The story of Apple Inc. started in 1976 and is a quite successful one. The chief character Steve Jobs just recently resigned as Managing Director of this multinational company.
These most recent news caused the apple stocks to drop which shows how much impact the cofounder Steve Jobs has on the company and its destiny.
Apple Inc. is an American multinational company, which provides personal computers, software and especially consumer electronics. Nowadays this company hired 49 400 employees worldwide.1 Additionally towards the end of the year 2010 the worldwide annual sales equal $65.23 billion1.
Apple Inc. has been so successful in these last decades thanks to its fresh, imaginative way to contemplate and do its business. This winning mixture of extraordinary products, great style and design, grand strategy, innovative marketing, inviting communications is basis of this papers analysis.
Apple owes its overwhelming victory in the last years to the IPhone and to the smart IPod and ITunes product combination. In the 5 years between 2003 and 2008 the Apple share value increased 25 times, from $7.5 to $180 per share.
In July 2008 prices, before the US Financial Crisis, Apple stock market capitalization was $160 billion. In January 2010 Apple shares topped the $210 mark. Just recently Apple was found to be the most valuable company of the world with share prizes of $373.
This simple number shows the immense success apple achieved during the past years. 2
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1 http://phx.corporateir.net/External.File?item=UGFyZW50SUQ9Njc1MzN8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1
2 http://flatworldbusiness.wordpress.com/flat-education/intensify/case-apple-inc/
Table of Contents
1. Introduction
2. Apple’s History & Products
3. Steve Jobs Role
4. SWOT Analysis
5. Porters Five Forces - IPhone
6. Pestel Analysis
7. Boston I Portfolio
Objectives & Core Topics
This paper aims to provide a comprehensive corporate strategy analysis of Apple Inc. by evaluating its historical development, market position, and the impact of leadership changes. The study investigates how Apple maintains its competitive advantage through innovation, design, and a unique product-software ecosystem, while addressing the challenges posed by a post-Steve Jobs era.
- Analysis of Apple’s corporate history and key product milestones.
- Evaluation of strategic leadership and the influence of Steve Jobs.
- Strategic environment assessment using SWOT and PESTEL frameworks.
- Competitive industry analysis applying Porter’s Five Forces.
- Portfolio management and market positioning using the BCG Matrix.
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SWOT Analysis
One of the best tools to analyze the current situation of Apple Inc. is a SWOT analysis. On one hand strengths and weaknesses present the internal situation of the company. On the other hand opportunities and threats can show the environment that influences the company.
Strengths - The core competence of Apple Inc is having a unique product. No other company has the same product ideas, which are well designed and user friendly. Furthermore no other company can provide a combination of marketing power and IT Products as Apple Inc, in fact the popularity of Apple increased tremendous in the last years. As a proof of this growth there can be used sales figures of 2010 were over 1.7 million of I Phone’s were sold. There are Internet information that products of Apple Inc. such as iPod, IPhone and IPad are the three most anticipated, most publicized and most successful products launches in the last decade. The popularity of these products is closely related to its features, designs and tools. For an example an IPhone 4 is a smart phone and multimedia device in one, can make video calling and had the highest resolution display resulting in stunning text image and video.
Summary of Chapters
Introduction: Provides a brief overview of Apple’s history, financial success, and the significant impact of Steve Jobs on the company's valuation.
Apple’s History & Products: Traces the evolution of Apple from its founding in 1976 through its major product launches, including the Macintosh, iPod, iPhone, and iPad.
Steve Jobs Role: Examines Steve Jobs' influence as a visionary leader and his role in establishing the marketing strategy and corporate culture that define Apple.
SWOT Analysis: Evaluates the company's internal strengths and weaknesses against external opportunities and threats in the technology market.
Porters Five Forces - IPhone: Analyzes the competitive intensity and the specific market dynamics surrounding the iPhone, focusing on barriers to entry and supplier power.
Pestel Analysis: Assesses the external political, economic, social, technological, environmental, and legal factors impacting Apple’s global operations.
Boston I Portfolio: Utilizes the BCG Matrix to classify Apple’s business units and evaluate resource allocation between products like the iPhone and iTunes.
Keywords
Apple Inc., Corporate Strategy, Steve Jobs, Innovation, iPhone, SWOT Analysis, PESTEL, Porter’s Five Forces, BCG Matrix, Market Share, Consumer Electronics, Product Development, Digital Lifestyle, Competitive Advantage, Brand Loyalty.
Frequently Asked Questions
What is the primary focus of this paper?
The paper provides a corporate strategy analysis of Apple Inc., examining how the company achieved its market success and assessing its future trajectory following leadership changes.
What are the central themes discussed in the study?
The central themes include Apple’s historical product evolution, the role of leadership in strategy, competitive environment assessment, and portfolio management.
What is the main research objective?
The objective is to evaluate Apple's strategic position through various analytical frameworks to understand how it sustains its competitive advantage in the consumer electronics industry.
Which scientific methods are utilized?
The paper employs strategic management tools including SWOT Analysis, PESTEL analysis, Porter’s Five Forces framework, and the Boston Consulting Group (BCG) Matrix.
What topics are covered in the main body?
The main body covers historical developments, the influence of Steve Jobs, detailed market environment analysis, and a classification of Apple's product portfolio performance.
How would you characterize the keywords for this work?
The keywords reflect a mix of general strategic management concepts and specific identifiers related to Apple’s product ecosystem and market positioning.
How does the author assess the impact of Steve Jobs' resignation?
The author views the resignation as the end of an era and emphasizes that Apple's challenge lies in maintaining its innovative momentum and charismatic brand identity without Jobs at the helm.
How does the report categorize the iTunes service within the BCG Matrix?
iTunes is classified as a "Cash Cow" because it holds a high market share in a mature market, allowing Apple to extract consistent profits to fund other high-growth "Question Mark" or "Star" products.
What risk does the paper highlight regarding Apple's product diversification?
The paper highlights that Apple's reliance on a limited number of products (e.g., only one smartphone model) represents a weakness that could limit the company's ability to serve all market segments.
- Quote paper
- Judith Zylla-Woellner (Author), 2011, Corporate Strategy for Apple Inc Company, Munich, GRIN Verlag, https://www.grin.com/document/207973
