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Principle of Management

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Principle of Management

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Apple Inc. Report

Core Business

1 Major products

Apple’s products focus on computers, mobile phones and other electronic devices. Its largest product lines are:

Mac: Personal desktop and portable computers include MacBook, MacBook Pro and MacBook Air.

iPad: multi-purpose device that can browse the web, sending email, listening to music, reading e-books…

iTune is a digital music management software that allows user to play, download and manage digital audio and video. iTune is integrated with iTune Stores, a service that has become dominating in the field of music distribution. With iTune Store, customers can find, rent, purchase or download third-party digital books, music, movies, games…

iPhone: Smart phones that combine mobile functions, widescreen and touch controls. With iPhone, a user can make and receive calls, browse the web, reading e-mails, playing games, searching maps… all with a single product.

iPod: Handheld products with widescreen and multi-touch user interface, act as media players for portable digital music.

2 Business generate most revenue

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Graph 1: Apple’s Sales by Product Lines, Data from Apple’s 2010 annual report.

According to Apple’s annual report filed on 10/27/2010, the iPhone series generate the most revenue for Apple in 2010, racking in $25,179 million, accounting for 39% of Apple’s total revenue. Revenue from Mac ranked the second, accounting for 27%, reaching $17,479 million.

In the long history, Mac was the product that brings Apple most revenue; however its role has been gradually taken over by iPhone. This can be viewed in the following Graph. Since the revenue from iPad only started to appear in 2010, I will only take in to view Apple’s three most significant product lines: Mac, iPod and iPhone.

[pic]

Graph 2: Product lines in Apple’s revenue, Data from Apple’s 2007 - 2010 annual report.

The proportion of iPhone in...

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