slowly and carefully
• Underline key facts
• What are the basic problems this manager or
  organization has to face?
• Put yourself in the managers shoes
• If there is a list of questions provided, use
  them as a guide during the second read through
  but do not be too narrowly focused.
• Note major problems on scratch paper
• Reread pertinent sections sorting out the
  relevant considerations for each issue

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Reading and Analyzing a Case

• Develop a set of alternatives and recommendations
  supported by your analysis
• Develop an implementation plan

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Reading and Analyzing a Case

• Refrain from using more current data than that
  presented.
• Put yourself in the position of an investor, are
  there issues that cause you concern as a
  shareholder?
• What recent events have occurred and how may
  those effect the organization
• Consider positive and negative scenarios

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Reading and Analyzing a Case

• Sometimes an issue that initially appears as an
  asset can viewed as a liability.

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VeriFone Background

• Timeframe 1997
• Leading provider of hardware and software for
  automated credit authorization and settlement
• Time of transition
• Recently acquired by HP
• Online purchasing is growing
• Switch from emphasis on H/W only device to S/W
  running on generic systems

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VeriFone Future

• How will HP acquisition effect them?
• Corporate culture
• Visionary leader
• Is it self-sustaining
• Market Driven
• Speed of action
• Risk Taking

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Future Technologies in Payments Industry

• Internet
• Smart cards
• Open software vs. specialized software