Case Study #2

Topics: Apple Inc., Steve Jobs, IPhone Pages: 5 (1616 words) Published: November 26, 2012
Case study # 2: The apple of your “I”

This case study will describe why Apple Inc. is a very successful company and has become the second largest public company in the world. It all started in the 1980's when Apple started producing home computers. This helped those who were full-time students and workers by also producing a particular computer, the Macintosh computer. However, in 1985 Steve Jobs lost against the Apple board, and because of the unfortunate negative outcome of the meeting, Steve found a positive outlook from the situation. He then founded another PC company called NeXT while Apple took a turn for the worst. In 1996 Apple reconnected with Steve and bought his NeXT Company and gained the technology that would later help create the MAC. The Apple bounce back was far from over though; Apple needed to step away from their comfort zone with the computer PC's and think outside the box in order to achieve the goal of being on top once more. How were they going to do so though? What changes and where? These were the types of questions that needed to be answered before that leap was taken.

Q1. Which of Porter’s four competitive strategies does Apple engage in? Explain.

Porter’s four competitive strategies are described as an organization that can focus on being the cost leader, or it can focus on differentiating its products or services from those of the competition. Further, the organization can use the cost or differentiation strategy across an industry or it can focus its strategy on a particular industry segment. Apple engages in better product/service across the industry, because Apple values their customer’s visits and loyalty. Apples retail stores have a very modern look to them and appeal to many people from young to old. Apple is always coming out with a better/newer product that can bring more customers in. Apple is constantly offering some form of a newer product every six months to a year. Apple is always on top of new technology that has come out and they implement it to their products.

Q2.  What do you think are the three most important factors in Apple’s incredible success? Justify your answer.

One of Apple’s successes is making sure that they value their customer’s and their opinions. The second one is always having the next big product that can do something that the last one couldn’t. For example, the difference between the IPhone 4 and the IPhone 4s. Apple included in the IPhone 4s a new feature called Siri. Siri is a voice recognition application that the user can ask almost anything and Siri will be able to not only understand it, but be able to search for anything on the internet.. It is thing The third one is making sure that their products are updated and ready to go before they put them on the shelves. They also are constantly updating their products that are out in the public. People who work on the sales floor for Apple make sure that they can help the customers out in every way by never saying “we can’t” or “no”. The reason one of their successes is the next big product is because of the example they give, “the iPod fed iTunes and created a growing customer base that was ripe for the iPhone”.

Q3. Steve Jobs passed away in the Fall of 2011. Until his death, he had been the heart and soul of Apple’s innovation. Today, 35,000 Apple employees continue onward in his absence. A huge question too many investors is whether the company can be successful without him. What is your opinion? What role did he play? How can Apple respond to his loss? Would you be willing to invest in Apple without his leadership? Why or why not? Apple can most definitely be successful without Steve jobs. Apple is a major brand that dominates the technology field. You have probably the most popular cellular device out now, with most major retailers selling the IPhone. Most major cellphone carriers now carry...

Cited: Kroenke, D.M. (2012). Using MIS. Saddle River: Pearson Education, Inc.
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