strategicanalysisofciscoinchina.docVIP

Strategic Analysis of Cisco in China Presented By: Gary J. Pelkey Fall 2010   Table of Contents Introduction 5 Macro Environment Analysis (PESTEL Analysis) 5 Political Factors: 6 Economical Factors: 6 Societal Factors: 7 Technological Factors: 7 Legal Factors: 8 Micro Environment Analysis (VRIO Analysis) 8 Analysis of Competitive Environment 11 Porter’s Five Forces Analysis to the industry 11 Threat of New Entrants: 12 The Bargaining Power of Buyers: 12 Bargaining Power of Suppliers: 13 Threat of Substitute Products: 13 Rivalry among Existing Firms in the Industry: 13 Porters Diamond Model to the Chinese Market 14 Demand Condition: 14 Related and Supporting Industries: 15 Firm’s Strategy, Structure and Rivalry: 15 Government’s Role: 16 The Chance: 16 SWOT Analysis 16 Strengths of Cisco: 17 Weaknesses of Cisco: 17 Opportunities for Cisco: 18 Threats for Cisco: 18 Current Business Portfolio and SBU Analysis 18 Strategic Business Unit Model: 19 Investment Opportunity in Each SBU: 19 Mission and Vision Statement of Cisco 20 Establishment of Corporate Business Strategy with the help of TOWS Matrix 20 TOWS Matrix: 20 Corporate Strategy: 22 Business Level Strategy for Each SBU 23 Conclusion 24 References 24 Appendix 1 27  Introduction Cisco provides different communication technologies and network systems to connect the people in the global world. A small group of computer scientist of Standard University founded Cisco in 1984. Cisco is a large dealer of the network and security technologies. At the time of the company’s commencement, engineers of the Cisco have become leaders in the Internet Protocol- based technologies (Cisco System: 2009 Annual Report, 2010). Due to these technologies, the world has become a global village. In the industry of networking and telecommunication Cisco is the leading company. Due to the innovation of latest technologies, the world and business industry is continuously changing and there is a need to establish various communi