If then functionality driven from pick list

If then functionality driven from pick list

We just started implementing the Potentials area of the system.

We currently are using the Stage field as a pick list with different values.  Our sales manager wants to add functionality whereby if a user chooses Stage = Closed Lost a multiline box appears allowing the user to key information related to why the business was lost.  He only wants this box to appear if the user chooses this one value in the pick list.

Is this possible?