Discussion Case, Cisco in the Coyote Valley 1. Cisco objective was to expand quickly competence efficiency with larger rivals such as Nortel and Lucent. To recruit in an area known for its highly skilled workforce. And connected strategic plan was to really grow where the talent is. 2. The relevant market stakeholders in this situation are 20,000 employees because the market is concentrating on them mostly. And company wanted to create a new place where employees could get more benefits and the opportunity for personal satisfaction.
Non-market stakeholders in this situation are general public, activist groups and communities because they were mostly against construction of Cisco. So in this instance, the community was able to block the company constructions. 3. 20,000 employees were interested in a new multiple-building campus, where they could live. They saw as adva
...ntage and benefits a parking place for 22,000, so it`s a small attribute but a necessary one. Discovering a new big location in a Coyote Valley.
The most important advantage is that employees weren`t needed to move somewhere to get the job; they could still live their lives with just cross the road work. Communities were opposed to the Coyote Valley development project because they expressed that Cisco employees would move in driving up housing prices, closing roads, and putting pressure on already strained local services. The imposing could bring burdens on other communities on the south part. 4. If company would work with its stakeholders collaboratively it could bring the advantages such as avoiding litigation with parties.
But we can see that there are aspects that company wanted to do in order to satisfy citizens, parties and communities, such as investment
of $122 million in public roads, a freeway interchange, and a fire station. Probably it was not enough, so they made an environmental cause. And cause “for caring” others: neighbors and so on. Disadvantages of working with its stakeholders collaboratively are losing a lot of money. As we can see from previous paragraph, company made a big expenses in developing this Coyote.
So if company will decide to be friendly with such as people, these people will require more money in other things that do not lead to real issues. 5. In my opinion, the solution is in every case. I would recommend them to find strong forces that have a power in this Coyote, for example, there is a president of a local neighborhood association, who was on the Cisco side, and he made positive points about positive changes if Cisco will be in the Coyote. Company needed to cooperate with him, to achieve collaboration and approval.
Discussion Case, Wal-Mart and Its Public Opponents 1. Yes, it`s indicates a gap between the expectations of the public and Wal-Mart`s performance because public issues are critical at that moment. People had own opinions, attitudes and beliefs about what is good and what is bad, and had own reasons to think so. And company failed to understand the public concerns and the company couldn’t respond appropriately. So performance-expectations gap had grown, as we know the larger the gap, the greater the risk of people backlash, and in our situation it happened. 2.
The greatest segment was social environment; because society didn’t want accept Wal-Mart in their city. People thought that it will create a virtual “company town”; they decided that
Wal-Mart would enter the market with below-cost pricing of key items in order to eliminate the small-business competition. Legal Environment also played a role in this case, because people wanted Wal-Mart to be the same as others company, so they could not circumvent the low. 3. From this case we can see that some steps of the Issue Management Process were done, but note all of them.
First of all, they did issue identification – understanding what the problem, why people don`t want them and so on. Second they analyzed it and design a program which cost them $1 million, it was an advertising step, but as we can in the Results stage, they didn’t succeeded. 4. Wal-Mart used public affairs activities to defuse the opposition to its expansion plans. Activities such as: Issues management, community relations, media relations, environmental affairs and advertising. Wal-Mart had own public affairs plan but it wasn`t successful, so in result their major strategy and policy decisions were not appropriate. . First of all I would recommend to the company - create employees which totally will concentrate on the business to work on public affairs issues and to help plan, coordinate, and executive public affairs activities. Whole department will take care about the understanding stakeholders wants, scanning the environment, and formulating actual plans that anticipate changes in the external environment. If experts could predict that they will not win in this situation maybe they could avoid losses of $1 million.
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