Vertex Scope Document

Venu 06/09

BSI - Competitor Analysis - Phase 2

 BSI Description
 Assumptions
o Capabilities
o Current Market Position
o BSE Markets
o BSE Sales Strategy

BSI Evaluation
 Sources of Value
 Product/Service Metrics – Capabilities, Value mapping, Momentum with each metric
 Business Structural Advantages
 Business Model, Costs/Profitability, Leverage of resources, Privileged Relationships
 Technology Advantages
 Software, Business Processes, Codependent Systems, Easy Access
 Market-Related Advantages
 CRM, Long term contracts, Segment domination, Loyal customers

BSI - Vertex Compétitive Analysis

 Cost/benefit analysis of acquiring BSI software
 Evaluate Cost/Benefit categories
 Evaluate Impact categories - Hard impacts, Soft Impacts
 Technical Risks
 Transition costs
 Total Cost of Ownership
 Total Value of Ownership

Summary
 SWOT Overview
 Recommendations
TYPE OF STUDY:
Competitive Analysis

BACKGROUND
At its core, this study is an opportunity to recognize and understand firms that
come close to being real competitors of Vertex in the overall Tax Software
market place in the US.

Current Market Description

Basis for Competition

Comparing Apples to Apples

Target Customers
Key Segments

Competitive Products Uses/Objectives

Identify key areas of competition

Specific Questions to be answered by the Research

 Sales volume size, etc
 Profitability
 Value proposition and market presence
 Competitive claims of competition in the market
 Pricing structure
 Technology platform and direction
 Relationships with ERP
 Strategic relationships with other market leaders e.g. consulting or accounting
 Links to other areas of tax
 Acquisition positioning – buying or looking to be sold, seeking investment
 Assessment of strengths and weaknesses

Time Frame:
 Institutions that Influence US TAX Policy

 Rock Center for Entrepreneurship

 Harvard Business School
 OECD Center on Tax Policy and Administration
 National Venture Capital Association
 The President's Advisory Panel on Federal Tax Reform
 Sullivan & Cromwell, LLP
 Us Law Firms Association

STATE AND LOCAL GOVERNMENTAL ASSOCIATIONS

State and local governments can be significantly affected by federal government

policy. They have hence formed their own associations to ensure that the interests of
states, cities, counties, and other governments have a voice. Several major groups
in this category are:

 National Governors Association

 National League of Cities
 National Conference of State Legislatures
 National Association of Counties
 International City Managers Association
 U.S. Conference of Mayors

Nongovernmental Organizations and Institutions that Influence US TAX Policy

 Public Policy Research Organizations

 Trade Associations
 Labor Unions
 Foreign Governments and Multilateral Organizations