Essay on Cisco Systems Case Study

5151 Words Nov 3rd, 2010 21 Pages
Cisco Systems, Inc.

International Business Case Study

Executive Summary

Cisco Systems is a global market leader and innovator of computer communications and networking solutions. Established in the 1980’s, the company rapidly developed into the world’s greatest manufacturer of internet routers and was/is a foremost provider of commercial communication network devices. The aim of this case study report is to create an understanding of Cisco’s historical international business activities as well as explore their recent and current developments in international business management. The ‘Recent Development’ section details both Cisco’s main strategy of Acquisitions and how the company has operated under and coped with new management.
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Recent development of Cisco’s international business

According to Chambers, Cisco CEO, the company is all about the network not a single relationship. Their ultimate goal is to be a comprehensive Internet solutions provider. In order to achieve this goal, Cisco expanded both products and markets through employment of acquisition strategies and associated management structure adjustments. These are elaborated in the following sections. Acquisitions
The impact of the global financial crisis in 2008 on Cisco, compared to the one in 2001, is nothing remarkable, if we only analyse the figures. The income of 2009, 36.1 billion dollars, was 9 % less than last year’s. More important, under the global financial crisis with a lot of ongoing uncertainty, the cash flow still increased by 25%, up to $35 billion, which makes sure the continuous acquisition strategy to carry on. Under the spread of the 2008 crisis, Cisco will continue to push forward the organization strategy - acquisitions, established in 2001. According to the statistics of the research done by Venture Resource Institutions, Cisco took over 48 enterprises