Density functional theory (DFT) calculations at the M06-2X-D3/6-311++G(2df,2pd) level elucidate the mechanism and selectivity origins in the NHC-catalyzed divergent synthesis of spirocyclopentane oxindoles from isatin-derived enals and N-sulfonyl ketimines. The Michael addition constitutes the regio- and stereoselectivity-determining step, where Parr function analysis demonstrates that nucleophile/electrophile electrophilicity governs regioselectivity, while distortion/interaction and non-covalent interaction analyses reveal stereoselectivity is controlled by distortion and weak interactions. K₃PO₄ facilitates Breslow intermediate formation and proton transfer toward the β-lactam-fused spirocyclopentane oxindole, whereas N,N-diisopropylethylamine (DIPEA) promotes these processes for the spirocyclopentane oxindole bearing an enaminone moiety. Catalyst roles are also further delineated.