Apple Inc

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Apple Computers – Strategic Management

Strategic Management Report

By Jose Alexander Ros Lopera University of Lampeter

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Apple Computers – Strategic Management

Table of Contents

Introduction History TOWS Strategy Strategic Moves Licensing The Value Chain Operations THE Supply Chain Innovation(R&D) Marketing Differentiation Recommendations Conclusion References Bibliography Appendices

4 5 5 -6 6–7 7 8 10 10 12 13 14 16 18 18 19 21 24

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Apple Computers – Strategic Management

Executive Summary

Apple established in 1976 has transformed itself beyond belief, not only as accompany but also have impacted the whole world of technology with their products and strategy Apple as a learning organisation has learnt to deal with is weaknesses and threats and also taken opportunities using its strengths, their strategy is a more innovative and differentiated and stylish approach, they have changed from focusing on niche markets to a more broad one creating a paradigm shift regarding telecoms and music incorporation. A series of strategic moves and alliances have seen apple acquired and retrained knowledge, gaining experience and exposure to new markets, its alliances ie Microsoft has opened the door for apple to enter the business market with its PCs Apple has began to licence some of its products creating the sense that apple is capable to take on to business world with its Operating System and software packages, by opening retails stores apple have created brand awareness and have also incremented sales for more than 40% Its operations and manufacturing has been moved to China, an strategic move that see apple as one of the leaders in supply chain management, due to the way in which all products and parts get delivered to an assembly point, once they are assembled, get shipped to its various distributions points Within the value chain apple makes most of their money on Manufacturing, R&D (Innovation) and Marketing, these three set of activities are the key core competences for apple. Innovation has given apple the competitive advantage over its competitors, however the fact that apple remains very secretive and not opening to share its OS might become a huge hurdle to overcome. It remains to be seen what will happen in the next few years, but it looks like apple strategic decisions have placed them ahead of anybody else, generating revenues beyond anyone's expectations.

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Apple Computers – Strategic Management

Apple Inc. Strategic Management 1 Introduction The following report is based on the Computer giant Apple, a company that has transformed the way in which we see and use technology. The world today is not predictable in terms of technology and apple has demonstrated this by curving a market that was heading in one direction but by pure strategic management and well coordinated exploitation of resources at their disposal, apple has become one of the leader industries in computer technology shifting the conception of technology development for business industry only to a broader audience. Such has been this transition that apple is not only seen as a computer giant but as a fashion statement, it has become trendy to own an apple product, whether is for business activities or just for entertainment. Apple products are competing against other products in the market and very successfully have surpassed some and gaining terrain on its competitors, while overtaking others, acquiring more market share with their products. Appendix 1 Figure 1 demonstrates the percentage apple has acquired just in the Smartphone market in the US and Appendix 1 figure 2 the percentage in the same market worldwide

But what makes apple be so successful?, is it their (silly) logo, or is it their core competences, perhaps its people, or perhaps combination of their core competences with a business strategy very well executed, and how have they manage to survive in a market where cannibalization...
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