Ultimately the Casadelibro decision on which platform to adopt would depend on future market conditions. Despite the high maintenance costs and a faulted design, the original UNIX platform was evidently the industry standard. The second platform was cheaper (Microsoft technology and HP servers) in terms of maintenance and development costs. Much of the decision uncertainly could be attributed to the analysts, who did a poor job at projecting market stability.
If the market grows robustly, then it would make sense to stick with the first platform and spend the extra money to redesign. Lucrative market conditions would make maintenance costs endurable. However, if the market becomes bearish, then business would be slow and the parent company Planeta would most probably have to adopt the cheaper platform and minimize expenses. The draw back is that the Microsoft platform would have to be rescaled and redesigned in case the market grows and turns bullish. The question is how much would that cost?
In formulating a decision, I would have to take more information into account. A more accurate market forecast along with an estimated return on investment would be necessary. Consequently, I would evaluate the costs and benefits of both platforms separately, taking into consideration the forgone opportunity cost of the first platform.
Regardless, putting myself in this situation, I would most probably stay with the older UNIX platform. The assumptions are simple: What goes up must come down (and visa versa). Markets never stay bearish or bullish. Going along with that assumption, the website has extreme potential. Having the most complete and up to date database means that the business and website have a lot of room for growth. Going with the Microsoft platform would limit the growth of the website and would eventually incur more rescaling costs and design (once the shopping spree commences). Planeta should address the question: When will markets pick up again, and how much will it cost to fix up the UNIX platform vs. the Microsoft?In any case, the facts remain unchanged, Casa del Libro is the largest supplier of books, and consequently needs a platform that can support this growth-UNIX.
If the market grows robustly, then it would make sense to stick with the first platform and spend the extra money to redesign. Lucrative market conditions would make maintenance costs endurable. However, if the market becomes bearish, then business would be slow and the parent company Planeta would most probably have to adopt the cheaper platform and minimize expenses. The draw back is that the Microsoft platform would have to be rescaled and redesigned in case the market grows and turns bullish. The question is how much would that cost?
In formulating a decision, I would have to take more information into account. A more accurate market forecast along with an estimated return on investment would be necessary. Consequently, I would evaluate the costs and benefits of both platforms separately, taking into consideration the forgone opportunity cost of the first platform.
Regardless, putting myself in this situation, I would most probably stay with the older UNIX platform. The assumptions are simple: What goes up must come down (and visa versa). Markets never stay bearish or bullish. Going along with that assumption, the website has extreme potential. Having the most complete and up to date database means that the business and website have a lot of room for growth. Going with the Microsoft platform would limit the growth of the website and would eventually incur more rescaling costs and design (once the shopping spree commences). Planeta should address the question: When will markets pick up again, and how much will it cost to fix up the UNIX platform vs. the Microsoft?In any case, the facts remain unchanged, Casa del Libro is the largest supplier of books, and consequently needs a platform that can support this growth-UNIX.
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