MARKETING MANAJEMEN

cISCO SYSTEM;SOLVING BUSINESS PROBLEMS THROUGH COLLABORATION

1.RAHMAN IQBAL[1861201287]
2.ARXI RESMAYANTO[1861201277]

UNIVERSITAS LANCANG KUNING

FAKULTAS EKONOMI
TAHUN 2019/2020
 fOREWORD

Praise the presence of GOD because of his grace and gift the author can complete this paper.
Without His help, the writer would not have been able to complete this paper properly. This paper is
structured so that readers can understand the concept of " cISCO SYSTEM: SOLVING BUSINESS
PROBLEMS THROUGH COLLABORATION ". The author is very grateful for completing the paper that
became the task of "MARKETING MANAGEMENT".

Besides that, I would like to thank all those who have helped me during the making of this paper so
that this paper was realized.

This paper can be read publicly, in other words, readers can more easily understand the contents of
this paper in the by the author. Thus I can say, hopefully this paper can be useful, it must be
recognized that this paper is far from perfection. For this reason, criticism and suggestions can be
submitted directly to the author.
Company history
In the early 1980s, there was a husband and wife, Len and Sandy Bosack who used to work in two
different computer departments located at Stanford University. The couple are facing problems in
making their computers communicate with each other. To overcome this problem, they set up a
gateway server in their living room that led to a simple way of having two departments communicate
with each other with the help of the IP protocol. They founded Cisco Systems (with a small c) in 1984,
had a small commercial gateway server that brought a revolution in Networking. The company name
was changed to Cisco Systems, Inc. in 1992. Advanced Gateway Server (AGS) was the first product the
company marketed. After this came the Mid-Range Gateway Server (MGS), Compact Gateway Server
(CGS), Integrated Gateway Server (IGS) and AGS +.

Eventually creating Cisco 4000, 7000, 2000, and 3000 series routers. This router still exists and
improves every day. Cisco is the world's great leader when it comes to networking for the Internet.
This company's products lead to the ease of accessing and transferring information regardless of time
differences , place or platform.

Only then was the Cisco System.Inc born as a global company in the field of network and
telecommunications based in San José, California, United States. The company was founded in 1984.
The company employs 51,480 workers. Products from this company can be found from the living room
to the a company that moves on an international scale. The vision of Cisco System.Inc (Cisco) is
"Changing how to live, work, play and learn", and part of the Slogan from Cisco is "Welcome to the
world of Networks" (welcome to the human network ). Cisco is one of the number one products for
Information Technology in the world, especially for the system, network hardware and
telecommunications.

Until March 2001, Cisco Systems enjoyed a reputation as the most sophisticated e-business in the
world. Normally, when everything could be connected to the web on Cisco, everything came true.
While the company could be said to have exceptional innovation, Cisco was far from satisfying for can
maintain his leadership position with respect to e-business practices. Amirt Hartman, co-author of Net
Ready, described the greatness: "What was innovative yesterday was, in many ways, the standard
way of conducting business tomorrow.
HISTORY OF IT ON CISCO

Pete Solvik joined Cisco in January 1993 as the company's CIO (Chief Informatin Officer). At that time,
Cisco spent $ 500 million to run a software-based UNIX package that supported the processing of its
transaction core. The functional area is supported by packages including finance, manufacturing, and
order entry systems. Solvik's experience and significant growth prospects for the company ensure that
Cisco needs a change. However, Solvik avoids ERP as the solution.

The initial tendency of Solvik was to avoid ERP solutions. Instead, he plans to let each functional area
make its own decisions regarding the application and timing of its movements. However, all functional
areas will be needed to use architecture and databases. This approach is consistent with the
organization and budget structure that Solvik had made when he arrived at Cisco. Solvik feels
confident that budget decisions on IT spending incurred by the functional sector while IT organizations
report directly to him. Solvik's objection to ERP solutions was born from concerns about the type of
"mega-project" that often occurs in ERP implementation.

THE PROBLEM FACED BY CISCOsystem inc

As the company grew, Cisco began to encounter many problems in its information systems, including:

1. Too many improvements or additions made to the existing system, to improve the ability of the
system to cope with Cisco transaction activities that make the system very inefficient.

2. No worker dares to take the initiative to replace the existing system with a better one, only to
improve it.

3. In e-business cisco companies among competitors include one of the new companies that carries a
high price from all aspects of cost.
Theoretical basis

Cisco is the largest and leading company in the world that manufactures hardware for internet and
intranet networks. The equipment includes computer networks and communications ranging from
hubs and to large equipment such as ATM (Asynchronous Transfer Mode) switches more than 90% of
internet communication passes through router equipment made by Cisco. Cisco Headquarters is in San
Jose, United States. Operating in more than 100 countries in the world and only in 1995 opened a
branch office in Indonesia. Cisco utilizes internet technology to provide services to users of its
products. Starting from product information, technical support education, to business services can be
accessed via the internet.

Cisco itself as an industry leader in networking has carried out strategic alliances with multinational
companies, such as Microsoft, Oracle, Sun, Digital Islands, Hewlet Packard, Fluke, Adobe, and
CompTIA. Of course, the need for professionals in the field of networking (networking), both
designing, implementing, and maintaining networks for new industries is increasingly being sought
after. Based on data from the International Data Corporation that in 2003 the IT world will require at
least 1.5 million professional people in the field of networking. CNAP as one of the educational
programs from Cisco Systems participated by contributing professional human resources in the world
of information technology.

In early 2000, Cisco was the world leader in providing hardware, software, and related services to
enable internet networks. After it was established in 1984 by computer experts from Stanford
University, 55 countries and had a market value of $ 363 billion. With an observer's more poetic
expression, Cisco believes in the phrase "eating its own dog food." Network systems tend to be
complex, very easily modified, and require careful configuration. 80% of all orders on Cisco come
through the web that is configured by the customer. As one media article observing commenting on
the export of cisco to South America was observed: "Ninety-two percent of the messages originating
from South America now reach via electronics, as distant customers located on the type of screen in
the specific system they want, which plan configuration details with special software. Orders are
transmitted by jet and sent south.

Customers generate two important benefits. First, there are big savings in sales costs. Second, unlike
in pre-network times, when one third of all orders that were still incorrect and had to be checked and
re-specified, almost all web-based orders arrived correctly from the start. Assembly plants also
receive relevant information about each order via the internet, and as soon as the incoming material
arrives, it is ready to assemble, carry out tests and send the final system to the customer.

SWOT analysis

Strength
It is one of the companies that is a dominant player in the supply of switching devices and other major
network infrastructure items that enables global communication systems to flourish and is a well-
known American multionational network company that has a major location in San Jose, California,
USA.

Weakness
Cisco tried twice to use its power in the fields of home computers and networks in an effort to survive
in the market, but both businesses failed and the company lost hundreds of millions of dollars in the
process.

Opportunity
Cisco has several substantial strengths, but does not have a source of sustainable competitive
advantage in the home computer network industry.

Threat
Cisco management said that they would not invest in the business so as not to interfere with the
excellence that was the basis for the success of Link-sys and the increasing threats to computer
systems and networks.

Problem Solving

1. Cisco does not dare to make updates in the systems and networks that it has made before, because
cisco is still afraid to develop and develop its network, and the existing system is not functioning
properly, so to cisco better cisco makes a better network system new than just repairing an existing
network system. Maybe when viewed from the cost factor of making a new network bigger, than
repairing, but when creating a new network the new company also has new products and new
innovations, but if it only fixes minor network damage cisco still wants to fix it.

2. Cisco company workers must be given more training and guidance so that they are even braver to
make initiatives and breakthroughs to create new network systems or new products in order to create
a Cisco system company. Inc. is more developed and more advanced, reminding workers if only minor
damage is repaired, but if there is a fairly severe damage negotiate with the head to be repaired or
replaced.

3. The high price of products and all aspects of cost in cisco refers to quality products and are superior
products from cisco companies. If seen from the high cost of cisco products because of this, it is
advisable for cisco companies to slightly reduce the price of high products in order to be able to
compete with other competitors and not lose permanent customers who are already cisco users.

QUESTIOS FOR DISCUSSION;

1.Discuss the nature of the market structure and demand for cisco’s products?
2.Given the industries in which cisco competens,what are the implications for major types of
buying situation?
3.what specific costumer benefits likely result from the cisco products mentioned in the case?

1.Discuss the nature of the market structure and demand for cisco’s products?

The demand is driven by the environment. This consist of the product, price,place and promotion.
There are other environmental stimuli such as theenvironment and culture. This flows into the
organizational and individualinfluences and influences buying decisions. Last is the Buyer’s response
to thedecision. This is the purchase, terms and agreement, product choice
2.Given the industries in which cisco competens,what are the implications for
major types of buying situation?

Perhaps you’ve heard of Cisco Systems. It’s the company that runs those catchy “Human Network”
ads. It also produces those familiar Linksys wireless Internet routers and owns Pure Digital
Technologies, the company that makes the trendy Flip video cameras. But most of what Cisco sells is
not for regular consumers like you and me. Cisco is a tried and true B-to-B company. In fact, it earned
honors as B-to-B magazine’s 2009 “marketer of the year.” Three-quarters of Cisco’s sales are in
routers, switches, and advanced network technologies—the things that keep data moving around
cyberspace 24/7. But over the past decade, in addition to all that hardware, Cisco has pioneered the
next generation of Internet networking tools, from cybersecurity to set-top boxes to
videoconferencing. But this story is about much more than just a tech giant that makes equipment
and software that companies need to run their Internet and intranet activities. It’s about a forward-
thinking firm that has transitioned from a manufacturer to a leadership consultancy. To make that
happen, Cisco has perfected one major concept that seems to drive both its own business and its
interactions with customer organizations—collaboration. Cisco is all about collaborating with its
clients in order to help those clients better collaborate employees, suppliers, partners, and customers.

3.what specific costumer benefits likely result from the cisco products
mentioned in the case?

It’s the company that runs those catchy “Human Network” ads. It also produces those familiar Linksys
wireless Internet routers and owns Pure Digital Technologies, the company that makes the trendy Flip
video cameras. But most of what Cisco sells is not for regular consumers like you and me. Cisco is a
tried and true B-to-B company. In fact, it earned honors as B-to-B magazine’s 2009 “marketer of the
year.” Three-quarters of Cisco’s sales are in routers, switches, and advanced network technologies—
the things that keep data moving around cyberspace 24/7. But over the past decade, in addition to all
that hardware, Cisco has pioneered the next generation of Internet networking tools, from
cybersecurity to set-top boxes to videoconferencing. But this story is about much more than just a
tech giant that makes equipment and software that companies need to run their Internet and intranet
activities. It’s about a forward-thinking firm that has transitioned from a manufacturer to a leadership
consultancy. To make that happen, Cisco has perfected one major concept that seems to drive both its
own business and its interactions with customer organizations—collaboration. Cisco is all about
collaborating with its clients in order to help those clients better collaborate employees, suppliers,
partners, and customers.