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Checklist For Strategic Planning Apple Computer

2294 words - 10 pages

Checklist for Strategic Planning for Apple ComputerThis paper continues to discuss a strategic plan for Apple Computer, Inc. It covers the grand strategies, long term objectives, interviews, SWOT analysis and Porter's Five Forces analysis.Grand StrategiesApple Computer serves a niche market for education, consumer, and professional markets. Low-cost leadership, according to former CEO, John Scully, was lost to Apple in the 1980s when he made the decision not to switch to the Intel microprocessor (Lettice, 2003, par. 1). Since that time, Apple and IBM jointly developed the Motorola PowerPC microprocessor, which has technical differences from the Intel processor that some claim to be ...view middle of the document...

Apple should double its efforts to combat this perception.Product DevelopmentApple has shown its ability to develop new products, such as the recent introduction of the iPod and Apple music store, which are compatible with Windows. With a continuing product development strategy, using software and hardware development strengths, Apple should develop products that compensate for weaknesses and capitalize on strengths.InnovationA strategy incorporating innovation is perhaps the most important strategic decision for Apple. While the Newton personal digital assistant serves as an example of Apple's failure to successfully profit from innovation, the vast PDA market is testimony to this innovation. As indicated, Apple should apply innovative pressure to increasing compatibility with other hardware and software solutions, such as the distributed computing market.Long Term ObjectivesApple's Long Term Objective is to grow its market on the Motorola PowerPC platform by offering innovative and leading edge products that showcase their distinctive appearance and ease of use. It should focus on retaining its share of the education, consumer, and professional markets.Apple should increase its promotion and creation of Wintel-compatible products such as the iPod and Apple music store to gain a diverse share of the market. These products, like their flagship Macintosh product, substantiate its branding as innovative, ergonomic, and thought leading.InterviewsA recent discussion with Steve Jobs focused on several points with regard to Apple Computer and the technology industry. Strategically, Jobs believes that the company has and will continue to be innovative with regard to products such as the iPod. The success of the iPod, according to Jobs, has added a 40 percent increase in product distribution (Jobs, 2003). Jobs recognizes that the days of innovation are far from gone and cites companies like eBay and Google as examples. This level of optimism is apparently a requirement for success in the technology industry today and Jobs is an optimist (Jobs, 2003). Apple Computer understands the need for innovation and grounding breaking products that establish differentiation over their competition.Today, Apple is one of only two companies making money in the personal computer business. The recent downturn in this market has affected the strategic approach of many technology-oriented companies. Jobs suggested that today must be about the future of technology and "turning out more new products..." (Jobs, 2003, par. 1). Thus, a company that looks at research and development as an expense rather than an investment may find them left behind as the economy increases.Finally, Jobs alluded to market share referencing the fact that he feels there are three markets; professional, educational, and consumer. He feels that the professional and educational markets have suffered in recent years, yet they have doubled the consumer market share, which stands between 5 percent and 10...

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