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Developing High Adaptive Capabilities: The Case of CISCO

Indian Journal of Industrial Relations

Volume 54 Issue 1

Published: 2018
Author(s) Name: Prashant Salwan and Kapil Sharma | Author(s) Affiliation: Professor, Strategy & International Business, Indian Institute of Management Indore.
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Abstract

The internet and power of intelligent network help firms to increase its enterprise value by entering new markets, developing new products, creating flexible operations structure, attracting good people and thus increasing the willingness to pay. CISCO predicted all these opportunities and enchased its capabilities which helped them capitalize on the globalization advantages. CISCO developed high adaptive capabilities (HAC) and implemented choices that helped it invest rightly and kept the cost of business under control which helped in record superior returns on investment and shorter payback period. HAC not only helped CISCO in optimizing the total cost of ownership (TCO) but also maintaining benchmarked service level agreements (SLA). CISCO reinvented its business model to synergize the resources across the organization.

Keywords: N.A.

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