Apple's Strategic Business Unit Analysis: Launching Apple iWatch

Apple Inc, best known as Apple is an American based global company that designs and sells electronics, PCs and computer software. The company was established in 1976 by Steve Jobs and Steve Wozniak and was incorporated in 1977. Some of the Apple’s best-known products are the Macintosh range of personal computers, iPod, iPhone, and iPad. By 2012, Apple reported to have more than 300 retail stores located in more than 10 countries in the world and more than 60, 000 employees on permanent employment, and about 2,800 on temporal employment. Despite the success the company, Apple has faced hard competition from other electronics manufacturing companies. The objective of this paper is to develop a strategic plan that will enable Apple improve its position in the personal computer industry. The paper will use Michael Porter’s forces; key success factors, SWOT analysis and the competitive strength to point out specific, workable recommendations that will allow Apple stay afloat and improve its position in the personal computer industry (Gamble & Marino 2012).

This additional elasticity in Apple’s business strategy shows its aspiration to conquer Dell, HP and Microsoft, done with a exceptional and groundbreaking mixture of digital media and personal computer creations.

Apple is a global company represented in many parts of the world, but born in the United States by computer wizards by the names of Steve Jobs and Steve Wozniak who founded the company back in 1976 (Capon, 2008). The organization deals with the design and sale of computer hardware, software and offers tech support to its customers. Examples of the hardware the company manufactures and sells include mobile phones, personal computers, iPads, tablets and iTunes with associated brands, like the MacBook and iPhones that represent Apple’s driving force towards its success. It is recognized as a brand leader in consumer electronics by the world in terms of quality and customer satisfaction and despite the wide product range, Apple manages each product in a distinct way that is a single business unit (Mittan, 2010).

In The Wall Street Journal, tech reporter Daisuke Wakabayashi (2014) describes how Apple is expanding its reach into the business market. “The iPhone has replaced the BlackBerry as the mobile phone of choice, as the iPad assumes tasks once reserved for PCs,” (Wakabayashi, 2014). Wakabayashi (2014) noted that “Apple is going mainstream” when it comes to the corporate world, and he profiles multiple large enterprises — including SAP, Nordstrom, and Cisco — that have rolled out iOS and other Apple devices to their

In this paper, I will discuss the types of projects that Apple has released and provide insight into future projects. Additionally, I will discuss the management practices and strategic objectives Apple applies towards these projects. Finally, I will break down the structure of Apple’s projects and discuss the key

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.

This paper is a business situation analysis of Apple, Inc. Apple a market leader in the consumer computer industry with products including desktop, laptop, and handheld computers, as well phones, media streaming, and now watches. A multinational company, Apple was founded by Steve Jobs, Steve Wozniak, and Ronald Wayne on April 1, 1976. They specialize in designing, developing, and selling high-end computers, software, and other electronic devices. Because of Apple’s broad product portfolio they compete with many different companies in a range of markets. This analysis will be conducted using historical information, a SWOT analysis, and portions of Porter’s Five Forces Model to understand its business strategies, impact within markets, products and services offered, corporate leadership, and future.

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.

Issue 02: Apple is a wildly successful company that generates billions of dollars in profits every year. This is one of the strongest examples of how a company with the right strategy, great products, a strong leader and the willingness to take some risks can become vastly successful. The market in which Apple is strong has intense rivalry for market share. Apple is challenged with staying ahead of its competitors and maintaining long-term relationships with its customers. In order to stay ahead of the competition Apple is forced to keep product innovation a top priority. I would maintain a Blue Ocean Strategy to market our product and maintain our competitive advantage (McGraw-Hill Irwin, Page 152). The company has a strong and loyal customer base which will allow Apple to concentrate the focus to highlighting the features of our products. I will not focus on what our competitors can and cannot do; I will focus the attention to the benefits of having Apple products. Strategic marketing campaigns highlighting the different uses and features of the popular iPhone and iPad will headline the campaign.

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

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 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,

This paper aims to highlight and discuss the major challenges and opportunities which Apple Inc. faces while bringing innovation in the four primary areas of its business operations; including product innovation, process innovation, marketing innovation, and organizational innovation. The major focus of the paper is towards discussing the combination of all these processes which this organization follows and the major challenges which it faces in the course of its innovation or change strategies. The paper concludes by summarizing the importance of innovation for Apple Inc. in the light of the whole discussion.

It is beyond all doubt that Apple Inc is one of the most successful and well-known companied all over the world nowadays. What’s more, the company is considered to be the leader of the industry The Apple products are of high quality and in high demand on all the markets. Apple services and stores are the gold standards for all the followers and niche players of the industry. Moreover, the majority of Apple customers are extremely loyal to the brands. Once they started using its high-technical products they keep doing it. At the same time the market share of the company is increasing constantly. Probably all the competitors are questioning what is the key to Apple Company’s success. It is important to note that the whole strategy determines the success of the business and the strategic analysis of the company can help to identify the main criteria. Thus, the object of the research paper is to develop a strategic analysis of Apple Inc, including its internal and external environment.