Case Study Apple-Merging Technology, Business, and Entertainment
University of Maryland, University College
This paper was prepared for AMBA 640.
In the case study of Apple-Merging Technology, Business, and Entertainment, Apple transformed itself from a computer company with limited success to a major digital company with almost limitless potential and outstanding success.
Apple Inc. brings more than 35 years of mission management and problem solving ability to the digital environment. The computer and or digital industry is latent with slogans and catch phrases about its ...view middle of the document...
Identify the Problem, Opportunity and Symptoms
Steve Jobs saw the problem or did he simply see an opportunity and symptoms to address? According to Bill Halal, Apple’s success in today’s market did not come easy. Long before the success of the iPod, iPad, and iPhone and the great profitability associated with these high-tech wonder gadgets. Steve Jobs and Apple suffered a number of setbacks (Halal 2011). “Apple’s Pippin game player, the next computer, Apple TV, the Lisa Computer, the Newton PDA, and the Apple Mouse are just a few of the many products that are not well known because they were tremendous flops” (Halal ). These products caused Apple to fall behind Microsoft and brought many to question if Apple could survive as a company.
Not only did Apple survive it has sky rocketed to the top. How did Apple transform from merely surviving to a leader in the digital market space? Apple managed this metamorphous in the following manner:
➢ Business Model Adjustment
Statement of the Problem
The problem for Apple is staying relevant in the market. According to Tim Bajarin, there are six reasons why Apple is relevant and so dominating in the digital market space over the last ten years.
➢ 1. “For any product that is created the people who create it must want it for themselves.” Too often engineers develop products because they can. They tend to “drink their own Kool-Aid.” However, Apple took a different approach. The developers of the product were also the “user.” The developers came to the realization that the products they were designing were the very same products they could not live without (Bajarin 2012).
➢ 2. Easy to use drove innovation and ingenuity which help increase profits.
➢ 3. Keeping it simple drove the engineers and to stick with a very simplistic format for Apple.
➢ 4. “Offer great customer service and an in store experience that is second to none?”
➢ 5. “Apple only makes a product if it can make it better.” Apple did not invent the MP3 but made it better. Apple did not invent the smart phone but took it to the next level.
➢ 6. “Apple stays at least two years ahead of its competitors.” Speed to market is an Apple specialty (Bajarin).
Summary of Alternative Solutions
There is only one alternative solution for Apple. If Apple is to continue its run as the most successful digital/electronic company in the world it must stay relevant. Apple has built one of the most outstanding financial runs in corporate America (Gustin). With an amazing set of sales numbers over the last five years toping more than 365 million digital devices sold. It has amassed cash reserves of 110 billion U.S. dollars (Gustin). With its current success and recent win against Samsung, Apple is well-position to take the digital economy to the next great level. How will Apple do this?