What Were Apple's Main Competitive Advantages?

Apple Incorporation is one of the largest organizations dealing into Information Technology. Apple has a host of products ranging from Laptops, Desktops, Mobile Phones and Multimedia Devices. The company has been extremely innovative in the field of multimedia and it owes it success to one of the greatest innovators, Steve Jobs. The company has always believed in innovation and that is the major reason why it has been so successful in the mobile phone segment. In recent years Apple is second only to Samsung in the Global Mobile Phone industry. However the operations have been largely based in the United States and in times of recession any organization needs to focus on economies of scale and thus focus on growth

A competitive strength assessment reveals that Apple’s success is unmatched. They have been able to maintain the leading industry position while developing and introducing new products. Stock price is continuously rising and products are always improving. The current products are improved with software updates and new products are improved by

Since 1976 Apple’s innovation has helped the company become a market leader in computer and mobile electronics. Through this time the company has faced a number of challenges either it be an internal power struggles or criticism from the media for certain aspects of their business model. This report covers five different issues that the company is facing or may face in the future.

Apple was established as an IT company dealing in exclusively in computers. However, competition in the technology sector forced the firm to focus on other consumer products. The diversification strategy has seen Apple’s sales grow tremendously in the last decade, earning the firm the No. 1 brand position at Forbes. The Apple brand is recognized on an international scale and enjoys a strong recognition thanks to its aggressiveness when it comes to creativity and innovation (Tar, 2013). It has a large number of loyal customers who would purchase the new products regardless of the market price, which guarantees profits from the new division.

Apple’s advertising focuses more on a lifestyle instead of a product and has helped create a cult-like loyalty among Apple enthusiasts.

The brand identity can used to drive and guide strategic initiatives throughout the firm, to differentiate the firm’s products and create a competitive advantage, to drive the committed to customer, to support the firm’s values and culture, and to support an easier protection of the brand (Danciu, 2010). Apple’s good brand identity strategy has provided supports to its unique position and its products in the global market. Apple has ranks as the top ‘Luxury Brand’ in China and many people are desired to own the products of Apple due to its luxury identity (Kedmey, 2015). Even though Apple has charge high prices for its products to customers, but customers are willing to buy as it provide innovative and better quality of products in terms of privacy, systems, application, and functions which easy to win the customer’s respect and loyalty. The distribution and retail strategy of Apple made it successful (Denning, 2011). There are four main distribution channels for Apple of its products, which are an online store, its retail store, direct sales, and third party wholesalers, which are easy to distribute its products to consumer. The store of Apple is intensive to control the ways that employees interact with customers, scripted training for on-site tech support, and consideration of every store detail down to the pre-loaded photos and music on demo devices. It also creates a carefree and

Apple Inc. has been dedicated to innovation ever since the company was first formed. Apple's recent breakthroughs were a result of a new technologies convergence upon the "digital hub" strategy (Mortensen, 2010). This strategy has served Apple well; especially during the last few years. The iPad, iPod, and iPhone were all born from this strategy. Furthermore, producing these innovative, user friendly, and design oriented products has earned them a considerable amount of customer loyalty.

Apple (NASDAQ:AAPL) is one of the world leaders in the research, development, marketing, sales and service of personal digital music & video devices, in addition to personal computers globally. Its' innovative music and digital content delivery service, iTunes, has sold over 1 billion songs to date. As of the close of their latest fiscal year the company generated $156B in Sales and generated a Gross Profit of $68B earning a Net Income of $41B (Apple Investor Relations, 2013). The intent of this analysis is to evaluate Apple's strengths, weaknesses, opportunities and threats (SWOT) and provide an analysis of each. The cause, impact and recommendations for each specific strength, weakness, opportunity and threat are provided along with an action plan of how to maximize strengths and opportunities and mitigate the effects of weaknesses and threats. The Apple brand is among the most valuable in the world and its ability to innovate with successive product generations unmatched, yet this has led to a high dependence on its iPhone and iPad platforms, to the exclusion of entirely new businesses. The Apple iTunes platform and ecosystem delivers 30% of all profits and a significant portion of overall revenue, making this single business a stabilizing force in their strategic product and services roadmap (Apple Investor Relations, 2013). Despite these challenges however Apple continues to attain

Image–Apple’s advertisements usually portray their products as being for younger customers and don’t present an image of compatibility in a corporate scenario.

Even though Apple has encountered many setbacks, it continues to bring new and improve products to the market. Apple’s competitive strategy has been innovation. They have made an extraordinary effort developing, implementing, and executing its very unique strategy through innovation which has resulted in new product, and the enrichment of the existing ones. More specifically, Apple attempts to meet and supply the needs of a global market, by offering eager and enthusiastic consumers with innovated and high-quality products and services. Apple has employed a differentiation strategy linked to innovation with its three core products (computers, personal media player, mobile phones, tablets and other accessories). A key piece of their strategy involves meeting the needs of the converging digital electronics and computer markets. Apple has elected to implement its strategy by designing and developing proprietary operating systems and software technologies, thus allowing for strict protection of its intellectual rights.

Apple has done an excellent job of developing a very distinct strategy through industry leading innovation. This strategy has allowed them to be the frontrunners in new product introductions and the improvement of existing products. Apple has employed a differentiation strategy in an attempt to meet the needs of a global market by offering customers innovative new products and improved existing products. An important part of their strategy involves meeting the needs of the evolving digital electronics and computer markets. Apple has chosen to implement its strategy by designing and developing its

Apple prides itself on offering innovative technology to a society that has become dependent on it. In markets inundated with companies offering similar products and services, Apple has had to rise above and distinguish itself from the masses. While their products have a cultivated a devoted-customer following (our family is one of them), their organization and the values it espouses are what will help them to remain a relevant and successful company in the tech world.

Nowadays, Apple has positioned itself to be an innovator in the personal computer industry and Apple has developed by offering modern products compared to its competitors. According to Apple’s mission statement last year, “Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App store, and is defining the future of mobile media and computing devices with iPad.” (Business Management,

Apple Inc. is known for their innovative products, combining user-friendly technology and elegant design, Apple’s bite of the consumer electronics market has been getting a little larger year by year. The Apple brand is fun, unique, and memorable because it is such a departure from brands that sound serious and corporate. Apple’s Macintosh computers has always stood out because it looks different from other personal computers and relies on software that even novices can learn. IPod backed by music-driven advertising, the player with the white ear buds immediately became the product of choice for many consumers. Newer models such as the iPod Nano and the iPod Touch have continued the

In its infancy, Apple Computer Inc. began with the Macintosh personal computer. The company was founded on April 1, 1976. The founders were Steve Wozniak and Steven Jobs. They incorporated the company in 1977, on January 3rd, in Cupertino, California. In the twenty years that followed, the company produced personal computers. Besides the Macintosh, Apple Inc. made Apple II, and the Power Mac lines. Although they lasted for decades, during the 90’s the company experienced some turbulent times with low sales and market share. Steve Jobs left Apple Inc. and came back in 1996 when his company, NeXT was purchased by Apple. In 1997, Jobs became the interim CEO. In later years it became a permanent position for him.