Linear Systems Case

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Date Submitted: 05/13/2010 11:35 AM

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Linear Systems

Problem Identification and Change Strategies

Linear Systems was first born as a reseller of computers and digital photographic equipment. Since its inception, Linear Systems was faced with the reality of a harsh competitive environment and was operating in a saturated market. To make the competitive landscape even dimmer for Linear Systems was the rate at which technology became commoditized. Also, customers were unwilling to pay for the services that Linear Systems provided because of the fact that the product was turning into a commodity. As a result, there was little product differentiation which usually leads to price-based competition and low profit margins. Therefore, market conditions did not warrant an ideal framework for Linear Systems survival and growth.

Due to the increase in the number of digital cameras available in the market, Parsons realized that the need to manage the amount of pictures taken would arise. Therefore, he decided to focus the company away from digital equipment and into providing digital management solutions. He also realized that there was an untapped potential niche market that involved the management of photographic data from law enforcement agencies and decided to pursue this market. Linear Solutions gradually transformed from a reseller of photographic equipment into a software developer.  

In order to come out with an offering that would be attractive to prospective customers several obstacles had to be overcome. First, the most important issue was related to security. Digital images are easily altered and modified and can be easily transferred. Therefore, Linear Systems developed a system, in collaboration with law enforcement agencies that proved the authenticity of the images taken and also allowed access to the images only to authorized personnel. Second, the program had to be fast, easy and reliable since errors could lead to lawsuits for the law enforcement agencies that adopted the...