The Apple Company is present in the technology sector. It operates in three business areas with main strategies: - Computer: design and production of computers (desktops and laptops), development of operating systems and software. - Music: design and implementation of MP3 players, their media player iTunes extended to a site selling electronic music, films - Mobile telephony: design and production of mobile phones. Apple entered into this market in June 2007 with the iPhone. Apple has built very strong forces around its main brand. Its products offer an innovative design that is not always ignored in spite of high technology performance. Like any company possessing new technologies, innovation and significant investment in research and development are needed. The AppleStore or online distribution channel is an additional asset for the brand including distribution networks in direct sales that is not extended. The process involved in obtaining a franchise for the right to distribute Apple products is highly regulated. Apple has the ability to geographically expand its target market with the emergence of newly industrialized countries such as India or China. Those populous countries are all significant new markets for any business involving new technologies. Alternatively, the brand has the opportunity to expand its presence in new sectors. Apple is a company that presents its creation in the field of computing. It was the first time that it extended its activity to the sector of mp3 players with iPods. More recently, the area of mobile telephony has been building a new product with the iPhone. We can easily imagine the implications of new Apple and its products in other new technology sectors. Currently, touch technology has been adapted to the different products and the introduction of the iPod and iPhone are concrete examples of such opportunities. In an area already targeted by Apple, the laptop market is booming. This is an opportunity that the brand must grab. The following graph clearly illustrates this example with the number of units of computers sold by type.
[...] The chart below shows the breakdown of sales in 2007 (which totaled $ 24 billion) between different sectors (with Mac Computer, Music, Voice and others). These proportions have changed over time, but we can define a certain balance that is created, especially since 2005, according to the proportions of the graphic above. The recent release of the iPhone was negligible ( 0.1 in 2007. This figure is likely to be higher in 2008 with the release of the second version of the iPhone, which has achieved some success. [...]
[...] Competitive system, Porter analysis Following Porter's analysis, we weighted the intensity of each of the forces of the competitive system. The diagram above represents this. We can define two forces which have a particularly significant impact on the field of new technologies : Internal competition is very serious in this area and the threat of new entrants, is linked to present a few barriers to entry in this market. THE SWOT ANALYSIS The SWOT matrix below shows the strengths, weaknesses, opportunities and threats of the activities of Apple. [...]
[...] The field of micro computer Apple is competing with Dell and Microsoft among others. Apple has arguably the best brand ahead of two competitors. It is not, however the leader in professional use. The policy of the brand in terms of quality and therefore high costs shows its limits here. Dell has a much better place in terms of this business. Apple is still very popular on specific career paths. The brand has a strong presence in the professions (doctors, lawyers,) and all occupations related to image editing (graphic) video editing and sound management (engineers) for instance. [...]
[...] This allows it to be mainly present on the market of products for personal use. Sector operating system The Apple Mac OS is in direct competition with Microsoft Windows, and to a lesser extent, with various Linux systems. However, we can easily learn about this unique area : Sales of operating systems are closely related to those of the micro-computer (connected to a computer operating systems purchase sale). Apple has established its brand quality here and is gaining increasing market share with Microsoft is widely recognized as the leader ( market share), although its presence is decreasing. [...]
[...] Operating procedures may depend on the dealer organization (e.g. Fnac offers a special service). But in all cases, holders of Apple products are guaranteed to refer to the instructions on the Apple Store. The reference is of products with possible malfunctions in different factories. STAKEHOLDERS STAKE-HOLDER INTERESTS OBJECTIVES POWER CONSEQUENCES ON S AT STAKE THE STRATEGY Suppliers Quality of Creating a code material Competitors Market Recover market Influence on Differentiation share share customers Bank Money Get money Funding Remain through loans profitable Professional Partnership Find an Background, Develop Organization interest, using any sharing partnerships s Media Silver and Get money associated image Customers Have Value for money Decision to Meet customer desired buy requirements product, price Condition Money Get money Investment (entry money) Unions Rights Heard employee Strikes, Pay attention opinion influence on to the welfare the staff of of employees the company Shareholders Money To make money Employees Position, Be paid Motivation, Pay attention salary productivity, to the welfare profitability of employees . [...]
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