Abstract. While a large body of research exists on the development and implementation of software, organizations are increasingly acquiring enterprise software packages [e.g. enterprise resource planning (ERP) systems] instead of custom developing their own software applications. To be competitive in the marketplace, software package development firms must manage the three-pronged trade-off between cost, quality, functionality. Surprisingly, prior research has made little attempt to investigate the characteristics of packaged software that influence management information system (MIS) managers' likelihood of recommending purchase. As a result, both the criteria by which MIS managers evaluate prospective packaged systems and the attributes that lead to commercially competitive ERP software products are poorly understood. This paper examines this understudied issue through a conjoint study. We focus on ERP systems, which are among the largest and most complex packaged systems that a...