Consideration of alleged anti-competitive practices by Microsoft.

Topic area	Fraud / Unfair Business Dealings
Target audience	Undergraduate (or Graduate) students in CIS or CS. This assignment is also appropriate for non CIS majors in a business college.
Activity type	Reading assignment, research, worksheet, and a mock trial.
Time required	In class class: 1 hr. Out of class time: 3-5 hrs.
Attachments	Worksheet
Additional materials	A copy of the news item reporting the anti-trust suit against Microsoft filed (on May 18, 1998) in the federal court by the justice department and 20 state attorneys general. (The instructor can choose the report from any major news source.) A copy of the news item reporting Microsoft response to the suit.
Background needed to complete the assignment	Students need to be able to do research to locate additional information relevant to the case (not an unrealistic expectation!!). There is no other specific prerequisite for this activity. It would be preferable if the student is familiar with the two dominant web browsers: Microsoft's Internet Explorer and Netscape's Navigator / Communicator.
References	ACM code of ethics available on the web (http://www.acm.org) Web Page of the anti-trust division of the Department of Justice (http://www.usdoj.gov/atr/index.html) DOJ's complaint against Microsoft (http://www.usdoj.gov/atr/cases/f1700/1763.htm) Microsoft's web page (http://www.microsoft.com)
Last modified	August 1998

Abstract:
The assignment deals with a current, high profile case involving Microsoft, the most dominant player in the software industry. This case should definitely be of interest to the students because:

It is a current case, and the end results are not yet available.
It involves a company like Microsoft which is almost a household name and about which every person seems to have an opinion.
It involves a high growth segment in the software industry, effecting most users.

Goals for the activity:
This activity has three basic goals:

To understand the ethical issues intertwined with other decision making issues in competing in a highly dynamic and fiercely competitive market
To understand some of the legal jargon, which in turn enables the student to get a better understanding of the current high profile cases
To be able to think critically and ethically, and to evaluate others arguments / opinions

Knowledge / skills / attitudes to be developed (behavioral objectives):
After completing this activity successfully students should:

Have a knowledge of the evolution of the web browser market
Understand the importance of the web browser market
Have an understanding of the concepts of "innovation", "monopoly", "anti-trust", and "anti-competitive practice"

Procedure:
Class Session 1: The student is given two articles to read, with instructions that they should do research to locate additional relevant information. Parts I and II of the assignment are also given to the student. Part I will be a take home assignment.

Class session 2: Part I is due at the beginning of the class. Students are also to submit their role priorities along with their part I responses. There can be a brief discussion in the class, going over some of the terminology involved, providing additional references etc. The instructor is not to give his/her opinion about the case.

Class session 3: Part II of the assignment: "Mock Trial session". Instructor announces the role allocations. The instructor will be the judge / moderator. The instructor should announce the rules of the trial process. One option could be

The session begins with one student representing the DOJ, one student representing Microsoft and about 4 -5 students as the jury. The other students will be the audience. The team composition will be changed after about 10 minutes, with new members in all the three roles. But the trial continues.

The trial should be stopped with at least 15 minutes remaining in the class period. The instructor should conclude the session with his / her summarizing comments about the trial process, the need to listen to others arguments, and the intertwining of the ethical and business issues. The students will be given Part III of the assignment

Class session 4: Part III is due at the beginning of the class.

Assessing outcomes:
Grade the responses and the essay in part I. Grading the "Mock Trial" (part II) is optional. One option is for the instructor to grade it for class participation points. There has to be some assessment for part III, to assess the student's ability to synthesize and evaluate arguments and counter arguments in forming opinions. But I have not yet decided on a good way to do this.

Additional remarks:
This is perhaps one of the most written about cases. The instructor should be able to choose reports from any a news source of his/her choice. For example if you are teaching in Tampa you can choose reports from the Tampa Tribune, or you can choose from a nationally known source such as CNN, or the Washington Post etc.

Author contact information:
Rajendra (Raj) Bandi
Assistant Professor, QMIS Area
Indian Institute of Management
Bannerghatta Road
BANGALORE - 560 076
INDIA
Phone: +(91) (80) 6632450 Extn: 2095/2191
Fax: +(91) (80) 6644050
e-mail: rbandi@iimb.ernet.in

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