Case_Study_M1S2 - Discussion Question #1: One major factor...

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Discussion Question #1: One major factor that helped enable Cisco to achieve the market leadership and growth strategy was an investor named Don Valentine. He was the initial venture capitalist that saw the growth potential in the IP-based technology companies and obviously viewed Cisco as the IP-based technology company with the most potential to succeed. Mr. Valentine then brought on a CEO named John Morgridge, who (although his leadership basically forced the co-founders of Cisco out) began to hire a senior management team to lead the decision making and to manage the growth and growth potential. It was the newly hired senior management team’s leadership and management that helped define the core business and growth strategies. Cisco’s core business and growth strategy consists of 4 key elements (developed by John Chambers, Ed Kozel and John Morgridge): Develop and maintain a vast number of products, so Cisco can be know as a one- stop shop for all the business network needs throughout the industry. Standardize acquisitions; making acquisitions apart of the daily culture of the company due to the fact that in less than 10 years Cisco acquired or made key alliances with over 70 other companies. Standardize the software used throughout the networking industry. Make sure only the correct alliances and acquisitions are made. The hiring of a senior management team in my opinion was a key factor in the success of the Cisco growth strategy because, as discussed through Thomas Davenport’s article Putting the Enterprise in the Enterprise System, one of the most important initial steps when growth the enterprise is ensuring the decision makers are in place and are hands on through out the process. It seems obvious that senior management bought into the business strategy developed above and their belief in the strategy would help enable the company to stay focused on the enterprise during the growth stages and their guidance would enable the company to achieve their objectives. It was senior managements’ opinion that if these four key elements could be
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This note was uploaded on 07/20/2011 for the course MS 12 taught by Professor Fruhan during the Spring '11 term at Northeastern.

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Case_Study_M1S2 - Discussion Question #1: One major factor...

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