Strategic Management Apple

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Apple Inc. Company Summary: Apple Inc. is an American multinational electronic company. It designs, develops and sells mobile communication and media services, personal computing products, portable digital music players and wide range of software products worldwide. Apple’s iPhone, iPod, iPad, MacBook, Apple TV, IOS and OS X operating software are the major successful products and services of late. It also sells and delivers digital contents and application through iTunes store, App Store, iBook store and Mac App store. The company was founded by Steve Jobs, Steve Wozniak and Ronald Wayne in 1976. Till September 29, 2012 the company had 250 stores in United states and 140 more store internationally. The headquarter lies in California,…show more content…
Porters 5 Forces: Michael Porter offers five forces model suggesting a company to craft strategy with the good understanding of the industry competiveness which help to make it attractiveness. (Schermerhorn, 2010. P146) Viewed through porters strategic framework Apple Inc. is a company with numerous advantage to prolong its strong growth and performance. 1. Degree of rivalry The degree of rivalry is extreme in technological world. However, Apple has outmaneuvered its rival by focusing on the user experience. Samsung, Apple’s most successful rival in tablet market has the market share of just 15.1% compared to the 43.6% of Apple. (BBC, 2013) However, in future Apple needs to seriously consider the growing share of Samsung over its sliding shares. Computer giant dell, Google, Microsoft are other strong rival of Apple in respective sectors. 2. Supplier Power Apple trademark helps to alleviate bargaining power of the supplier. Foxconn, Quanta computer Inc, Foxlink are the major supplier of Apple. Suppliers have to meet supplier responsibility at apple terms and conditions. (Apple Inc, 2013) 3. Buyer power Buyers in the industry have multiple choice to pick up. The features and applications of rival products in the industry are more or less uniform to Apple. For example; screen resolution, disk space, camera of the Smartphone are not very different. Hence, Apple has very little power relative to consumer. However, Apple brand persuade consumer to
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