Competitive Analysis for Cisco in China
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
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
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