cisco company
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Cisco Company
Global Business Plan, 2010
By Julian M. Combs
Global Strategy ± 484
Dr. Miro Smriga
Contributors:
Alcatel-Lucent [Contributor 4 Title]
Hewlett-Packard [Contributor 5Title]
Juniper Networks[Contributor 6 Title]
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. ro uc erv ce nnova on .....................................................................................................................
5.0 Lead Conversion Plan............................................................................................................................2
5.1 Lead Generation Plan ...................................................................................................................2
6.0 Service Experience ................................................................................................................................3
6.1 Loyalty Product/Service Offerings .................................................................................................3
7.0 Critical Numbers .....................................................................................................................................3
7.1 Sales Forecast ..............................................................................................................................3
7.2 Marketing Expense Budget ............................................................................................................5
7.3 Key Marketing Metrics ...............................................................................................................
8.0 Financial Plan ...................................................................................................................................36
8.1 Exit Strategy .............................................................................................................................36
8.2 Start-up Funding ......................................................................................................................38
Table: Start-up Funding........................................................................................................38
8.3 Important Assumptions............................................................................................................39
8.4 Break-even Analysis................................................................................................................40
Table: Break-even Analysis .................................................................................................40
Chart: Break-even Analysis .................................................................................................40
8.5 Projected Profit and Loss .......................................................................................................41
Chart: Profit Yearly ................................................................................................................42
Chart: Gross Margin Monthly ...............................................................................................42
Chart: Gross Margin Yearly..................................................................................................43
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. ro ec e a ance ee ........................................................................................................
Table: Balance Sheet ...........................................................................................................48
8.8 Business Ratios .......................................................................................................................49
Table: Ratios .........................................................................................................................50
9.0 References........................................................................................................................................51
9.1 Additional Quotes ....................................................................................................................51
Table: Sales Forecast ...............................................................................................................................1
Table: Profit and Loss ...............................................................................................................................2
Table: Cash Flow ......................................................................................................................................3
Table: Balance Sheet ...............................................................................................................................4
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traditional Internet service providers that are looking to improve the service offerings within their
buildings and current services. The primary focus of Pie in the Sky Wi-Fi is to provide full
service installation, support and management of wireless networks for individual building owners
and municipalities. Pie in the Sky Wi-Fi is a wholesale provider of services to businesses looking
to improve their competitiveness and amenities in their commercial properties and townships.
The opportunity for wireless (Wi-Fi) installations and ongoing management of these networks has
increased greatly in the past year and is projected to grow at an annual rate of no less than
50% a year. The total industry segment targeted spec ifically by Pie in the Sky Wi-Fi is
expec ted to grow to $2 billion annually by year four. The Wi-Fi industry as a whole is on trac k to
bec ome a $190.8 billion powerhouse. This year is the beginning of a paradigm shift in how
Internet services, hardware and security are all delivered to users throughout the world. Pie in
the Sky Wi-Fi has an opportunity to be one of the first movers in this rapidly growing market.
Because of the fragmented nature of the market in its current state, the threat from potential
competitors is not necessarily a bad thing. Additional competitors in the market will help to
increase industry awareness and drive overall sales within the industry. The overall opportunity
in this industry is great. Due to the short-term opportunity to grab a foothold in this emerging
market, Pie in the Sky Wi-Fi is aggressively rolling out the services anywhere demand is
generated. As demand increases, the innovative Pie in the Sky Wi-Fi sales and installer
management strategy will allow the company to take advantage of all opportunities, regardless
of location. We estimate that by year four, the opportunity or "gold-rush" will be over and
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arger e ecom, ca e or e ec r ca compan es curren y oo ng a prov ng ese serv ces v a
public "Hot Spots" or through cellular networks. Many companies will enter the market over the
next four years, including these traditionally larger telecom and cellular companies. Fortunately,
the Pie in the Sky Wi-Fi market focus allows for many competitors, both large and small. Pie in
the Sky Wi-Fi expec ts to sell the company as a going concern for no less than $20 million
based on the pro-forma income statement and estimated balance sheet.
1.1 Objectives
· Sales over $500,000 in the first year
· Increase contrac ted sales force to 30 by year 3
· Net worth over $2,000,000 by year 3.
1.2 Mission
Pie in the Sky Wi-Fi will make it easier and more affordable for our customers to provide
Internet ac cess. We will dec rease the costs of their initial installation, allow for portability, and
provide high-quality, ongoing customer service. For our investors, we will provide a groundlevel
entry port to the next high-impact technology trend, turning around high value returns
when we sell the company at the end of the plan to a market consolidator.
1.3 Keys to Success
· Management's skill combination: business, sales, technology, and branding expertise
· First-mover advantage in an emerging market
· Detailed installer database, trac king performance and skill sets
2.0 Company Summary
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Sky Wi-Fi is a wholesale provider of services for organizations looking to improve theirCompetitiveness and
amenities in their commercial properties and townships. Pie in the Sky Wi-
Fi charges a set-up fee and a monthly maintenance charge.
2.1 Company Ownership
Articles of Incorporation
Articles of Incorporation were filed with the Secretary of State of Oregon on December 22, 2003.
Pie in the Sky Wi-Fi, Inc. filed as a subchapter S Corporation.
Board of Directors
The Board of Directors currently consists of the following individuals:
· Mr. A Chairman
· Mr. B Director
· Mr. C Director
· Mr. D Director
Election of Officers
The following individuals have been elected by the Board of Directors to serve as Officers inthe Corporation:
· Mr. Smith President & Chief Executive Officer (CEO)
· Mr. Morgan Chief Communications Officer (CCO)
· Mr. Mann Chief Technology Officer (CTO)
· Mr. Jones Chief Revenue Officer (CRO)
Sale of stock to initial stock holders
Subscriber Number of Shares Purchase Price
Mr. Smith 250 000 $300Mr. Morgan 250 000 $300
Mr. Mann 250 000 $300
Mr. Jones 250 000 $3002.2 Start-up Summary
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Table: Start-up
Start-up
Requirements
Start-up Expenses
Legal $500
Stationery etc. $1,000
Insurance $1,000
Rent $2,000Computers $10,000
Other $2,000
Total Start-up Expenses $16,500
Start-up Assets
Cash Required $33,500
Other Current Assets $0
Long-term Assets $0
Total Assets $33,500
Total Requirements $50,000
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3.0 Services
It has now beome standard procedure to include wired connections for all new construction
projects, both residential and business-related. The costs associated with wiring an entire
building are extremely high when compared to adding a wireless network that will allow forgreater speed and
flexibility. As more developers focus on this as a utility which must be
included, the demand for greater amounts of wireless technology grows. We are also a great
solution for those developers looking to provide services for older buildings that do not already
have wired connections in plac e, or where eac h tenant has individually set up his own wired
network. A private Wi-Fi network would be the most cost-effective and quickest way to offer
this service ac ross all tenants. As connectivity to the Internet has bec ome a necessary utility,
just like water, phone and electrical hookups, so has the trend of providing a central Internet
connection.
Pie in the Sky Enterprise - The Pie in the Sky Enterprise solution is a full-service plan for
owners and landlords of large commercial and industrial properties. With industrial vac ancy
rates close to 10% and commercial office space reac hing 16%, property owners are looking for
ways to stand out in the market and increase revenue. Quickly bec oming the "fourth" utility,
wireless Internet ac cess gives property owners the ability to provide this service at a frac tion of
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a ng an c m ng ren a vac ancy ra es, mu - am y proper y owners are oo ng or ways o
add valued amenities. Over 66 million Americans use the Internet from home and pay individual
ac cess fees for their primary Internet connections. By offering a built-in alternative, landlords
now have an easy way to dec rease their vac ancy rates and increase monthly income. The Pie in
the Sky Residential solution gives owners the ability to aggregate and redistribute a high-speed
Internet connection throughout their property. With c able or DSL, tenants pay anywhere from
$10 to $50 a month for an individual Internet connection, either through dial up or broadband.
With the Pie in the Sky Residential Enterprise, multi-family property owners can bec ome the
preferred Internet provider for their tenants, saving tenants money and increasing landlords'
income and competitive advantage.
Pie in the Sky Travel Hub - Truck Stops: Pie in the Sky Wi-Fi is in the unique position of
being able to offer Wi-Fi services to truck stops throughout the U.S. quickly and efficiently.
Because of the management team¶s prior experience in the trucking industry, our ability to
educate and sell to individual truck stops is easily handled using current contac ts within the
marketplac e.
Pie in the Sky ISP Enterprise - Internet Service Providers (ISPs): ISPs play an important role
within the company. Pie in the Sky Wi-Fi will partner with key ISPs in order to resell the Pie in
the Sky Enterprise solution. The benefit to partnering with the ISPs is focus. The core focus
for an ISP is to provide raw connectivity to their clients, whether wired or wireless. In either
case, these ISPs need service providers to handle the installation of these networks. ISPs
usually either outsource these services, or refer them to a reputable provider, if the company
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y - epen s on oca s o prov e e raw ee o any w re ess ns a a on, w e er
be a T1 direct to the property or a DS3 powering a larger wireless base station, where Pie in
the Sky Wi-Fi can distribute its own T1s wirelessly.
The Pie in the Sky Enterprise Wi-Fi solution can provide network connectivity at speeds
starting from 54mbs sc alable up to 1Gbps. This connectivity can be distributed throughout a3.1 What is Wi-Fi
"Wi-Fi" is short for wireless fidelity, technology for broadcasting a high-speed Internet
connection to a given area. The Internet connection is plugged into a transmitter, called an
ac cess point, and is broadcast to an area about 300 feet in diameter, called a "hotspot."
Properly equipped laptop computers or other portable devices can then pick up the signal and log
onto the Internet without the need to be plugged into a hard line connection.
Wi-Fi not only allows users to connect anywhere without the cost and delay of installing wired
connections, but it is also faster than traditional DSL or Cable connections. Just like traditional
wired connections, Wi-Fi can be securely set up with an existing wired network or set up as a
stand-alone wireless network. Wi-Fi prevents the need to install a custom wired network,
allowing for greater flexibility, particularly for growing businesses that may need to remain flexible
in both location and office layout.
Wi-Fi uses radio technology called 802.11a, 802.11b and 802.11g in order to provide secure,
reliable, fast wireless connectivity. All Wi-Fi networks operate in the unlicensed 2.4 and 5 GHz
radio bands, with an 11 Mbps (802.11b), or 54 Mbps (802.11a) data rate, or with products
that contain both bands (dual band). 802.11g is equally as fast as 802.11a and 802.11b, but
boasts the backward compatibility to 802.11b required in order to make inexpensive upgrades.
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oug eac - ns a a on s un que o e spec c nee s o eac c en an u ng, e
options available are simple. The more coverage area needed, the greater economies of sc ale Pie
in the Sky Wi-Fi will enjoy due to the cost structure described below. All products are based
on a fixed 40% gross margin on the equipment needed for eac h installation, plus appropriate
installation charges. In addition to the initial installation, a fixed monthly maintenance charge
to manage and monitor the network will also be added as part of the standard service offering.
These monthly prices are based on the variable raw connection cost (i.e. T1 approximately
$800 per month) plus an applicable service fee based on the number of users utilizing the
network and the preferred bandwidth for eac h. For a detailed breakdown of the financial
assumptions and pro-forma income statement please refer to the financials section in this
document and Appendix I.
Each location receives its primary Internet connection from a wired T1 line or greater. This
provides the base station with the ability to transmit connectivity to ac cess points throughout
the coverage area so users can ac cess the network. Note: in some cases a high-speed DSL
line may be substituted in order to lower the overall installation cost for the client. Although
the primary target market for these services consists mostly of larger installations, this may be
considered if a T1 is not needed on the property or nearby properties.Pie in the Sky Wi-Fi provides the
installation and maintenance of high-speed wireless networks
for specific market segments. All of the installation services are packaged as the "Pie in the
Sky Enterprise Solution" with the spec ific industry applications added. As of the creation of
this document the company is ac tively marketing the Pie in the Sky Enterprise solution to three
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sa es approac , u w a o ow e same ns a an ma n enance process.
The Pie in the Sky Commercial Enterprise and Pie in the Sky Residential Enterprise services are
both packaged in such a way to allow property owners or individual business owners to
increase the value of their property or business by providing tenants or customers with access
to high-speed wireless Internet ac cess. These packages are specifically designed to add value
to the owner's enterprise. It is not the goal of Pie in the Sky Wi-Fi to install networks on
speculation and market its services directly to the end user. Instead these services are offered
to the commercial or residential owner as a way to increase revenue for themselves through
greater demand for their services as a result of installing a wireless network, or by ac tually
charging a fee themselves for user ac cess. This can be done in a number of different ways, from
increasing base rent or lease rates and including it as an amenity of the property, to adding it as
an additional ac cess fee. The Pie in the Sky Enterprise service allows all working areas of the
building, property or business to have wireless Internet ac cess.
In addition to the initial installation, the service also includes secure 24/7 remote management
and maintenance for a monthly fee. This service provides full service maintenance, user
management and monitoring of the entire wireless network. This allows the owner the freedom to
offer these services without fear of trying to manage a complex wireless network or
troubleshooting problems should they arise. It is completely hands-off for the owner and no
technical knowledge is needed in order to offer this at their properties.
The Pie in the Sky ISP Enterprise solution utilizes the same Enterprise installation and monthly
management as described above, but it is positioned differently for the ISPs. Since Pie in the Sky
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a rea y n p ac e. e ns a a on an managemen s e same, excep e pr mary connec on
is still provided through the ISP. The ISP can receive additional revenue as a Pie in the Sky Wi-Fi
reseller (at 10%), while adding new customers and maintaining focus on their strengths - raw
connectivity.
Pie in the Sky Enterprise ± Monthly services included in all plans
· 24/7 remote management
· Network reporting
· Bandwidth management
· Security maintenance
· User management
· User support
· Upgraded equipment as needed
· Hands off management for property owner
· Private customized connection
· No cost truck rolls
Additional services may be added at a later date once the networks are in plac e at eac h site.
Some of these additional services might include voice over IP (VOIP) and security services. For
additional details regarding how these three industry segments will be targeted from a sales
and marketing standpoint, please refer to the Marketing Plan section of this document.
3.3 Competitive Comparison
The opportunity for wireless (Wi-Fi) installations and ongoing management of these networks has
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mar e w e p grow n us ry awareness an e p r ve overa sa es w n e n us ry. e
overall opportunity in this industry is great and there is unlimited opportunity for wireless
installations throughout the next few years. Due to the short-term opportunity to grab a
foothold in this emerging market, Pie in the Sky Wi-Fi is aggressively rolling out the services
anywhere demand is generated. As demand increases, the scalable sales and installer
management strategy will allow the company to take advantage of all opportunities, regardless
of location. By 2008 the opportunity, or "gold-rush," is estimated to be over and market
consolidation will begin.
By 2008, Pie in the Sky Wi-Fi will be in a good position to sell the company to a market
aggregator looking to increase market share and build a national integrated network of private
wireless networks. The most likely aggregators will be the larger telecom, cable or electrical
companies currently looking at providing these services via public "Hot Spots" or through
cellular networks.
Wi-Fi Advantages
The primary advantage lies in the technology of Wi-Fi itself. Using unlicensed radio frequencies
(802.11b, 802.11g & 802.16), eac h new location can be installed quickly without requiring FCC
approval. This not only dec reases the total cost of a new installation, but also increases the
ability to roll out new networks quickly and efficiently. Cellular technology (including the new
3G band) has significantly higher costs and FCC approval is required. Wi-Fi has absolutely no
barriers to entry and can be installed with no restrictions or government regulations. Coupled
with the faster connection rate of wireless, the value proposition bec omes obvious.
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escr e ere n.
by another Pie in the Sky Wi-Fi ac cess point, depending on location.
3.4.3 Site Assessment
Part of the Pie in the Sky Wi-Fi marketing and technology plan is to include a site assessment
in order to determine the costs and return on investment at that particular location. The rep
for that particular client will perform the site assessment using a worksheet provided by the
company. This site assessment will include mapping out all the necessary data points and
equipment needed.
In addition to this initial equipment site assessment, the rep will also provide surveys for
owners to distribute to their current tenants in order to determine the demand for the secure
Wi-Fi network. In many cases, the survey will help to determine the ROI and potential use of the
new wireless network. If the primary connection costs, plus the variable costs to install the
necessary ac cess points, is less than the potential revenue that can be derived from the
tenants, then the install will not be done unless the client opts for the purchase plan for that
location.
Each potential site for a wireless network will be evaluated heavily in two areas before
implementation is considered:
1. Local needs, goals, and constraints of the company or group of users where the network
is being installed.
2. Evaluation of role and needs of the site installation in the overall Pie in the Sky Wi-Fi
network backbone.
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a o requency urvey
· Obtain all site and building plans and documents that are available.
· Document any existing network infrastructure.
· Conduct an on-site Radio Frequency (RF) survey.
· Perform initial RF cell planning.
· Document any existing RF in detail.
· Present findings of survey to network management and design team.
Design
· Determine the plac ement and charac teristics of appropriate ac cess points, power
sources, network cabling, wireless gateways, and network monitoring devices.
· Design the RF solution based upon optimum ac cess point, bridge, and repeater plac ement.
· Determine appropriate security solution for the organization and the environment.
· Determine appropriate billing solution for the installation.
· Shortlist all manufacturers and their equipment and software that will be needed for the
installation.
· Design the wireless network producing detailed diagrams and drawings for the installation
· Determine network support requirements
· Build preliminary costing for the design and implementation.
Backbone Role and Requirements
· Bandwidth Requirements
· Is Pie in the Sky Wi-Fi wireless backbone connectivity an option?
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. . erv ce rov er ecru men
Not all resources for Pie in the Sky Wi-Fi will come from internal sources; the company will
depend on a wide variety of consultant resources for site assessment, installation, service, and
support.
We have recruited initial service providers via a directory of potential contrac tors, compiled
through online and offline lists of wireless and network installers nation-wide. We now have a
service provider database where the information is refined and qualified to verify they meet the
needs of Pie in the Sky Wi-Fi. For a snapshot of this database, please refer to Appendix VII.
We have contac ted service providers and solicited their partnership with Pie in the Sky Wi-Fi in
their respected geographical service areas. Before a partnership is established, we carefully
review the service provider's business record and establish communication with a few of their
businesses references. Only then do we begin c ontrac t negotiations.
Continued service provider recruitment will consist of continued online and offline list
evaluation, as well as constant presence of partnership/recruitment materials on the Pie in the
Sky Wi-Fi website.
3.4.5 Project Implementation
With good planning, Pie in the Sky Wi-Fi can move to implementation fairly rapidly. A
standardized approach to installations utilizing proven methods will be used, with a careful eye to
the evolution of the process as the industry stabilizes and moves forward.
Here is an overview of Pie in the Sky Wi-Fi network implementation process:
Pre-Installation
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· c e u e ne wor ns a w approve es gn an mos qua e ns a er.
Installation
· Install network feed.
· Install equipment.
· Test wireless network.
· Provide training and/or materials to users or support group.
· Go live with the wireless network.
Once a network has gone live, it will be plac ed into management mode to ensure continued
operation of services. However, if warranted, a secondary network design regarding future
growth and enhancements to the network will be conducted upon initial project rollout to
ensure the network grows in a healthy, revenue generating manner.
3.4.6 Technology Utilized
To satisfy the growing demand for bandwidth, Pie in the Sky Wi-Fi will utilize existing fiber
networks tapped with a network switch providing our initial Internet feed. We will always start
with a T1 (1.5 Mbps) connection as a foundation. Connected to a network switch, we will use
a Point to MultiPoint (PtoMP) wireless base station utilizing the Wireless Outdoor Router
Protocol (WORP), 802.16 standard and radius antenna to deliver carrier class broadband Internet
to multiple subsc riber units at "node points" ac ross an area from the size of fac ility to several
miles. This Point to Multipoint (PtoMP) backbone will utilize the 5.4 GHz unlicensed frequency
to deliver eac h "node point" subsc riber unit the broadband c onnectivity it will need to deliver the
last mile service.
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c ev ng a g eve o ua y o erv ce can prove o e a c ore n a w re ess ne wor .
To ensure success in this area, Pie in the Sky Wi-Fi will follow 802.11e Standards that offer a
roadmap for providing a stable, high quality of service for customers connecting to the network.
In order to widen our network and offer inter-operability with outside networks, we will
integrate aspec ts of the 802.11f Standards into our external vendor plans. By watching the
802.11f standards, we can offer roaming and extended off-network services to our customer
base, and generate additional revenue.
Network security will be a high priority for the technology team at Pie in the Sky Wi-Fi. The
802.11i Standards will be used as a guideline for Pie in the Sky Wi-Fi security strategies; we
will utilize many methods for evaluation and monitoring network usage to ensure security of the
network. Though the standard is not 100% ratified it offers a clearer path to follow to take
network security beyond current methods and offer security for the network in the future.
Utilizing carrier-class, proven equipment and following global standards for wireless broadband
delivery, the Pie in the Sky Wi-Fi technology team will provide Internet services that are just
as efficient and fast as traditional wired networks.
3.4.7 Vendor Relationships
Pie in the Sky Wi-Fi uses equipment primarily manufactured by Company A, a global leader in
wireless networking technology. Company A provides the equipment needed for backbone
distribution, ac cess points, and client ac cess equipment. In additional to Company A, other
equipment manufacturer products include Company B, Company C, and D Corporation.
Pie in the Sky Wi-Fi has established an account relationship with E Industries, a value-added
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y - on e cu ng e ge o e w re ess wave. y care u y eva ua ng s an ar s,
equipment, and potential new relationships, we will be able to offer a high level Quality of
Service over our networks.
3.4.8 Remote Management
Once a local network has been successfully launched and plac ed into management mode it will
bec ome part of a larger network that is being monitored 24 hours a day, 7 days a week, by
system engineers utilizing standardized management software tailored to Pie in the Sky Wi-Fi¶s
unique network rollout.
Every ac cess point with the network will be configured with management software that can be
ac cess remotely by a highly secure network administration interfac e. Each access point can
be monitored separately from the network, or as a whole, by the centralized management
system.
All network traffic will be monitored as a whole to evaluate:
· Network bandwidth requirements/usage
· External security threats
· Internal security threats and network misuse
· Service and content usage
Every piece of equipment on the network will be constantly monitored for:
· Network integration and operability
· Quality of Service
· User congestion
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place to respond to physical equipment failures throughout the network. When c criticalaspect ts of
the network fail there will be a pager/cell phone communication network to ensure quick
response times to any network situation.
4.0 Market Analysis Summary
The spectrum Wi-Fi utilizes to deliver broadband is unlicensed by the FCC, which greatly reduces
costs in setting up a new network and the time needed in order to install such a network. In
turn, this creates a low barrier to entry for Pie in the Sky Wi-Fi and the ability to deliver services
in any location without the need to apply for special licenses or permits with the FCC. When
compared to setting up a cellular tower in just one area, Wi-Fi takes just a frac tion of the time
and investment with absolutely no regulatory interference or special permits needed from the
FCC.
Fortunately for all users of Wi-Fi, and the company, Wi-Fi is the global standard for this type
of connectivity to the Internet. Unlike GSM or CDMA with non-conforming standards, Wi-Fi has
bec ome the de fac to standard for wireless Internet ac cess, and bec ause of its quick and rapid
ac ceptance, this open standard will stand the test of time. The price of wireless related
components, such as the specialized processor chipsets that enable better utilization of this
technology, have dramatically dec reased in price and jumped in c ustomer demand. For example:
in 2002, a Wi-Fi radio chipset cost about $16 wholesale; at the current pace, this price is
expec ted to be lower than $2 by 2006. Demand for these same chipsets has increased over 80%
just between 2002 and 2003.
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repor s oo a e - n us ry as an en re sec or, nc u ng e sa e o o serv ces an
hardware, while others examine only the delivery of hardware, chips or services separately. In all
cases, the estimated growth is positive for a company like Pie in the Sky Wi-Fi, as a new player
in an emerging market. The Wi-Fi industry as a whole is expec ted to grow at an incredible
rate, with projections range from no less than a compounded annual growth rate of 50%, all
the way up to 415% over the next five years.
The annual recurring revenue for ac cess services based on unlicensed broadband wireless (UBW)
technologies, currently at $250 million, will approach $2 billion by 2008, ac cording to
'Unlicensed Broadband Wireless: Solutions and Applications,' a new research report from Parks
Associates. This report profiles more than 20 equipment vendors and their unlicensed products,
analyzes different service market segments, provides perspectives of incumbent carriers,
wireless ISPs, and consumers, addresses market challenges, and forecasts service and
equipment revenue growth.
According to this report, residential service revenue will post the most dramatic growth, followed
by the small enterprise (SME) market, and the UBW market will have an overall compound
annual growth rate (CAGR) of approximately 50%. Underserved markets in the U.S. still represent
the low-hanging fruit for service providers using UBW technologies, according to the report,
4.2.1 Market Needs
The current market needs for Wi-Fi are infinite as this is a new industry that is already
changing the way Internet ac cess and many other services, such as Voice Over IP (VOIP), will
eventually be delivered throughout the world. Although there are many traditional wired networks
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an ear on e es re oca on n or er o sa ura e e en re area w g -spee n erne
ac cess.
The true opportunity and advantage Pie in the Sky Wi-Fi will enjoy as the market demand for
these services expands will ac tually result in greater gross margins on the primary connection
costs. This is the result of greater economies of sc ale as eac h geographical location "fills up"
with wireless Internet ac cess. Economies of scale are generated when a spec ific area within
reac h of a powered Pie in the Sky Wi-Fi base station has a need for a greater amount of
bandwidth. Because of the ability to transmit large amounts of bandwidth through the Pie in
the Sky Wi-Fi base stations, one base station can be powered by a T3 or OC3 c onnection and
then provide additional Pie in the Sky Wi-Fi base stations with their primary connection, replac ing
the need to have a landline connection at that location.
The ability to "cut the cord" at locations that were previously dependent on the primary T1
connection increases the margins for eac h affected location and centralizes the primary
connection point, giving Pie in the Sky even greater ability to provide T1 c onnections quickly and
easily to new locations within reac h. For example, a primary base station location with a OC3
connection has enough bandwidth to broadcast up to 28 individual T1 c onnections wirelessly,
without any additional landline use. This will allow Pie in the Sky to ac tivate a new location
within minutes of installing the necessary hardware without depending on ac tivating a fixed T1
to that particular location.
The cost savings released by the company would be great, as the fixed T1 c ost is no longer
needed at the affected location. An example of the break-even point is illustrated on the chart
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For purposes of this example, existing T1 c ontrac ts are not figured in to the return on
investment equation, although this is a fac tor to consider as eac h area is ac tivated. For
estimating purposes the example uses as average monthly service fee estimate of $1,500, T1
wired cost of $800 per location and an OC3 c onnection cost of $9,000. The break-even point
on the monthly connection revenue for installing a central OC3 c onnection is six clients. From a
cost standpoint, the break-even point for expansion is reac hed when 11 clients are added to the
Pie in the Sky network.
Although the wired T1 c onnections to eac h location in this illustration will no longer be needed, it
should not jeopardize any existing relationships with any partner ISPs, as a larger primary
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ocuse on pu c o spo s, e n us ry s mos y compr se on sma oca or reg ona
providers. In most cases, the Wi-Fi providers are focused on a small geographical region. The
first install a network, then try to sell to individual users within the radius of that signal. Not only
is this an expensive and spec ulative proposition, but the lengthy sales cycle and individual
effort needed does not lend to a favorable return on the investment.
4.3.1 Competition and Buying Patterns
For the first two target markets (commercial property owners, multi-unit residential property
owners, and business owners), we are competing against hard-wired Internet ac cess, often
tenant-installed, and against inertia. There are no direct competitors in our area currently
offering wireless ac cess installation for these clients.
Our challenge here is to educate potential customers on the advantages of wireless over wired
ac cess, and to encourage them to assume the costs of installation for a larger payoff from
tenants in the future (or for the benefits of sc alability and upgrading, for business owners).
With ISPs, we are competing against established installers of cable and DSL. We will make
ourselves competitive by emphasizing management's expertise, and by convincing them of the
public's demand for wireless ac cess. As a preferred partner for wireless ac cess installation, we
will have a first-mover advantage with ISPs by the time larger conglomerates enter the market.
5.0 Web Plan Summary
Pie in the Sky Wi-Fi will create a user-friendly, content-packed website with information on our
services and prices, as well as on the general benefits of wireless connections. As we are geared
toward wholesale with property owners and ISPs, we will also maintain a section with c urrent
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co umn o one o e e er rea es a e managemen magaz nes, n or er o ec ome nown as
experts in this field, and build our reputation.
5.2 Development Requirements
The main phase of our website development is already completed. We have assembled the
service, pricing, and portal pages for our different target markets, and are compiling articles
and useful links for the same groups. We are developing the site ourselves, and will contrac t with
a hosting company for maintenance under our own domain name, once the site is established.
Ongoing expenses for maintenance (exclusive of extra marketing, such as pay-per-clicks and
banner ads designed to draw traffic) are listed under "Misc ellaneous" expenses in the Profit and
Loss statement.
6.0 Strategy and Implementation Summary
Pie in the Sky Wi-Fi will focus on its strengths, and exploit the market opportunities, by
offering a complete service package of wireless installation and management to property
owners and ISPs.
6.1 SWOT Analysis
Strengths
Proven and balanced management team
Weaknesses
More working capital needed to fulfill the plan
Opportunities
New and emerging, fast-growing market demand, "gap-filler" position in nationwide coverage
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exper ence, no on y n aunc ng new us nesses n new mar e s, u a so n eve op ng
technology for widespread use.
The biggest strength of Pie in the Sky Wi-Fi is its dynamic and experienced management team.
The four principles have an average of ten years of experience directly within new businesses
development, emerging technology and telecom. The combination of an experienced management
team, coupled with an emerging industry with a projected growth rate of over 300% per year will
give Pie in the Sky Wi-Fi a first mover competitive advantage from the outset, with the longterm
advantage of a sustainable and sc alable business model.
6.1.2 Weaknesses
Although the management team has substantial experience in new business creation and industry
expertise in the target market, none of the members have successfully raised enough working
capital needed in order to grow a business such as Pie in the Sky Wi-Fi in an emerging market.
The stated exit plan is to build the business in a profitable manner and find a company to ac quire
it by 2008. In order to provide value and attain the stated exit plan it is critical that the
business grow as described in this document, stay focused on the businesses model and
successfully set up the business so that the equity holders are rewarded for their investment
should an ac quisition occur. Subsequently, none of the members of the management team
have successfully sold a business previously.
To mitigate the risk of these weaknesses, the management team has elected key individuals to
participate on the Board of Advisors. This Board of Advisors is set up to fill any perceived
management gaps in order to ensure the long-term success of this business plan. The Board of
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. . ppor un es
Our focus is on owners and managers of commercial and residential property, with an emphasis
on private networks for businesses. Although Wi-Fi has started bec oming mainstream in the
form of public "hotspots," there is a largely untapped opportunity to introduce Wi-Fi as the new
standard in c ommercial and residential property, particularly in multi-tenant dwellings and business parks.
However, a secondary opportunity will come from the current rac e to create a blanket Wi-Fi
network ac ross the U.S. Many companies right now are trying to cover the entire U.S. with
their technology and brand in the form of public hotspots. With our network in plac e, Pie in the
Sky Wi-Fi will be well-positioned to fill in the gaps in this network, through partnerships with
many of these aggregators. The fac t that Pie in the Sky Wi-Fi is solely focused on non-public
hotspots, on private businesses with the ability to broadcast to potential public hotspots, makes
the company a strong strategic ac quisition for one of the many aggregators currently in the
market.
6.1.4 Threats
Because of the current demand and increasing popularity of Wi-Fi installations, many new
businesses will enter the marketplac e, increasing the competition. This will drive additional
investment into the market and create additional competitors which will directly compete with
Pie in the Sky Wi-Fi. Fortunately, the market opportunity is still in its early stages, so our firstmover
advantage, coupled with our plac ement as a partner to aggregators and sufficient equity
investment should keep the possible threats to a minimum.
6.2 Value Proposition
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ways o eren a e emse ves n a c u ere mar e . recen ren or many commerc a
property owners has been to provide additional services such as finished office space,
including broadband Internet ac cess, finished office space and even office furnishings like
conference tables and office chairs. According to Michael Belka, Senior Vice President of
management and leasing at Unico Properties Inc., "it¶s all about standing out in a cluttered
market. With so much space in the market and few potential tenants, it bec omes more important
to differentiate your space."
Pre-built or "speculative" office suites suites offer a fast solution for tenants needing space right
away. A tenant with only a month or two to find an office for a start-up business, or one who
needs to relocate quickly, is much more likely to choose a pre-built suite with full amenities
than to contrac t for renovation of an existing space.
Pie in the Sky Wi-Fi offers property owners that extra edge in a competitive market, and offers
ISPs a reliable partner in meeting the demands of an increasingly wireless customer base.
Why Wireless:
· Secure
· Lower costs
· Value added
· Quicker ROI
· Competitive advantage
· Low Impact
· Hands-off management
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· ecur y
· Guaranteed uptime
· User support
· Network administration
· Network monitoring
· Reporting and usage statistics
· Scalable and flexible
· Lower cost
6.3 Sales Strategy
Due to the competitive nature of this rapidly growing market it is necessary to expand and
market Pie in the Sky Wi-Fi services through the use of independent contrac tors. This will allow
the company to expand quickly without the added cost and liability of adding employees inhouse.
These positions will be paid 10% of the initial set-up and a 10% recurring fee based on
the recurring revenue collected on a monthly basis. These contrac tors will solicit residential
and commercial business through various forms of contac t, i.e. telephone, personal contac t,
networking groups, etc. All of these independent contrac tors will report directly to Mr. Jones
until a regional manager is established in the area.
Pie in the Sky Wi-Fi will rely on these reps to provide information about the service to both the
initial client (landlords, municipalities, etc.) and the end-users. The Commercial division has a
longer sales cycle than the Residential division, due to the contrac t situation of current
tenants with their existing wired Internet providers. Commercial ac counts are plac ed into a
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The core sales focus, regardless of sales cycle, is equal ac ross all three divisions. Each
division will be set up quickly and simultaneously. The company will begin with independent
contrac tors dedicated to these divisions within the specific markets. Although Pie in the Sky Wi-Fi is a
nationally focused company, eac h division will be rolled out using a staged approach,
entering region by region for maximum efficiency in installations and sales management.
Rollout started in Oregon, and will begin shortly throughout the northwest, launching a new state
no later than every two months, while keeping contrac tors within their specific divisions. This
staged rollout will be ac complished strategically by separating the nation into 6 individual regions
consisting of the Northwest, Southwest, North Central, South Central, North East, and South
East. The regional breakdown or "footprint" described is illustrated in greater detail in Appendix of this
document. The goal is to hire a spec ific regional manager to oversee these specific
territories, their businesses, and their contrac tors as the states in the regions bec ome ac tive.
Mr. Jones and Mr. Smith will kick off the business the week of Jan 26, 2004 with initial sales
calls. They will begin actively pursuing business within all 3 divisions while recruiting
independent contrac tors to seek customers within the territories. Since the county in which
we are based is somewhat of an anomaly when it comes to the adoption of new business and
technology, the founders will not be deterred by the lac k of ac ceptance in the local market. The
opportunity for this business model is far greater than one individual market; although the
business is based in one location, rapid movement into new markets will be essential to grow
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e w emp as ze e s a van ages n par ner ng w us
· First, we can help them fill the current void in the marketplac e by providing a product/
service previously unavailable to them
· Second, when they sell Pie in the Sky Wi-Fi services, we will compensate them ISP, as
well using the ISP as the primary connection provider. This will solidify the clients'
dependency on that ISP's connection, giving the ISP a competitive advantage and
increasing the revenue generated.
The ISP resale program ac counts for 50% of the overall business, so making inroads in this area
is vital to the overall success and sustainability of Pie in the Sky Wi-Fi.
6.3.1 Key Account Management
The Executive Management Team will handle key ac counts in the beginning; these key
ac counts will consist of ISPs, Competitive Local Exchange Carriers (CLECs), hardware
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e n e y - s sa es o ec ves are o reac as many u ng owners an opera ors
throughout North America as possible, quickly and for the least amount of capital outlay. The
sales department will grow and manage as many capable independent contrac tors as
possible, while maintaining the high level of quality service and the good reputation of Pie in
the Sky Wi-Fi in the marketplac e. Dedicated management and oversight of these contrac tors is
critical to the success of the company as a whole.
Each territory is split up by spec ialty and certain metropolitan boundaries will be defined as
eac h location is added to the sales team. The area in which the reps will be working will
determine territories. Within eac h of territory, the company will simultaneously target both the
commercial and residential divisions to gain maximum market share and market penetration as
quickly as possible.
Sales growth shown in the table and chart below is based on solid industry data, as outlined in
the Market Analysis.
Using the average install cost of $10,000 in gross income with a monthly management fee of
$1,500, total sales of $586,750 should be easily attained for the first year of operations. Cost
of Goods includes all up-front costs assumed by Pie in the Sky Wi-Fi for installation of base
stations. Costs for these installations are averaged out into the prices for all customers. Monthly
details for the first year sales forecast can be found in the Appendix.
Pie in the Sky Wi-Fi
Table: Sales Forecast
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Monthly - Enterprise Plan $124,500 $936,000 $2,859,000
Monthly - ISP Plan $62,250 $468,000 $1,429,500
Total Sales $586,750 $2,724,000 $7,408,500
Direct Cost of Sales Year 1 Year 2 Year 3
Enterprise Plan Revenue $120,000 $396,000 $936,000
ISP Plan Revenue $120,000 $396,000 $936,000
Monthly - Enterprise Plan $66,400 $499,200 $1,524,800
Monthly - ISP Plan $0 $0 $0
Subtotal Direct Cost of Sales $306,400 $1,291,200 $3,396,800
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the business plan
priorities
in plac e. Responsibility
for implementation fall
on the shoulders of the
founders fairly equally
in
the first year. This
Milestones Table below
will be updated as the year progresses using the
ac tual tables. New milestones will be added as the first year of operations commences.
Milestones
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Long-term loan begins 7/1/2005 7/15/2005 $0 ABC Department
Hit break-even 9/1/2005 9/30/2005 $0 ABC Department
Interviewing for Sales Team 6/10/2005 10/15/2005 $0 ABC Department
Sales Commissions reach
$10,000/month
12/1/2005 12/31/2005 $0 ABC Department
Totals $0
6.5 Competitive Edge
Pie in the Sky Wi-Fi is targeting the 4.25-billion-square-foot commercial office market, the even
larger multi-family housing market, the nation¶s independent trucks stops and travel plazas, as
well as all the ISPs currently providing Internet connectivity throughout the world. The focus is
on expanding our customers' available services by providing value-added features in the form
of wireless Internet ac cess to their current services or properties.
Wi-Fi providers are a part of a very fragmented market, with many players all trying to find
their niche. Currently there is a rac e going on to create public hotspots in an effort to control
a nationwide network. Although this may be a sound business model in the long-term, Pie in
the Sky Wi-Fi does have the desire to provide these services, nor does it have the resources
to compete against the major players at this level. Currently there are a few major providers
making a name for themselves in the public hotspot arena, but this is a very speculative and costly process.
These ac cess points are dependent upon subsc ribers signing up for a monthly
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ns a a ons. s mo e g ves us a uge a van age over our compe ors, w o are ocuse on
creating geographical coverage, and then have to find ways to sell this existing utility to endusers,
one by one.
For example, MobileStar Network Corp. filed for bankruptcy bec ause it couldn't sign up enough
customers to cover the cost of building its wireless network. With dozens of companies in
every city chasing the same market, few people have been willing to pay for the service,
which c osts about $30 a month. According to analysts, MobileStar was paying large fees to
put their service in Starbucks locations, with no clear return on investment.
Since Pie in the Sky Wi-Fi is a wholesale provider of Wi-Fi networks, a new location is not
installed until the hardware and installation costs are paid for, plus a 40% margin. Once installed,
the wireless feed is provided and managed by Pie in the Sky Wi-Fi, but the individual who
requested the network to be installed is responsible for the promotion and user participation of
the network. Since the business model does not depend on individual users subsc ribing to the
network, the risk/reward proposition is maximized. It is more effective to sell and maintain one
large client and get paid up front, than depend on multiple users sold individually while covering
the costs up front. This will allow us to be profitable from the outset and outlast our
competitors, so we are well-positioned when the consolidation of the market occurs in 2008 (see
exit strategy for additional details).
6.6 Marketing Strategy
Although Wi-Fi has been around for a while, it has just recently bec ome known to the general
public and many property owners are still unaware of what it is, much less how it can positively
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examp es o e exp ana ons are nc u e e ow n a es era ure.
6.6.1 Distribution Strategy
Residential Division:
The residential division will have specific reps targeting apartment buildings, condos, residential
developments, and upper end housing developments with an owners' association. The CRO will
establish and define territories prior to hiring representatives.
Commercial Division:
The commercial division will include specific reps targeting Commercial buildings, such as office buildings,
industrial parks, and general large-scale businesses and office buildings. Although
"hotspot" implementation is not the primary focus, these may be a residual benefit as these
commercial footprints are established.
ISP Division:
The ISP division will be handled in the beginning by the Executive Management team. However,
as Regional Sales Managers are employed, the responsibility for generating these ISP ac counts
will be transferred to them.
6.6.2 Marketing Programs
The primary outlet for announcing information about the company will be through the use of
press releases distributed on the AP wire and through our website. The company will utilize PR
Newswire in order to promote news and updated information about Pie in the Sky Wi-Fi on an
ongoing basis. The cost associated with the distribution of each press release is minimal when
compared to the credibility and promotion these releases can produce.
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Wi-Fi allows individual users to connect to the Internet via a high-speed connection without
being tied to a phone line or broadband c able. With recent advancements in Wi-Fi technology,
the speed, security and reliability are on par with traditional wired connections. Wireless
connections have several advantages over traditional wired ones, including the low cost to
connect large areas and the spatial flexibility of locating desktop or laptop computers within
the connected area. As described earlier in this document, the cost savings in the first year
alone could amount to more than $100,000 when compared to a similarly configured network.
User Benefits
The benefits of a wireless network are still being realized every day. Some of the many exciting
benefits of Wi-Fi are:
· Freedom from wires
· Mobility
· Quick and unobtrusive network rollouts
· Lower cost than fiber or wired networks
· Easy to network many computers and appliances
· Available where cable and DSL are not
· Lower cost phone system, compared to switch phone networks
· Connect multiple buildings/locations efficiently
· Increased worker productivity
· Quicker return on investment
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The pricing structure for all installations is based on the direct hardware and installation
costs for eac h particular site plus 40%. For the purposes of this plan, we have based our
direct costs on an average 30,000 sq. ft coverage area. With the 40% markup on materials,
installation and hardware, the company is assured positive variable margins on any job before
it begins. The monthly fee charged will be based on the number of users on network:
· 0 ± 30 users = $1,500 a month
· 31 ± 50 users = $1,750 a month
· 51 ± 100 users = $2,000 a month
· 100 + negotiable
This pricing structure is intended to be competitive with the current fees incurred for
traditional networks. Because of the remote management feature of the Pie in the Sky Enterprise
system, the cost savings compared to an on-site managed network is significant. For a
detailed customer ROI analysis, please refer to the Target Market Segmentation Strategy
topic, above.
6.6.5 Promotion Strategy
Our marketing objective is to quickly and aggressively establish Pie in the Sky Wi-Fi's wireless
"footprint." The executive management team will employ a low-key educational approach.
1. First we will introduce Pie in the Sky Wi-Fi to the potential prospec t, setting an
appointment to disc uss Wi-Fi and how it might benefit the prospec t.
2. We will gain buy-in from the prospec t, then do a site assessment of the location to
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. e w en presen e s e assessmen an e e a e cos ana ys s or aunc ng a
wireless network.
6. The rep will close the prospec t, write up an order form, and establish an installation
timeline together with the property owner.
7.0 Management Summary
The Pie in the Sky Wi-Fi management team was put together spec ifically for the purpose of
building Pie in the Sky Wi-Fi aggressively. This team has worked together for some time
in other capacities and can quickly adjust to maintain c ontrol, competitiveness and an undying
desire to ac complish any challenge.
In addition to the diversified and competent management team, we have created a Board of
Advisors in an effort to lend additional experience and expertise to the company. These
individuals are not employees of the company, but rather an advisory group selected by the
management team in order to assist with the execution of the business model moving forward.
Members of the advisory board were selected for their industry knowledge, experience and
general interest in assisting the company succeed.
[Proprietary and confidential information has been removed.]
7.1 Personnel Plan
Salesperson/Reseller Recruitment
This is the great challenge, finding good sales people. Our ideal salesperson would be an
outside "employed" rep; however, bec ause of the nature of this beginning we are required to
start with independent contrac tors. Initially, we will use the CRO's pool of contac ts for
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n- ouse a es uppor a
As Pie in the Sky Wi-Fi grows and our sales team grows we will hire sales field assistants for
the regional managers; these assistants will work out of the corporate office, but will assist
regional managers in the field. We plan to hire up to five in-house sales staff in the first year.
Table: Personnel
Personnel Plan
Year 1 Year 2 Year 3
Officer 1 $35,000 $60,000 $75,000
Officer 2 $35,000 $60,000 $75,000
Officer 3 $35,000 $60,000 $75,000
Officer 4 $35,000 $60,000 $75,000
Sales/Support 1 $31,500 $42,000 $42,000
Sales/Support 2 $31,500 $42,000 $42,000
Sales/Support 3 $21,000 $42,000 $42,000
Sales/Support 4 $14,000 $42,000 $42,000
Sales/Support 5 $7,000 $42,000 $42,000
Total People 9 9 9
Total Payroll $245,000 $450,000 $510,000
8.0 Financial Plan
Pie in the Sky Wi-Fi's establishment requires an investment of $50,000 during start-up, which will
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over e rs ree years, we o a n s n a un ng. e us ness w reac e rea -even
point early in the second year, and begin to generate reasonable profits for a venture of this
kind.
After the first year, our Balance Sheet is quite positive. Our ratios will be good for the industry in
which we are operating - data communications services.
We do not plan to pay any interim dividends to founders or outside investors, by investment
will be bought out at the liquidity event described below in the Exit Strategy, when we sell to
a market consolidator. Our financial and sales plans are geared toward positioning us well for this
event.
8.1 Exit Strategy
The ultimate goal for Pie in the Sky Wi-Fi is to sell to a market consolidator by 2008. These
market consolidators may consist of larger companies such as telecom, cable or other utilities
looking to aggregate their services further or well-funded development stage companies formed
for the sole purpose of creating a large wireless network both public and private. Air-Q, a
development stage company, is a prime example of the type of aggregator currently in the
marketplac e that builds itself on the ac quisition of companies such as Pie in the Sky Wi-Fi.
2004 marks the beginning of a new market with the widespread application of wireless
applications across the world. While many large companies are still installing fiber networks to tie
major metropolitan areas together a cross their own proprietary network the "last mile" problem
still exists. It is far too costly to roll out fiber to eac h individual home and business, which c learly
give wireless ac cess an advantage long-term. With the upcoming adoption of the 802.16
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e y - w pos on se rom e ou se no on y o e an n us ry ea er n e -
marketplac e, but to make it known that the network and installations and going concern is
available for purchase when the market consolidators begin to look at expanding market share.
By 2008, we project that Pie in the Sky Wi-Fi will have over 2,000 installed wireless
applications under management with the rights and ability to increase the bandwidth and range
of the hardware at any given time.
The installed wireless network, coupled with the expertise Pie in the Sky Wi-Fi can offer a
larger company, will give an aggregator a competitive advantage in the marketplac e with a single purchase as
well as the ability to launch new wireless networks quickly and easily. Industry
analyses suggest that the wireless market will undergo a large market consolidation in the year
2008, with larger companies purchasing smaller companies such as Pie in the Sky Wi-Fi in order
to quickly expand their wireless capabilities with installed ac cess points. With both c able and
telephone companies competing for this same user base, we anticipate multiple potential bidders.
The larger telecom companies have already identified wireless as a solution to the cost
challenges in a competitive market.
8.2 Start-up Funding
The owners of the company will contribute $50,000 to begin operations in January. Although
we will need additional funding within the first year (see Cash Flow for details), this amount
should be enough to see us through the initial months, as we set up the office and begin to
hire staff.
Table: Start-up Funding
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Non-cash Assets from Start-up $0
Cash Requirements from Start-up $33,500
Additional Cash Raised $0
Cash Balance on Starting Date $33,500
Total Assets $33,500
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $0
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $0
Capital
Planned Investment
Owner $50,000
Investor $0
Additional Investment Requirement $0
Total Planned Investment $50,000
Loss at Start-up (Start-up Expenses) ($16,500)
Total Capital $33,500
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cus omer. e cos or s ns a a on s gure n o e os o oo s so .
Approximate costs used for planning purposes in this document are as follows:
· Per 100,000 square foot, outdoor installation (Travel Hub Application) = $4,100 w/o
base station
· Per 100,000 square foot, outdoor installation (Travel Hub Application) = $2,900 w/ base
station
· Per 100,000 square foot, indoor installation (Enterprise Application) = $5,500 w/o base
station
· Per 100,000 square foot, indoor installation (Enterprise Application) = $4,300 w/o base
station
Approximate pricing for each application is as follows. The price to the client remains the
same with or without the base station in plac e:
· Per 100,000 square foot, outdoor installation (Travel Hub Application) = $6,000 w/ base
station
· Per 100,000 square foot, indoor installation (Enterprise Application) = $4,200 w/o base
station
Accounts Receivable: The majority of the sales will be cash sales with approximately 25%
being sales on credit. We estimate, on average, AR collection in 45 days.
Accounts Payable: The average AP goal is no more than 30 days, with c ertain payments
occurring sooner to take advantage of disc ounts where applicable.
Tax Rate: Tax rate is estimated at 30%.
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pass s po n n ep em er, u y a po n n e year, we w ave re e u
complement of staff, and so the yearly average calculated in this table will not be enough to
ac tually break-even at the end of the year, with such high operating expenses. We anticipate
breaking even early in the second year.
Table: Break-even Analysis
Break-even Analysis
Monthly Revenue Break-even $69,714
Assumptions:
Average Percent Variable Cost 52%
Estimated Monthly Fixed Cost $33,309
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Table: Profit and Loss
Pro Forma Profit and Loss
Year 1 Year 2 Year 3
Sales $586,750 $2,724,000 $7,408,500
Direct Cost of Sales $306,400 $1,291,200 $3,396,800
Other Costs of Sales $0 $0 $0
Total Cost of Sales $306,400 $1,291,200 $3,396,800
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Depreciation $0 $0 $0
Sales Commissions $88,013 $408,600 $1,111,275
Payroll Taxes $0 $0 $0
Office Rent $10,500 $18,000 $36,000
Telephone $2,700 $4,200 $8,400
Internet & Utilities $5,600 $9,600 $14,400
Computer Supplies and Maintenance $15,000 $18,000 $36,000
Travel $22,500 $30,000 $60,000
Insurance $1,400 $2,400 $4,800
Misc. $9,000 $9,000 $9,000
Total Operating Expenses $399,713 $949,800 $1,938,045
Profit Before Interest and Taxes ($119,363) $483,000 $2,073,655
EBITDA ($119,363) $483,000 $2,073,655
Interest Expense $4,792 $8,572 $7,143
Taxes Incurred $0 $0 $0
Net Profit ($124,154) $474,428 $2,066,512
Net Profit/Sales -21.16% 17.42% 27.89%
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8.6 Projected Cash Flow
Cash flow is expec ted to be favorable,if we can obtain sufficient funding, as noted in the
table, below. It will be necessary to obtain outside funding for the venture two times during
the first year. We will need first-round capital of $100,000 as soon as possible in order to begin
operations according to the business plan; we have set the deadline for this funding at March.
The second round of funding will be needed if all the sales target and expense goals are met
ac cordingly. This is expec ted to be in the month of September and will need to be a minimum
of an additional $100,000. This will allow the cash balance to stay positive, despite a
negative net cash flow for the first 13 months of operation.
There are no dividends paid out during the operating period of the plan. Investors will be paid out
upon the liquidity event described in the Exit Strategy described above.
Table: Cash Flow
Pro Forma Cash Flow
Year 1 Year 2 Year 3
Cash Received
Cash from Operations
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8.7 Projected Balance
Sheet
After the first year, when we invest heavily in establishing Pie in the Sky Wi-Fi's staff,
contac ts, infrastructure and reputation, our Balance Sheet will bec ome increasingly solid.
Table: Balance Sheet
Pro Forma Balance Sheet
Year 1 Year 2 Year 3
Assets
Current Assets
Cash $138,080 $535,178 $2,535,555
Accounts Receivable $37,713 $175,081 $476,171
Other Current Assets $0 $0 $0
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Total Assets $175,792 $710,259 $3,011,725
Liabilities and Capital Year 1 Year 2 Year 3
Current Liabilities
Accounts Payable $73,586 $147,910 $397,150
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $73,586 $147,910 $397,150
Long-term Liabilities $92,860 $78,575 $64,290
Total Liabilities $166,446 $226,485 $461,440
Paid-in Capital $150,000 $150,000 $150,000
Retained Earnings ($16,500) ($140,654) $333,774
Earnings ($124,154) $474,428 $2,066,512
Total Capital $9,346 $483,774 $2,550,286
Total Liabilities and Capital $175,792 $710,259 $3,011,725
Net Worth $9,346 $483,774 $2,550,286
8.8 Business Ratios
The following table outlines some of the more important ratios from the Data Communications
Services industry. The final column, Industry Profile, details specific ratios based on the
industry as it is classified by the Standard Industry Classification (SIC) code, 4899.
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Accounts Receivable 21.45% 24.65% 15.81% 13.44%
Other Current Assets 0.00% 0.00% 0.00% 54.99%
Total Current Assets 100.00% 100.00% 100.00% 72.36%
Long-term Assets 0.00% 0.00% 0.00% 27.64%
Total Assets 100.00% 100.00% 100.00% 100.00%
Current Liabilities 41.86% 20.82% 13.19% 18.73%
Long-term Liabilities 52.82% 11.06% 2.13% 21.60%
Total Liabilities 94.68% 31.89% 15.32% 40.33%
Net Worth 5.32% 68.11% 84.68% 59.67%
Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00%
Gross Margin 47.78% 52.60% 54.15% 57.81%
Selling, General & Administrative Expenses 68.94% 35.18% 26.26% 34.36%
Advertising Expenses 0.00% 0.00% 0.00% 1.02%
Profit Before Interest and Taxes -20.34% 17.73% 27.99% 5.81%
Main Ratios
Current 2.39 4.80 7.58 2.18
Quick 2.39 4.80 7.58 1.76
Total Debt to Total Assets 94.68% 31.89% 15.32% 49.82%
Pre-tax Return on Net Worth -1328.46% 98.07% 81.03% 7.28%
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Accounts Receivable Turnover 3.89 3.89 3.89 n.a
Collection Days 42 57 64 n.a
Accounts Payable Turnover 6.33 12.17 12.17 n.a
Payment Days 27 22 21 n.a
Total Asset Turnover 3.34 3.84 2.46 n.a
Debt Ratios
Debt to Net Worth 17.81 0.47 0.18 n.a
Current Liab. to Liab. 0.44 0.65 0.86 n.a
Liquidity Ratios
Net Working Capital $102,206 $562,349 $2,614,576 n.a
Interest Coverage -24.91 56.35 290.30 n.a
Additional Ratios
Assets to Sales 0.30 0.26 0.41 n.a
Current Debt/Total Assets 42% 21% 13% n.a
Acid Test 1.88 3.62 6.38 n.a
Sales/Net Worth 62.78 5.63 2.90 n.a
Dividend Payout 0.00 0.00 0.00 n.a
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compoun annua ra e over e nex ve years
3. Parks Associates
4. wirelessnewsfac tor.com
5. January 2004 - Fast Company: Wireless in San Diego
6. US Department of Agriculture, Rural Development Rural Utilities Service: Hilda Gay Legg
7. Wall Street Journal, Building Owners Finish Offices to Lure Tenants, December 24, 2003
8. Wall Street Journal, Building Owners Finish Offices to Lure Tenants, December 24, 2003
9. See appendix I for region breakdowns
10. Wireless ac cess firms plac e Net bets, Yuki Noguchi, WASHINGTON POST 1/29/04
11. Peac e, Love & Wi-Fi, BY DAN O'SHEA, Telephony, Mar 18, 2002
12. http://doc.advisor.com/doc/11165
13. Unlicensed Broadband Wireless: Solutions and Applications, Parks Associates
14. Investor information available through Air-Q.com
15. Reality Wireless Networks, Investor Relations
16. Wall Street Journal, January 20, 2004. "Now Comes the Hard Part"
17. http://zdnet.com.com/2100-1105-983099.html
18. New happy hour, December 26, 2003 Silicon Valley/San Jose Business Journal
References:
Vantage Point (August 11, 2010); Vantage Point Intermarket Analysis Software
www.tradertech.com; Retrieved on August 11, 2010 from website:
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$49,600 $52,000
Other Costs of Sales $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Cost of Sales $0 $0 $0 $12,800 $13,600 $27,200 $28,800 $30,400 $44,800 $47,200
$49,600 $52,000
Gross Margin $0 $0 $0 $9,450 $10,900 $21,800 $24,700 $27,600 $39,950 $44,300 $48,650
$53,000
Gross Margin % 0.00% 0.00% 0.00% 42.47% 44.49% 44.49% 46.17% 47.59% 47.14% 48.42%49.52% 50.48%
Expenses
Payroll $0 $0 $0 $7,000 $7,000 $27,000 $30,500 $30,500 $34,000 $34,000 $37,500 $37,500
Marketing/Promotion 2% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Depreciation $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales Commissions 10% $0 $0 $0 $3,338 $3,675 $7,350 $8,025 $8,700 $12,713 $13,725
$14,738 $15,750
Payroll Taxes 15% $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Office Rent $0 $0 $0 $0 $0 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500
Telephone $50 $50 $50 $50 $50 $350 $350 $350 $350 $350 $350 $350
Internet & Utilities $0 $0 $0 $0 $0 $800 $800 $800 $800 $800 $800 $800
Computer Supplies and
Maintenance
$0 $0 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500
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($19,200) ($14,363) ($11,025) ($11,188) ($7,850)
EBITDA ($800) ($800) ($2,300) ($5,688) ($4,575) ($20,150) ($21,425) ($19,200) ($14,363)
($11,025) ($11,188) ($7,850)
Interest Expense $0 $0 $0 $0 $0 $0 $823 $814 $804 $794 $784 $774
Taxes Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Net Profit ($800) ($800) ($2,300) ($5,688) ($4,575) ($20,150) ($22,248) ($20,014) ($15,166)
($11,819) ($11,971) ($8,624)
Net Profit/Sales 0.00% 0.00% 0.00% -25.56% -18.67% -41.12% -41.59% -34.51% -17.90% -
12.92% -12.18% -8.21%
Table: Cash Flow
Pro Forma Cash Flow
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10
Month 11 Month 12
Cash Received
Cash from Operations
Cash Sales $0 $0 $0 $16,688 $18,375 $36,750 $40,125 $43,500 $63,563 $68,625 $73,688
$78,750
Cash from Receivables $0 $0 $0 $0 $2,967 $5,863 $9,392 $12,850 $13,975 $18,067 $22,088$23,775
Subtotal Cash from Operations $0 $0 $0 $16,688 $21,342 $42,613 $49,517 $56,350 $77,538
$86,692 $95,775 $102,525
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Sales of Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Sales of Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
New Investment Received $0 $0 $100,000 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Received $0 $0 $100,000 $16,688 $21,342 $42,613 $149,517 $56,350 $77,538
$86,692 $95,775 $102,525
Expenditures Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9
Month 10 Month 11 Month 12
Expenditures from Operations
Cash Spending $0 $0 $0 $7,000 $7,000 $27,000 $30,500 $30,500 $34,000 $34,000 $37,500
$37,500
Bill Payments $27 $800 $850 $2,921 $20,975 $22,744 $42,253 $45,324 $48,127 $66,030
$69,432 $72,835
Subtotal Spent on Operations $27 $800 $850 $9,921 $27,975 $49,744 $72,753 $75,824 $82,127
$100,030 $106,932 $110,335
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Long-term Liabilities Principal Repayment $0 $0 $0 $0 $0 $0 $1,190 $1,190 $1,190 $1,190
$1,190 $1,190
Purchase Other Current Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Purchase Long-term Assets $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
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Subtotal Current Liabilities $0 $773 $773 $2,223 $20,240 $21,339 $40,745 $43,740 $45,930
$63,719 $67,008 $70,297 $73,586
Long-term Liabilities $0 $0 $0 $0 $0 $0 $0 $98,810 $97,620 $96,430 $95,240 $94,050 $92,860
Total Liabilities $0 $773 $773 $2,223 $20,240 $21,339 $40,745 $142,550 $143,550 $160,149
$162,248 $164,347 $166,446
Paid-in Capital $50,000 $50,000 $50,000 $150,000 $150,000 $150,000 $150,000 $150,000
$150,000 $150,000 $150,000 $150,000 $150,000
Retained Earnings ($16,500) ($16,500) ($16,500) ($16,500) ($16,500) ($16,500) ($16,500)
($16,500) ($16,500) ($16,500) ($16,500) ($16,500) ($16,500)
Earnings $0 ($800) ($1,600) ($3,900) ($9,588) ($14,163) ($34,313) ($56,561) ($76,574)
($91,741) ($103,559) ($115,530) ($124,154)
Total Capital $33,500 $32,700 $31,900 $129,600 $123,913 $119,338 $99,188 $76,939 $56,926
$41,760 $29,941 $17,970 $9,346
Total Liabilities and Capital $33,500 $33,473 $32,673 $131,823 $144,152 $140,677 $139,933$219,489 $200,475 $201,908 $192,189 $182,317 $175,792
Net Worth $33,500 $32,700 $31,900 $129,600 $123,913 $119,338 $99,188 $76,939 $56,926
$41,760 $29,941 $17,970 $9,346
Industry Analysis
Module 1 ± A little bite about what an agent does in starting a business up overseas.
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everage t an a seven-year-o company.
The agent should be familiar with local cultures and business practices. It takes time to acquire an in-dept
understanding of foreign cultures and business practices in a market. The agent¶s special connection may be
necessary for certain products and services. In some countries, personal ties to persons in public office are
necessary in order to successfully conduct the business.
Agent¶s interest and Commitment
The agent¶s interest in the product and the agent¶s commitment of time and resources to the product are
important. The products suitability and competitiveness influence the agent¶s interest. New product inventions:
and designs and products that give higher profit margin attractions more interest from agents. In many
countries, a smaller company often devotes more time and attention to the product. Generally, the more
products an agent¶s represents, the less is the commitment of time and resources to each product.
I found in my research I know it talk about women in Business but you guys can get a lot out of this informatio
too.
Quantum Leaps releases The Roadmap to 2020 -- Fueling the Growth of Women's Enterprise
Development
Baltimore, MD, June 23 ± The Roadmap to 2020, an unprecedented collaboration of the nation¶s major women's business organizations and entrepreneurial thought leaders, was released today, launching a
comprehensive action plan to achieve exponential revenue growth and job creation among women¶s businesses
over the next decade.
³Roadmap 2020´ recommends nothing less than a paradigm shift in women¶s business development ± from
early entrepreneurial education to policy support to capital availability ± designed to enable the creation of at
least 6 million new jobs over the next ten years.
Quantum Leaps, the Women¶s Business Enterprise National Council (WBENC) and the National Association o
Women¶s Business Owners (NAWBO) jointly released Roadmap 2020 at WBENC¶s 11th Annual Women inBusiness National Conference and Business Fair before some 2,500 corporations and women business owners
in attendance. It was presented on behalf of the 10 women¶s business organizations and 20 companies that were
supporters and collaborators in the creation of Roadmap 2020.
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Competition in the industry: Cisco Security Solution Positioning and Overview:
For organizations of all sizes, public and private, that need to reduce IT security and compliance risk while
decreasing IT administrative burden and reducing total cost of ownership (TCO), Cisco provides best-of-breed
security in a systems approach. Unlike many security vendors who pursue a best-of-breed strategy, Cisco offers
the benefits of both a best-of-breed approach, combined with a systems approach. Cisco offers one of the
broadest and deepest product and services portfolios among its competitors, with channel partners who are
empowered to design and implement solutions customized to customers¶ unique requirements. Our strength is
evidenced by our history of security innovations since 1995; our security market leadership position in
firewalling, virtual private networking, intrusion prevention, and email security; numerous product awards; and
organizations across the globe who are using Cisco Self-Defending Networks to address their most challenging
business security concerns, from prevention of data loss, to defense against malware, to compliance with
regulatory requirements. A number of competitors want to serve the security market, but their offerings often
fall short of the comprehensive solutions required by today¶s demanding customers and offered by Cisco.
Degree of rivalry
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Canada (7) United States (108)
United Kingdom (16
The Netherlands (2)
United States (1337)
Canada (41)
Argentina (5)
Australia (15)
Austria (4)
Belgium (4)
Bermuda (1)
Brazil (9)
Belgium (1)
China (1)
Denmark (1)
Finland (1)
France (2)
Germany (1)
More Locations
India (1)
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95134
United States Phone: 408-526-4000
Fax: 408-526-4100
Toll Free: 800-553-6387
Rankings
y Dow Jones Global Titans
y #28 in FT Global 500
y #58 in FORTUNE 500
y S&P 500
y Dow Jones Industrials
y This is a little bite about a company name BT that is a supplier for Cisco Company and they have their own name as BT in Ireland. I just learned about it Saturday.
Cisco Systems, Inc. (NASDAQ (GS): CSCO)
Home Head Quarters in the United States.
170 W. Tasman Dr.
Bldg. 10
San Jose, CA 95134-1706 United States (Map)
Phone: 408-526-4000Toll Free: 800-553-6387
Fax: 408-526-4100
http://www.cisco.com
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y ARRIS
y Aruba Networks
y Avaya
y Belden
y Belkin
y Brocade Communications
y CA Technologies
y Check Point Software
y Ciena
y Citrix Systems
y Dell
y D-Link
y ECI Telecom
y Enterasys
y Ericsson
y Extreme Networks
y F5 Networks
y Force10
y Fortinet
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y Juniper Networks
y LogMeIn
y Meru Networks
y Microsoft
y Motorola
y MRV Communications
y NEC
y NETGEAR
y Nokia Siemens Networks
y Nortel Networks
y Novell
y Pace
y Polycom
y Riverbed Technology
y Sycamore Networks
y Symantec
y Technicolor
y Tellabs
y UTStarcom
y ZTE
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es gne or sma us nesses an consumers t roug ts onsumer us ness roup. sco gets a out a o t
sales in North America.
Cisco has used acquisitions more than 120 since 1993 to broaden its product lines and secure engineering
talent in the highly competitive networking sector. Though Cisco remains committed to investments that insure
the dominance of its core lines (switches and routers still account for about half of sales), many of the
company's recent acquisitions have moved it into new markets.
With the global recession apparently on the wane, Cisco signaled it is back in the M&A game in a big way
with its 2010 purchase of TANDBERG, a Norwegian competitor in the videoconferencing market. The $3.4
billion cash deal supplements Cisco's high-end TelePresence systems with TANDBERG's lower-end line, whicranges from PC-based conferencing capabilities to more sophisticated gear, less expensive than Cisco's
offerings. Upon completion of the transaction, Cisco formed a TelePresence Technology Group, which is
headed by SVP Fredrik Halvorsen, previously TANDBERG's CEO.
On a smaller scale, but potentially significant, Cisco bought CoreOptics, a German-American developer of
integrated circuits and optical network transponders capable of delivering high-speed data transmission rates.
The company paid about $99 million in cash and incentives to the shareholders of privately held Core Optics.
With global IP traffic projected to grow 40% per year due to high demand for cloud computing services, mobile
data services, and video streaming, Cisco could find plenty of applications for the CoreOptics technology. The
deal also boosted Cisco's presence in Europe.
In 2009 Cisco acquired Starent Networks for about $2.9 billion in cash. Starent specialized in systems and
software for wireless networks, helping satisfy global demand for more mobile access to the Internet. The
company became Cisco's Mobile Internet Technology Group, led by Starent CEO Ashraf Dahod, and part of
Cisco's Service Provider Business. Looking to build its consumer-oriented business, the company also bought
camcorder maker Pure Digital Technologies in 2009.
Of course with market breadth comes an abundance of competitors, and Cisco faces fellow giants and swift
upstarts across all of its market segments. It shares the Ethernet switch market with companies ranging from the
pioneering 3Com to relative newcomer Extreme Networks; Juniper Networks made aggressive moves to wrestl
market share in the core router market; and telecommunications leader Alcatel-Lucent is a formidable opponen
in a number of markets, including IP telephony, where Cisco also competes with Avaya.
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aerospace industry, and the government, the company in 1988 expanded its marketing to include large
corporations. Short of cash, Cisco turned to venture capitalist Donald Valentine of Sequoia Capital, who bough
a controlling stake and became chairman. He hired John Morgridge of laptop maker GRiD Systems as presiden
and CEO.
Cisco, whose products had a proven track record, had a head start as the market for network routers opened
up in the late 1980s. Sales leapt from $1.5 million in 1987 to $28 million in 1989.
The company went public in 1990. That year Morgridge fired Lerner, with whom he had clashed, and Bosack
quit. The couple sold their stock for about $200 million, giving most to favorite causes, including animal
charities and a Harvard professor looking for extraterrestrials.
With competition increasing, Cisco began expanding through acquisitions. Purchases included networking
company Crescendo Communications (1993) and Ethernet switch maker Kalpana (1994). Cisco also surpassed
the $1 billion revenue mark in 1994. In 1995 EVP John Chambers succeeded Morgridge as president and CEO;
Morgridge became chairman (and Valentine vice chairman).
Cisco entered the service provider market in 1996, when it introduced a line of customer premises
equipment (CPE) products. The following year the company broke into the FO RTUNE 500.
Cisco acquired several niche players in 1998, such as Precept Software (video transmission software) and
American Internet Corporation (software for set-top boxes and cable modems). That year Cisco's market
capitalization passed the $100 billion milestone, a landmark accomplishment for a company its age. In 1999
Cisco launched a new business line aimed at bringing high-speed Internet access to the consumer market. In its
largest acquisition to date, Cisco bought Cerent (fiber-optic network equipment) for $7 billion.
The company continued its acquisitive ways in 2000, snatching up more than 20 companies, including wireless
network equipment maker Aironet. With a market capitalization exceeding $500 billion, Cisco also enjoyed a
turn as the world's most valuable company that year.
The company's heavy investment in Internet protocol-based telecommunications equipment proved
costly when an industry-wide downturn slowed spending among telecom service providers in 2001. Chambersguided Cisco through significant rebuilding measures, including job cuts and a reorganization that aligned its
operations around core technologies rather than customer segments.
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.
The company's acquisition of cable set-top box leader Scientific-Atlanta for approximately $6.9 billion also
counted among its most ambitious moves. That deal, which closed in 2006, was the second largest purchase in
its history. (Cisco: paid $7 billion for optical networking equipment maker Cerent in 1999.) Cisco had long bee
an advocate of the convergence of technology behind data, voice, and television networks, and the acquisition
of Scientific-Atlanta made it one of the leading providers of the set-top boxes that cable service providers use to
deliver advanced features such as movies-on-demand. The company's acquisition of Scientific-Atlanta put it in
head-to-head battle with Motorola in the set-top box market.
Cisco spent more than $1 billion over three years to expand its operations in India, and in 2007 it unveiled $16 billion expansion plan for China, including investments in manufacturing, education programs, and venture
capital. Among its most significant purchases, the company acquired WebEx Communications, a leading
provider of Internet conferencing systems, for approximately $3.2 billion in 2007. Other acquisitions for 2007
included conferencing systems provider WebEx Communications ($3.2 billion), and network security specialis
Iron Port Systems ($830 million).
Cisco purchased Pure Networks, a developer of management software for home networks, in 2008. It also
acquired e-mail and calendar software maker Post Path. I have Pure Network on my computer and do
networking with it. Although, now I have a password on my network it and changed it often.
Comparison to Industry & Market
BT Ireland provides a wide range of communications networking and other IT services. The company provides
telephone and Internet services to consumers and it helps businesses and public sector agencies implement and
manage their data, voice, and wireless communications networks. Other specialties include managed services
related to call centers, network security, and network hosting. It has partnerships with such technology product
makers as Avaya and Cisco. Clients have included food and dairy products maker Glanbia, as well as Bank of
Scotland (Ireland) and Allied Irish Banks. BT Ireland, which operates from offices in Cork, Dublin, Galway,
Limerick, and Waterford, is a subsidiary of BT Group.
A Cisco Company is in Ireland Dublin, and there is one more company in Ireland selling Cisco Products. Butwhat I plan on bring in new connection in the Transportation Field to made it better overseas. Prosumers: which
is work from house basic business? Cell phones with new coming of technology we our coming up with in our
business Named Pie in the Sky is what I am going to called my new business and talk about some network idea
new one coming up. I will be talking about my Blackberry 9650 Bold and HTC EVO cells phones I have I just
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, ,
y Risk ± Diversify macroeconomic and operational risks
y Learning ± Growing learning opportunities through expansion
y Reputation ± Reputation through brand identification´
BT Communications Ireland Limited Executives
3 executives listed for BT Communications Ireland Limited's Dublin Ireland location.
Title
Managing Director, Northern Ireland
CEO
Head, PR
Competition in this BT company in Ireland.
Demand is driven largely by the construction needs of companies and governments and the desire of industrial
customers to improve the efficiency of operations. Profitability depends on the ability to accurately predict cost
for a project. Small firms, which can effectively compete with larger ones by having expertise in a particular
field, are often hired as consultants on larger projects if they have special expertise. Large firms are advantaged
in designing and managing large projects.
The other country in Ireland is:
³IONA Technologies PLC a little
bite about the company: Type:
Public Company
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. .Microsystems Inc.; Inprise Inc.´
Pie in the Sky Company Perspectives:
This is how I would like my company to be in Ireland and do some of this and be family owns business.
Enterprise portal technology is all about aggregating existing applications and web-enabling businesses, and Pi
in the Sky helps companies do just that. Pie in the Sky provides industry-leading organizations around the worl
with complete enterprise portal solutions through the Pie in the Sky iPortal suite, a comprehensive family of
products; our unbiased support for diverse Internet and non-Internet technologies; and our standards-based
portal assembly, configuration, and management tools
Potential of new entrants into the industry:
New Zealand is coming up with new ideas for technologies I show them later.
Power of suppliers: and what they can do with a new company after it is started:
Key economic factors influencing investment decisions include:
· The prevailing level of interest rates and availability of finance.
· Current and expected rates of general economic growth.
· Expected yield on investment (both long-term rental yield and speculative capital gains).
· Taxation treatment of building investment compared with other types of assets.
· Vacancy rates of existing building stock.
· The rate of replacement of aging building stock.
· Federal and State government fiscal al positions and capacity to raise debt.
· Trends in the public/private sector mix in the provision of health and educational services.
· Changes in the structure, distribution and size of the population.
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s opp ng pre erences patterns .e., c o ce etween out ques an comp exes ; popu at on growt rates an
catchment areas; and patterns in c consumptions expenditure.
Hotel construction is determined by: growth in international and domestic tourism; major cultural, sporting
entertainment, business events; growth in casino licenses; and existing supply of accommodation.
Power of Customers:
y ABM
y Apple
y Brocade
y Cisco
y FHLBank
San
Francisco
y Hess
Corporation
y Itron, Inc.
y Johnson &
Johnson
y National
Association
of Women
Business
Owners
y PG&E
y Redback
Networks
Sarah Lyu Consulting, Inc. promotes these benefits through custom services including:
y Program Assessment and Policy Development
y Strategic Sourcing and Supply Chain Management
y Metrics and Monitoring
y Reporting Tools and Processes
y Training and Education
y Outreach and Communications
y 2nd Tier Development and Spend Capture
y Certification Assistance and Diverse-status Utilization
y Make Me a Match!
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Intelligent business
matchmaking
Corporate Services
Custom solutions to
grow your supplier
diversity program
Diverse BusinessServices
Get certified as a
woman or minority-
owned business
Diverse Suppliers
Diverse Business Certification
In today's competitive marketplace, access to new business partners is critical. Delivering outstanding goods
and services means little if you are unable to connect with companies that need what you provide. Getting
certified as a diverse business can provide you with new access to potential clients, and SLC can guide you
through various certification processes, including:
y Minority-owned certification (NMSDC)
y Woman-owned certification (WBENC)
y SBA certification
y Supplier Clearinghouse certification
Diverse business status can be a significant competitive advantage because many public and private sector
corporations actively seek diverse business partners. The trend, however, is to rely upon third-party agencies to
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, become fixtures in the home environment. But the consumerization: of IT where new technology is adopted by
consumers even before it is introduced into the enterprise has changed the direction of technological innovation
In fact, many individuals today have more computing power in their homes than in the workplace.
While having a more efficient workforce is obviously a positive for businesses, the proliferation of not only
mobile, wireless devices but also connected devices in the enterprise creates security challenges for IT
departments. Unsupported laptops and smartphones (such as RIM BlackBerry devices, Google Android phones
and the Palm Pre), consumer devices (such as Apple iPods and iPads), and IP-addressable devices (ranging
from digital cameras to digital printers) are being pushed aggressively into the workplace by employees at all
levels, from recent college graduates to C-level executives. Users embrace new technology in their personallives and resist the idea that they can¶t use the same devices and applications at work even if their company¶s
security policy and the IT department enforcing these rules forbid it.
However, the trend toward consumerization of IT is not just about workers demanding that they be allowed to
use trendy new devices for business instead of bland, corporate-issued mobile phones or laptops. This is about
employees bringing a range of devices into the enterprise that they believe they must have access to for optimal
productivity. Consider what the average young adult (a member of the future workforce) will ³need´ to take to
college this fall: a laptop or netbook, a smartphone, an MP3 player, gaming console, digital video recorder,
video camera, and digital camera. And all these devices can connect to the Internet and more often now to each
other, as well.
The Mobile Device Onslaught
It was only a few years ago that the typical consumer or office worker had only one connected device and, in
most cases, it was a Microsoft Windows PC. But dramatic advancement in both communications technology
and consumer electronics means that we are living and working in an infinitely more complex environment
surrounded by a diverse range of devices that can easily connect to the Internet, to each other, and, quite
possibly, to your company¶s network.
IT groups struggle with mobile device management because there are so many devices in a variety of form
factors in employees¶ hands and with them comes an endless array of software platforms, mobile applications,and service providers.
Users also constantly switch devices to take advantage of the latest technology development. And inevitably,
they lose devices or allow them to be compromised or stolen. It would be ideal, of course, if IT could manage
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Enterprises can expect smartphones to be a primary focus for attackers because of their popularity and the fact
that they are becoming the productivity and communications device of choice for many workers. Infonetics
Research anticipates that smartphones will be the only mobile phone segment to post double-digit annual
revenue growth over the next five years. And according to Gartner, ³Most users in 2010 will use a PC as their
primary Web access device and their phone as a secondary access device. However, as take-up of smartphones
spreads globally, there will come a point in 2015 when the mobile phone will overtake the PC as the most
common primary device for Web access worldwide.´
To be sure, serious threats such as worms and malicious code are in the future for mobile devices. The first
iPhone worm, ³Ikee,´ appeared late last year, written by an unemployed programmer as a prank. It was a small-
scale incident: The worm targeted only Australian users with ³jail broken´ smartphones (phones modified to ru
unauthorized software), replacing the device¶s wallpaper with an image of 1980s pop star, Rick Astley.4 But
more sinister actions are likely not far behind: Researchers at Rutgers University recently warned of rootkits
that can undermine a smartphone¶s operating system and allow criminals to eavesdrop Devices and application
that are first adopted by users outside the work environment have made great inroads within businesses²but
not without raising tough questions about their impact on enterprise security. Use of technology that is not
supported by the enterprise may violate corporate security policies and may pose a risk to the organization¶s
compliance with regulations related to data security.
Many criminals will likely spend little time on individual users, though, and instead focus on
using their mobile devices as a way to gain access to corporate networks, compromise hosts, and
harvest sensitive business data. Cybercriminals are more focused today on overcoming network
security than simply defeating a device the goal is to get into the network and stay there for as
long as necessary or possible.
Mobile devices represent just one potential inroad into the network for that intent on doing harm.
There are more worries for businesses than smartphones: Every connection point is vulnerable
from rogue hotspots to insecure service providers, including webmail, application, portal, andcloud service providers. Complicating matters is that many devices are now capable of sharing
data with each other wirelessly, and with little effort on the part of users to make a connection.
Wi-Fi Direct technology, for example, built into many consumer devices now entering the
market, allows consumer devices to establish connectivity through Wi-Fi, other devices
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encryption technology that protects data flowing between Wi-Fi radios and access points, is
enabled on the network.
IP-Addressable Devices: Who¶s listening to Your Network?
The concept of a ³networked refrigerator´ that¶s connected to the Internet may seem like a
running joke among watchers of the Internet¶s infiltration onto a host of devices, but at a time
when cars with Internet-enabled dashboard screens are being introduced, the idea of more and
more business devices that can communicate on a network doesn¶t seem so far-fetched. And as
wireless devices beyond the usual desktop and laptop computers start connecting to corporate
networks, the threat window only grows: Criminals need to find only a single unguarded ³in´ to
begin snooping into a network.
It is not difficult to find the open doors. Wireless printers, for example, which are now
commonplace in the enterprise, can retain digital images a potential boon for data thieves. What
about the digital camera that can seek a connection, to a laptop that happens to be connected to a
corporate network? The camera and the laptop establish a wireless connection, making it
possible for the user of the digital camera to ³leapfrog´ directly into the corporate network. The
data being passed between wireless devices is also vulnerable, and could easily be hijacked and
used inappropriately.
The variety of endpoints that are capable of being connected, or are already connected, is
astonishing.
This interconnectedness will escalate, as will the effects it will have on our networks. In just a
few years, every door lock, card reader, video camera, vehicle, power meter, and light switch
will have an IP address at least in the business world. Therefore, from a security standpoint, it
will become increasingly important within the enterprise and within our homes (since many of us
are now mobile or remote workers, too) to segment and firewall different classes of devices in a
network.
Enterprises also should keep in mind that their ³smart´ office devices can be sources for data loss
in other ways no wireless connectivity required. For instance, data thieves may only need to
make a small investment in a few used digital copiers to reap a big return in their hunt for
sensitive data: An investigative report by CBS News showed how easy it is to retrieve tens of
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(including Cisco), is already stepping up this information sharing.
³When an advanced persistent threat (APT) attack occurs, many members are on the phone with
one another three times a week rather than for just their regular monthly teleconferences,´
reports Dark Reading. The council is also creating an online portal where members can record
data about attacks and threats, hopefully correlating information and sharing advice on defensive
tactics.
U.S. Government Update
Over the past year and a half, businesses of all types have been monitoring the Obamaadministration¶s progress on strengthening U.S. national cyber security, wondering how they
might benefit or perhaps be affected adversely by new rules and expectations set by the govern-
ment. They also wonder what they may be asked to change or provide to help the president meet
his ambitious goals.
There has been concrete progress on several fronts since President Barack Obama unveiled his
cyber security plan shortly after taking office in 2008. The administration remains focused on
cyber security issues, and it can be said that cyber defense in the U.S. government, and in the
country at large, is improving. There is increasing transparency, for example, with more
reporting of threats, intrusions, and hacking incidents related to unclassified systems. Just as inthe private sector, however, the threat of cyber-attack remains a significant issue for government.
Director of National Intelligence Dennis Blair, who stepped down from his post in mid-May,
highlighted the issue for the U.S. Congress earlier this year, indicating that the nation¶s computer
networks remain vulnerable to intrusion or disruption, and that criminals are stealing information
from the government and private sector every day. He told lawmakers, ³Malicious
Insight from the Security Researchers: Hackers Are Choosing Their Own Adventure
If you want to understand how today¶s hackers operate, think of a book that allows the reader to
select different storyline options to pursue at the end of each chapter. According to Cisco threatresearch manager, Scott Olechowski: ³They have a specific target in mind when they break
through the firewall. But once they are inside, they think, now, where else can I go from here?
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.
Scan Safe has been tracking malware encounters in highly sensitive industries for two years, and
its research has revealed perhaps, not surprisingly that companies in the energy and oil,
pharmaceutical and chemical, government, and banking and finance sectors are being targeted by
hackers and other cybercriminals seeking intellectual and corporate assets and government
intelligence. Targets for attack include executives and other key employees who have direct
access to this type of information.
Advanced Persistent Threats
Like the so-called ³sleeper cells´ that plague those who fight terrorism, persistent threats present
a danger to enterprises that have not implemented ways to identify and stop these security
challenges. Instead of constant, ³noisy´ attempts, persistent threats favor a ³low-and-slow´
approach. This type of exploit may center on malware that, once lodged in the network,
communicates only infrequently with its command-and-control networks to evade detection, or
uses social networks and other hard-to-filter means to communicate inconspicuously.
³Advanced persistent threats´ or APTs are launched by skilled attackers whose goal is to
cause severe economic disruption to the business and to gather intelligence in a targeted manner.
For instance, they may seek anything from competitive bids to natural resource contracts to
engineering documents.
Because these threats are designed to remain under the security-detection radar, the intruders
intend to return repeatedly to a specific target, stealing more information. These attacks are also
adaptive, meaning they will change tactics based on your defenses. This is not a ³smash-and-
grab´ crime it is a well-planned, long-term scheme to separate a business from its money or
intellectual property, or to gain competitive advantage.
The perpetrators of an APT launch their intrusion with the goal of stealing information perhaps
intending to sell it to a competitor. And when they want to gather more data, they don¶t need to
breach network defenses again, since they¶re already inside the network and presumablyundetected. ³Advanced persistent threats reinforce the idea that the current cybercrime landscape
is driven by business-minded, well-organized crime syndicates,´ warns Henry Stern, senior
security researcher at Cisco.
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, .necessary to detect APTs and stop data exfiltration, but they lack awareness of this threat¶s
existence, and therefore do not focus attention on them.
Enterprises¶ tools to detect APT infections on corporate networks include network monitoring,
egress filtering, and data loss systems in conjunction with base lining ³normal´ network usage,
outbound traffic log analysis, and data on the command-and-control nodes used as upload points
for data theft. These tools, used in combination, are keys to detection of the APT threat.
Market Analysis
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generat ng new ea s.
Table: Key Marketing Metrics
Key Marketing Metrics
Year 1 Year 2 Year 3
Revenue $1,595,000 $1,914,000 $2,296,800
Leads 38,100 50,000 80,000
Leads Converted 40.00% 40.00% 40.00%
Avg. Transactions/Customer 1 1 1
Avg. $/Customer $1,500 $1,500 $1,500
Referrals 127 130 130
PR Mentions 6 0 0
Testimonials 21 25 25
Other 0 0 0
Mailing Lists
Direct Mailings
Conferences & Shows - booth and Customer Loyalty Rewards Other
$0
$10,000
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$80,000
$90,000
Year 1 Year 2 Year 3
Annual Expense Budget
Appendix
Table: Sales Forecast Sales Forecast
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10
Month 11 Month 12
Sales eCommerce Solution 0% $30,000 $40,000 $50,000 $55,000 $65,000 $70,000 $75,000$80,000 $85,000 $90,000 $95,000 $100,000
Platinum eCommerce Solution 0% $30,000 $35,000 $40,000 $45,000 $55,000 $60,000
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, , , , , , , , , ,$9,500 $10,000
Platinum eCommerce Solution $3,000 $3,500 $4,000 $4,500 $5,500 $6,000 $6,500 $7,500
$8,000 $8,500 $9,000 $10,000
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Direct Cost of Sales $6,000 $7,500 $9,000 $10,000 $12,000 $13,000 $14,000 $15,500
$16,500 $17,500 $18,500 $20,000
Table: Marketing Expense Budget
Marketing Expense Budget Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7
Month 8 Month 9 Month 10 Month 11 Month 12
Mailing Lists $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000 $1,000
$1,000
Direct Mailings $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
$3,000 $3,000
Conferences & Shows - booth and attendance $15,000 $0 $0 $0 $15,000 $0 $15,000 $0 $0 $0
$15,000 $0
Customer Loyalty Rewards $0 $2,000 $0 $2,000 $0 $2,000 $0 $2,000 $0 $2,000 $0 $2,000
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Sales and Marketing Expenses $19,000 $6,000 $4,000 $6,000 $19,000 $6,000 $19,000
$6,000 $4,000 $6,000 $19,000 $6,000
Percent of Sales 31.67% 8.00% 4.44% 6.00% 15.83% 4.62% 13.57% 3.87% 2.42% 3.43%
10.27% 3.00%
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, , ,
Leads 100 200 400 800 1,600 2,000 3,000 4,000 5,000 6,000 7,000 8,000
Leads Converted 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00% 40.00%
40.00% 40.00% 40.00%
Avg. Transactions/Customer 1 1 1 1 1 1 1 1 1 1 1 1
Avg. $/Customer $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500 $1,500
$1,500 $1,500
Referrals 0 0 1 2 4 8 16 16 16 16 24 24
PR Mentions 2 0 0 0 0 0 2 0 0 0 2 0
Testimonials 0 0 1 0 2 0 3 0 4 0 5 6
Other 0 0 0 0 0 0 0 0 0 0 0 0
Appendix
Table: Gap Dashboard
Gap Dashboard
Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month
10 Month 11 Month 12
Personal
Add Health Insurace to benefit package 0 0 0 0 yes yes yes yes yes yes yes yes
Hire Two Additional Employees 0 0 0 1 0 0 1 0 0 0 0 0
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full-time writers and compensate them accordingly. As our subscriber base continues to grow, so
will the number and quality of articles submitted by students.
The Pie in the Sky has a range of possible recruitment and implementation methods including
the Internet; promotion via official college and university newsletters and magazines; with
business and entrepreneurial departments at other schools; and lastly, through friend and family
networking and support.
Target Market:
Subscribers of The Pie in the Sky will be motivated to gain exposure to the pulse of
collegiate America. The Pie in the Sky's target market consists of:
1. Business professionals who enjoy a multitude of information sources.
2. College students with business, finance, or marketing interests.
Competitive Advantage:
Our competitive advantage is twofold:
1. There is currently no other investment publication that taps into the collective collegiateintellect.
2. We will appeal to motivated college students who are frustrated with the lack of response
and organization of internship programs at large corporations.
y Our internship would be offered during the school year as well as during the summer.
y Because our internship would be performed electronically, students will not need to
relocate nor arrange for lodging.
The Pie in the Sky's uniqueness stems from its planned creation of an elite team of college students who embody America's most technologically savvy and dynamic generation of
youth. College students of today command more respect from business professionals and society
at large than ever before. With the incredible success stories of college entrepreneurs such as Bill
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Both founding partners, Julian Combs and Dr. Miro Smriga have unique resumes and
background experiences. They each bring to the table distinct personal qualities that will
complement one another as they manage and grow their business.
Dr. Miro Smriga is majoring in finance and is ranked in the top 5% of his class. His past
experience includes being mentored under the guidance of two hedge fund managers in Japan.
Dr. Miro currently serves as the Co-fund Manager of the Investment Club at school responsible
for approximately $400,000 in assets. Dr. Miro has been managing his own personal funds in the
equity markets since the age of 14. His future plans after graduation entail working in the
Investment Banking industry for a short duration and then attending graduate school.
Julian Combs is on track to receive a dual degree in finance and government. Julian, enrolled
in the Honors Program, scored a 1500 on the SAT exam and is currently ranked in the top 10%
of his class. While at school, Julian has been extremely active in the business arena and has
directed business-consulting presentations to the Credit Suisse First Boston investment banking
firm as well as BT Company and Iona Company in Ireland consulting firm already. Julian has
received over 30 prestigious awards in academics and athletics over the past few years. Julian
currently serves as the Co-fund Manager of the Investment Club responsible for approximately
$400,000 in assets.
The Offering:
We propose to offer a large minority stake in The Pie in the Sky in exchange for our desired
financing to cover start-up costs associated with promotion of our services, and business
infrastructure. We are open for negotiations.
Risks:
While any start-up company investment necessitates a high degree of risk, we are committed
to using any funds received conservatively and wisely. However, The Pie in the Sky is an
Internet company. We are an informational publishing company which provides services citingkey trends in various industries to our customers. We have decided to utilize the Internet for
distribution purposes because it is the most cost efficient method.
1.1 100 Word Summary of Business Venture:
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gain real business experience by allowing them to analyze companies and write about them
outside of the classroom.
Our objectives for growth in our subscriber base are as follows:
Year: 1 2 3 4 5
Service Subscribers: 500 1,500 4,500 6,000 7,500
1.3 Mission:
Our mission is to tap into the brightest young minds of today and tomorrow by empowering
them to research the trends, themes, and technological advances that are prevalent among
college students and decipher how these phenomena translate into the investing dynamics of the
stock market.
1.4 Keys to Success:
The following is a list of crucial steps in which we will take:
1. Recruit qualified college students from around the country and properly integrate their
research into our services plus college student already in Anyplace in Ireland.
2. Ensure that the content we publish is truly original and unique in all aspects.
3. Convince investors and interested readers of the quality and differentiated content of
our service.
4. Market our concept to institutional interests at the collegiate level and in business
to ensure that more than just individual subscribers endorse it.
5. Retain existing subscribers and persuade them to recommend our service to others.
6. Keep our costs minimized to ensure self-sufficiency and longevity in all operations.
Also a business must consider these things below in order to have success business.
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y Sales Representative Does the business hire a sales representative in the country where
it plans to conduct business? If your answer is ³yes,´ be sure to find a reliable sales
representative who doesn¶t have a conflict of interest between your product and another
product he represents. Very few sales representatives represent only one product.
y Exclusive Agency Does the business hire an exclusive agency to move only its product
excluding any of the current or potential competition? You really need to be a large
company or have a huge market for your products in order to handle the expense of an
exclusive agency. Very few companies use exclusive agencies.
y Non-Exclusive Agency Does the business hire an agency that specializes in a specific
industry? This type of agency will distribute many products to the same or different
locations. Again, you need to be certain the agency doesn¶t have a conflict of interest
between your products and another company¶s products.
³The business must consider in its business plan which of these distribution channels is the most
appropriate for distributing its products. Each must be carefully considered in order for the
business to choose the most cost-effective distribution channel.´(Paul Rux, 2010).
³Choosing the most effective method to trend is no easy task. There are many reporting
agencies producing trends in almost every industry known in business. There are trendingagencies advertising in magazines, others who publish articles that ³sell´ their methods, and
experts who almost always for ³a small fee´ are willing to share their insight in this complicated
business. A business plays a guessing game when choosing the best way to monitor trends.´
(Paul Rux, 2010).
Table: Sales Forecast
Sales Forecast
Year 1 Year 2 Year 3
Sales
eCommerce Solution $835,000 $1,002,000 $1,202,400
Platinum eCommerce Solution $760,000 $912,000 $1,094,400
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Table: Key Marketing Metrics
Key Marketing Metrics
Year 1 Year 2 Year 3
Revenue $1,595,000 $1,914,000 $2,296,800
Leads 38,100 50,000 80,000
Leads Converted 40.00% 40.00% 40.00%Avg. Transactions/Customer 1 1 1
Avg. $/Customer $1,500 $1,500 $1,500
Referrals 127 130 130
PR Mentions 6 0 0
Testimonials 21 25 25
Other 0 0 0
Mailing Lists
Direct Mailings
Conferences & Shows - booth and Customer Loyalty Rewards Other
$0
$10,000
$20,000
$30,000
$40,000
$50,000
$60,000
$70,000
$80,000
$90,000
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u ancom s ve.com
Paul Rux, August 11, 2010; Theme 1: Alignment of Cultures and Value Systems with Planning
And Managing Global Strategy Retrieved on August 11, 2010
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Paul Rux , August 11, 2010; Theme 2: Universal Values--a Basis for Business Cooperation
Across the Globe, Retrieved on August 11, 2010 from website
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Paul Rux, August 11, 2010; Theme 3:Techniques for Using Culture as a Basis for Planning and
Managing Global Strategy; Retrieved on August 11, 2010 from website
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
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± process works.
y Technological impacts of producing, marketing, and selling the product
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y Where would your manufacturing plant be?
The section includes information about the product components:
y Where are the components found?
y Where will the components be designed and assembled?
y How are the products distributed to a global market?
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.
y How do the regulations in this country affect the production, distribution, and sales of the
product?
y Is the political climate of the country stable?
y Is it reasonable to open up the business in this country?
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Create and include an Appendix ± This follows the Works Cited
Title Page ± This is already included in the template, but be sure it is filled out.
Executive Summary ± This is a summary of the entire document and is inserted before the
Module 1 addition to this document. The summary should read in an enticing way so the reader
will want to know more about where you are going with this expansion.
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Paul Rux, (2004) Theme 1: Module 1: Theme 1: Overview of Competitive Advantage
Retrieved on August 6, 2010; from internet website at JIU.
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Paul Rux, (2004) Theme 2: Theme 2: The Impact of Protectionism on Planning and Managing
Global Strategy: Retrieved on August 6, 2010; from internet website at JIU.
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Paul Rux, (2004) Theme 3: Factors for Beating Competition in Foreign Market, Retrieved on
August 6, 2010; from internet website at JIU.
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Paul Rux, (2004) Theme 4 Countries Considered as Key Drivers for Global Strategy in the
Future, Retrieved on August 6, 2010; from internet website at JIU.
http://courses.jonesinternational.edu/display.jkg?clid=22465&uid=12244&tpl=frameset
Porter Michael, (2010): Porter¶s Five Forces a Module Industry Analysis, August 7, 2010
From Website; http://www.quickmba.com/strategy/porter.shtml
The Roadmap to 2020, June 23, 2010 -- F ueling the Growth of Women's Enterprise Development
Retrieved on August 8, 2010 from websitehttp://www.quantumleapsinc.org/
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