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Submitted By sandra97
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The nature of the market structure and demand of Cisco Systems is its business market which contains fewer but larger companies. For Cisco Systems, this implies that even though they have fewer clients than other companies, they still have a good and profitable relationship with their clients. For the customers of Cisco Systems, this implies that they will receive better and faster service and products because they don’t have to compete for the attention and service of Cisco Systems.
The business market is derived from final consumer demand which means Cisco Systems must know what the market demands from their business customers. For Cisco Systems, this implies that Cisco must depend on the final consumer market, in order for their customers to buy their supplies. This also means that Cisco Systems must also promote the products of their partner businesses in order to get the final customers attention and loyalty to their partners in order for them to get gain. For the customers of Cisco Systems, this implies that they would have to depend on their customers choices if they are willing to buy their product or not. The demand of the final customers would be the basis of the customers of Cisco Systems if they would ask for more supply from Cisco Systems or not.
The business market’s demand is more inelastic, which means that it is not affected as much in the short run by price changes. For Cisco Systems, this implies that they would not be affected that much and their production of the supplies and demand for the supplies would remain the same even though there are short run price changes. For Cisco Systems customers, this implies that Cisco Systems customers would not be bothered by the price changes ergo they would still buy the same amount of supplies, if demanded, from Cisco.
The demand...

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