Industry Analysis: Apple Computers Essay

1956 Words Oct 26th, 2007 8 Pages
Industry Análisis: Apple Computer

1. Analyzing the computer industry from 1995 to 2005 seemed to be like analyzing a game of chest between the major competitors. The development is noticeable and the shaping of different corporate strategies could be sensed easily thanks to the different approaches toward the movement of the industry that the companies had; some of them shaped it, some followed it and some helped it grow. In order for us to analyze the computer industry during the up said time period, we will consider porter's five forces analysis, though static, it helps improve one's understanding of the setting and the conditions of such. Porte's five forces constituted the analysis of the new entrants to the industry as the
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Supplier's power, on the other hand, may be more of a barrier, for as Yoffie and Wang state: "microprocessors were the hardware brains of a PC", there for having a sole producer evidently create a great supplier power. Even thought through out the 1995 to 2005 time period there were more producers of this piece, Intel remained the market leader and Apple had a hard time competing but was not highly dependent on Intel microprocessors given that apple produced its computers from scratch. As far as the second most important piece of the computer, the operating system, Microsoft dominated the market especially after during 1995 to 2005 after the release of Windows 95 and its following versions. Ones again, Apple did not have a high dependency of Windows processing system, but had a hard time competing with it. Considering, supplier's power for manufacturers and most companies, except for Apple, is extremely.

As far as buyer's power, the PC buyers are segmented by Yoffie and Wang into four categories: 1) business, 2) Government, 3) Education and 4) Home. The business buyers represented around 60% of the PC industry, even so, we may not consider the business buyer as a very powerful one since (comparing to other consumers) it is the least cost sensitive, this not saying that the business buyer is not concern with price, but it is more concern with a combination of service an price and not just price. Apple's business
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