Apple Computer Inc. is an American computer technology company founded by Steve Jobs, Steve Wozniak and Ronald Wayne in 1976. During more than 30 years of operation the company has managed to become one of the industry leaders with its award-winning desktop and notebook computers. Since 2001, Apple started to operate in digital and portable music industry with a huge success – by introducing revolutionary products iPod and iTunes.
Apple played a major role in the introduction of the personal computers in the 1970s. Company's first publicly known product – Apple II, was introduced in 1977 and was very famous among home consumers. Apple II differed from its major rivals, because it came with color graphics and an open architecture. Apple was the first computer technology company to introduce the first graphical user interface (GUI) to the commercial personal computer by Steve Jobs.
[...] Unrelated diversification - Although Apple started its operations as a PC manufacturer company, since 2001 company penetrated other segment of technology industry entertainment market. By introducing mobile digital media players and by entering content distribution business, selling music, videos etc, company managed to expand its production and to gain huge success. More than this company is planning expanding its operation in medical business, by introducing digital thermometers, digital blood pressure measurer, monitors that can connect via USB and other innovative gadgets. [...]
[...] Product's short-term life-cycle Main disadvantage of Apple products it the fact that products can't be upgraded different from products of its competitors. And because of the rapidly changing technological environment, Apple products in general desktop and portable computers, have shorter life-cycle then those of competitors. Weak presence in global market Apple is mainly concentrated on US market and it has significantly weak presence in global market, that's why there always is risk of so called “gray market”, that of course will have negative influence of company's sales P a g e OPPORTUNITIES: Negative image of Windows Vista After Microsoft has introduced Windows Vista to the public, the product could come up with customer expectation and it has gained more or less negative image among them, this fact can be seen as an opportunity for Apple Inc, because it gives company ability to push OSX as an alternative product to Windows Vista. [...]
[...] PESTEL ANALYSES: Although Apple Inc. is Multinational Corporation, its main revenue is generated from United States. So while analyzing Industry in which Apple operates, main stress will fall on US. Political factors - Apple Inc is considered to be luxury brand of its market share consists of countries from North America and Western Europe - mostly world's leading countries, where political situation is stable.(See exhibition # This means that the governmental policies and change in government don't affect the performance of the company. [...]
[...] DIVERSIFICATION: As we have already mentioned above since the beginning Apple Inc. managed to established image of highly innovative PC manufacturer. To once again highlight this fact let's briefly undergo the history: 1977: Apple was first company to represent graphical user interface 1993: Apple introduced PDA personal digital assistant 14 P a g e 1999: Apple introduced very stable operating system 1999; Apple introduce iBook 2001: Apple introduce iPod 2003; Apple introduce iTunes Apple has already implemented a successful diversification strategy, both related and unrelated. [...]
[...] In case environmental protection law issues Apple Inc. positions itself in better position than its competitors, because of the environmental protective actions company took up. FIVE FACTORS MODEL: Rivalry Industry if highly saturated and competitive, containing many well known global PC manufacturers such Dell, Hewlett-Packard, Acer, Lenovo and others. Rivalry in the industry is fierce not only because there is huge number of well known brands, but also because the product the competitors offer is more or less similar. Penetration of computers in everyday and business life leads to the fact that PC is becoming more and more a commodity product. [...]
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