Written in 2006; 3,600 words; 7 sources; MLA; $ 100.95
Paper Summary:
This paper studies the company EDS, or Electronic Data Systems, founded by Ross Perot. The paper traces the history, development, personalities connected to and controversy associated with EDS, particularly in terms of its affiliation with WorldCom. Much of the paper focuses on the company's founder and CEO Ross Perot, examining his personal gain from the company and his flamboyant -- often controversial -- leadership style. Then the paper turns to an evaluation of the damaging affect WorldCom -- known for its ethical ambiguity -- has had on EDS and attempts by the company to regain its credibility and profitability.
Outline:
WorldCom and EDS: Similarities and Differences
Hitching one's star to the wrong wagon
Back in the heart of Texas
Ebbers' match
Heads roll
That was then....
Conclusion
From the Paper:
"It is arguable that EDS' problems in the marketplace were caused more by earnings shortfalls, arguably caused by market conditions and unfortunate choices of partners, than by accounting practices. And in fact, EDS did not implode like Enron and WorldCom. It also replaced CEO Dick Brown with Michael Jordan, the retired chairman and chief executive of CBS Corp. (Feder 2003). Brown had reached a "mutual agreement," according to reports in the press. An EDS spokesman said that the company was stronger than when Brown joined it four years earlier, and that his resignation "demonstrated 'realism' and a 'willingness to take responsibility for things that were not necessarily his fault'" (Feder 2003, database). The claim that the company is stronger is cold comfort to the shareholders. IN 2003, when those optimistic statements were issued, EDS shared traded at $15.76, down from $65.91 a year before, prior to the WorldCom bankruptcy and the other factors, noted above, that contributed to the disastrous failure to reach third quarter earnings projections in 2002."
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