Strategy of Apple Brand

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INTERNATIONAL BUSINESS STRATEGY OF PARENT COMPANY

When a firm decides to go international with their business they must face many competitive decisions. Two of the most important decisions a company will face are the pressures for cost reduction and pressures for local responsiveness. The pressure of cost reduction forces a firm to lower their value of the cost of creation. Firms can outsource to places where costs of their products are much cheaper or they can mass-produce a standardized product in one location. A firm must have the feeling of local representation. Every country has its own way of life. If a company does not adhere to each country’s differences in traditional business practices, distribution channels, and the demands
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Each electronic device is unique, allowing for them to be used anywhere in the world and each is different from any of its competitors.

Apple’s goal for a mobile business is to be fundamentally innovated and differentiable. It does not concentrate on the size of its industry because it maintains strong profit margins that have high percentages in the industry’s profit share. Apple does not focus on the quantity of its products but the quality and relevance. “. Peter Drucker wrote that “What makes the future happen is always a business’s embodiment of an idea of a different economy, a different technology, a different society. It need not be a big idea; but it must be one that differs from the norm of today”. This means defining what the devices are (e.g., a pocket-sized device, or a tablet-sized device), and what they do. Apple must do this through constant innovation.” Apple has secured itself as the industry innovator and a position of strength by constantly defining what their products are and what their products do. Since Apple is continuously redefining the industry, they do not need an overwhelming market share. Apple can dominate the market through their intelligence of inventing new electronics and the respect they have for their customers.

Apple’s basic business model is to sell hardware; every other product, iTunes, Apps, operating systems, is to make
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