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Refer http://www.salesforce.com/ for more information about this tool
I am not very knowledgeable on that, but if you say so, then be it :)
i don't know
CRM is One of riskiest systems on its operational level as it requires many resources to capture relevant customer's interactions, it doesn't end here as for the mega data collected good analytical and statistical reports should be generated and reviewed periodically to improve services/goods quality enhancing marketing and pricing policy. If the challenged company has the adequate resources to utilize CRM capabilities it would be a good starting point to cruise back safely.
yes as it help people and managment get stuff done in an organized way, and they can simply view reports and track whats going on "talking about CRM in general", and yes sales force is one from the best within the market
Before knowing if salesforce is the right solution, you need to better understand what the core problem is that is causing the "ailment". Is it market pressure, too much competition, lack of product development, lack of cash flow, inability to attract the right talent? I have used salesforce for over10 years now and when you get the right amount of buy-in and participation from the rest of your colleagues, it is a very good way to support a sales process. However, if you don't have the right amount of management support to drive the adoption of that process, then it doesn't matter how good the tool is - it won't deliver the expected benefits. For example, if sales management continue to manage by spreadsheet for forecasting or other similar parallel processes that they are comfortable and familiar with, then there will be less reason for the sales team to keep their accounts and opportunities up-to-date. Make sure you address the root cause of the ailment first, don't look for a quick fix in technology if it's the people or the process that are not working as expected.