Grand Strategy Analysis on

1. Market development 1. Market development

2. Market penetration 2. Market penetration

3. Product development 3. Product development

4. Horizontal integration 4. Forward integration

5. Divestiture 5. Backward integration

6. Liquidation 6. Horizontal integration

7. Concentric diversification

1. Retrenchment 1. Concentric diversification

2. Concentric diversification 2. Horizontal diversification

3. Horizontal diversification 3. Conglomerate diversification

4. Conglomerate diversification 4. Joint ventures

5. Divestiture

6. Liquidation

Weak Competitive Position

Rapid Market Growth

The Grand Strategy Matrix

Slow Market Growth

Strong Competitive Position

India Domestic IT Services, ITeS and IT Product Markets:Size and Growth Forecast, 2010-2014 (figures in Rs Crore, USD Billion)

The network equipment market experienced rapid growth in 2010 and is expected to continue expanding in 2011, according to a recent study.

The study, called Worldwide Quarterly Enterprise Networks Tracker, was published by research firm IDC and indicated overall growth of approximately 28.1 percent in the Ethernet switch market in 2010.

The network router market also expanded significantly in 2010, reaching a growth rate of approximately 17.8 percent, according to the study.

http://www.perle.com/articles/IDC-Network-equipment-market-on-the-rise-800439383.shtml

India Market Share Leadership

 

Core Technologies

Router: 58.32% Switch: 61.87%Total LAN: 60.09%(Source: IDC LAN Tracker, March2011)

Advanced Technologies

WLAN: 25.4% (Q4, CY 2010, IDC, March 2011)

Security: 36.06% (Q4, CY 2010, Frost & Sullivan, March 2011)

Enterprise Telephony: 24.38%(Q4, CY 2010, Frost & Sullivan, March 2011)

IP PBX: 40.69%(Q4, CY 2010, Frost & Sullivan, March 2011)

Network and Other Communications Equipment

Internet and Mobile Association of India (IAMAI) saysthat the total number of active internet users in rural areas is projected to rise by 98 percent this year, from 12.1 million in December 2010 to 24 million by December 2011.

Future of IP in India

In two years, a national knowledge network will come up and connect 31,000 colleges around the country and a student from any of these colleges would be able to pursue course from any other college, announced Kapil Sibal, union human resource development minister at CII Edu Summit 2011

My e-World

Is IPv6 ready for deployment now?

There are three basic aspects involved in the deployment of IPv6:

the protocol, the products, and the operational practices.

For the end user, the large amount of IPv6 address space means:

Home users will generally be given blocks of addresses sufficient to number multiple networks and thousands of devices. (In contrast, under IPv4, home users today typically get a single address.)

Enterprises and small businesses will generally be given enough to number a substantial number of networks and tens of thousands of devices; while larger sites will get significantly more.

Cisco Global Development Center is in Bangalore, this is the largest outside of the US

Joint Development Centers with Wipro Technologies and Infosys Technologies in Bangalore; HCL Technologies in Chennai and Zensar Technologies in Pune

Market development:

 

A market development strategy targets non-buying customers in currently targeted segments . It also targets new customers in new segments.

The company increased its dominance over the router market and had a market share of around 85 percent

 India Domestic IT Services, ITeS and IT Product Markets:Size and Growth Forecast, 2010-2014 (figures in Rs Crore, USD Billion)

 

 

Product development:

•The Software Group

•The Data Center Switching & Services Group

•The Access Networking and Services Group

•Consumer and Small Business Group

Latest by Cisco

Cisco introduces new products and services for transition from IPv4 to IPv6

The product — a server computer equipped with sophisticated virtualization software — is a bold but risky move by Cisco into an unfamiliar, intensely competitive market that typically produces far lower profits than Cisco makes from network gear. But it reflects the company’s ambition to grow beyond its roots as the so-called plumber of the Internet to offer everything from instant messaging software to digital stereos.

Integrations:

Cisco, which last year acquired 11 companies (this year it has only managed five so far )

2011-

Pari Networks, Inc.- January 26, 2011

Pari Networks is a leading provider of network configuration and change management (NCCM) and compliance management solutions that will complement Cisco's smart service capabilities.

Inlet Technologies- February 4, 2011

Inlet Technologies is a leading provider of Adaptive Bit Rate (ABR) digital media processing platforms. Based in Raleigh, N.C., Inlet will strengthen the capabilities of Cisco's Videoscape TV

New Scale Inc - March 29, 2011

newScale is a leading provider of software that delivers a service catalog and self-service portal for IT organizations to select and quickly deploy cloud services within their businesses.

Concentric Diversification:

Concentric diversification is one type of strategic thrust. Concentric diversification focuses on creating a portfolio of related businesses. The portfolio is usually developed by acquisition rather than by internal new business creation.

The recent acquisitions of Starent and Tandberg make Cisco’s strategies very clear, and it also hints the company would soon diversify as a Smartphone provider.

 

Cisco’s Cius is the latest device in the tablet market. This tab is completely targeted to woo the enterprise customers. The buzz is, the device will get launched in the current month but the launch date is still a mystery.

All the distribution channels will help you to avail it but not any retail channels can help you to get it as of now. The price of the device is expected to be Rs. 31, 250.

The tablet will be fully equipped with media station – it will create a virtual desktop with the phone, the screen, USB for keyboards, head seta and many other devices.

My Suggestions:

Diversify in Home Segment Products.

Eg: Home Security systems, Automated Task Performance robots which can support both Wireless and Wired Network

Traditionally Cisco’s Enterprise products are very costly

Should merge with Network service providers like Ericsson and Huawei etc for Support on 3G-4G Service providing to Telecom Operators.

Should not be very complacent, since competitors like Juniper Networks and Alcatel and 3Com in India are gaining shares in RAS services