Essay about Apple Strategy

1710 Words7 Pages
Magical Apple Apple’s over-arching company strategy follows an innovative, mysterious and customer-centered strategy. One of the main reasons for Apple’s success has to do with their large commitment to satisfying customers while continuously innovating their products and design without creating a sense of “too much” or confusing their consumers through new operating systems. These goals, which create a unique and successful company, are achieved through the ways in which they use the five key strategic elements: arena, differentiators, vehicles, staging and pacing, and economic logic. The arenas in which Apple play have developed strategically alongside their products; inevitably, like most businesses, as Apple grew and their…show more content…
Once these ideas are thoroughly formulated and put into the hands of the engineers, due to Apple’s strategy of building upon already existing products, the development process is much quicker. Apple is very economically logical in terms of production as well as maintenance. Reuse, while saving time, also saves money through creating more reliable products and, therefore, less potential of breakdown and repair costs. However, when creating brand new products, such as the iWatch, Apple must start from scratch, requiring more initial investments to create a platform that can be built upon in the future. Apple’s move to create the iWatch is a reactive move, reacting to the development of smartwatches by other companies, and utilizing the second-but-better approach through observing competitors products and creating something better. Considering that Samsung has just come out with its third version of a smart watch and LG and Motorola have already stepped into the smartwatch game, Apple needs to enter in order to stay competitive in all areas of technological development (Gross, 2014). Since the idea of Apple creating a smartwatch has been floating on the surface for a while now, it will most likely come out with a bang and trump the already existing smart watches. Through this approach Apple was able to sit back and develop their product while observing the pros and cons of those emerging before them.

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