Apple Inc. An Analysis Of Business Strategy

1242 words - 5 pages

Running Header: APPLE INC. IN 2010

Apple Inc. in 2010 An Analysis of Business Strategy American Military University BUS620 16 February 2014

Running Header: APPLE INC. IN 2010 Abstract


Apple Incorporated is an industry leader and this piece will serve to address questions pertaining to Apple’s competition in the Personal Computer (PC), MP3, and smart phone market and how its strategy has evolved along with the evolution of the products. Threats and challenges that Apple faces as is moves forward are also identified. Finally a brief assessment of Apple Incorporated after the exit of Steve Jobs as its Chief Executive Officer and his effectiveness as a strategic manager. Keywords: ...view middle of the document...

Another way that Apple has ensured that they can complete in the evolving PC market is by recognizing the desire for a connectivity hub. The integration of a digital lifestyle into Apple’s product offerings supplied the platform for Apple to develop and control hardware and software- something unique to Apple and in which the company has consistently led in the industry (Pearce & Robinson, 2013). Steve Jobs influenced the culture of Apple’s product development and research and Apple continually serves to be at the cutting edge of PC technological advancements (Katzenback, 2012).

Running Header: APPLE INC. IN 2010 Drawing from the technology and integration of the connectivity hub, Apple created an interdependence between the base hub and the iPod and iPhone. Competitively, Apple has competed very strongly and successfully in the MP3 player market through continuously innovating the iPod design and relying heavily on the sleek and simple, intuitive design. By 2010, Apple controlled 70% of the MP3 market (Pearce & Robinson, 2013). Apple’s approach toward the iPod and iPhone is much more open than the Mac in that the ability to synch one’s device with Windows based operating systems and allowed for third party accessories (docking stations, external speakers) to be utilized with the devices. The willingness to open the brand, slightly, serves to not exclude the consumer and increases Apple’s ability to be competitive in the MP3 player and smart phone industry.


Specific to the iPhone, Apple changed the face and expectations of smart phones by fully integrating the touch screen technology and, again, by creating an intuitive product. Initially, iPhones were only offered through the wireless provider AT&T; a strategy that changed over time and ultimately created a broader market for smart phone consumers. The expense of the iPhone is greatly subsidized by specials and deals that are offered by service providers and is a similar approach to competitors in the industry. The game changer within the MP3 player and smart phone industry has been the advent of the App Store. The immense popularity of the free or inexpensive applications offered through the App Store serve to justify the expense of the iPhone (Pearce & Robinson, 2013). The Windows, Android, and Google -based operating systems continue to be competitors to the Apple App Store, however Apple continues to lead in the percentages of consumer interest. The threats that I see to the iPad and iPhone include the increasing quality and popularity of the Android system and the Android marketplace. While Apple has been an industry leader in

Running Header: APPLE INC. IN 2010 terms of sales and innovation, the Android system is also extremely popular and provides the same service to the consumer. Apple products are extremely...

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