The company is Apple Inc 1. Provide a brief introduction on the company. This sh
ID: 350144 • Letter: T
Question
The company is Apple Inc
1. Provide a brief introduction on the company. This should include identify the company by name, location, year started, type of business/services, number of employees, number of key competitors, vision statement, mission statement. It should also include the following: prepare a thorough Strategy-Formulation Analytical Framework and discuss which direction you think is feasible for this company to take. This framework should encompass various analytical tools that you have used throughout the semester thus far. The Strategy-Formulation Analytical Framework is comprised as follows: Input Stage – IFE Matrix/Competitive Profile Matrix; EFE Matrix Matching Stage - SWOT Matrix; SPACE Matrix; BCG Matrix; Internal-External Matrix; Grand Strategy Matrix Decision Stage – Quantitative Strategic Planning Matrix (QSPM) 2. Using your strategic leadership, what strategy(ies) would you implement and why? Based on your analysis for the Decision Stage /QSPM, what strategy(ies) would you really implement and Why? 3. What contingency plans would you put in place to protect these strategies? Based on your previous response, what contingency plans would you put in place to protect these strategies?
Explanation / Answer
Apple is am multi million brand with huge investment and a a very large number of investors. Their strategical implementation is definitely one of the world's best implemented strategies.
• International Strategy.
Apple's international strategy includes a wide range of products spanning from premium pcs to the iPhones. Their international standardization includes standardization of the overall services and the product quality over Fr markets.High investment on research and development and large number of stores and outlet with state of the art warranty management system makes them the biggest empoyer and tech provider in the same field. One of the main strategies are to provide a feature packed premium device which is generalized in every global region.
• Strategic Implementation
Apple's basic strategy is to develop the products and simultaneously improving the design and utilize the overall difficulties by implementation of different strategies. Company's strategy is to build quality product which are based on performance and stands out of the market .
Apple's quality standards are very high hence produced products R&D cost is usually very high and final product si superior in terms of quality. Company also put extreme efforts to do something out of the box.
• influence of ce and Ethics.
Apple's model includes ethical as well as social responsibility and its composition of the legal, Ethical and economical responsibilities hence all the influence of the ethics and social responsibilities reflects in the organization.
a well organized governing system with a proper strategical implementation drives the company and also make a better work environment for the system. Apple's ethics standard is very high and which is applied into the work structure if the company from the very basic level.
• Innovation and Diversification.
Apple has a big diversified range of products . Initially apple used to deal in computers only then they came in the ipod and then mainstream phone business. Apple has evolved itself from a computer company to a big global brand. Constant research and development and high number of best engineers and bright minds are already looking for the best ideas and to create a better product.
Apple is very well known for its iPhones which are one of the main products offered by apple to stay in the market. IPhone was one of the first device is to have multi touch capabilities and it was very fascinating to the customers.
Marketing mix for the iPhone is as follows .
Product
IOS is proprietary operating system from Apple which is limited to Apple devices only and specifically build for iPhone. Does a specific operating system provides speed, security and reliability to iPhone. Fluency of the operating system as well as reliability and extreme application support make it one of the best available operating systems in the market which is only available on Apple iPhone and exclusive to the Apple customers. It is a very high quality operating system with smooth interface and fast processing speed.
Some applications are only available to Apple iPhone and their exclusive to the iPhone App Store. These applications provide an edge over the competitors as they are highly sophisticated and provide extremely usable interface. Also the pricing system is totally different in Apple app store which supports the developers and it cannot be hacked.
Promote
Apple never compares its products to other companies products but it compares it products to the previous development of the changes done in the previous iPhone. Does a specific terms increases the level of ethics in terms of advertising for the Apple iPhone.
Apple is very well known to provide superb after sale service and to provide extremely wide service network. Apple has its service centres across the globe in each and every country and provides an extremely wide international warranty as well. The target of the Apple is premium customers hence mostly found in A grade cities only.
Apple promotion includes launch events and full page newspaper ads while providing commercial on the television and investing largely on different advertisements across the globe. Above the line marketing strategy is choosing to market iPhone and other products of Apple which is very beneficial for creating loyal customers for apple and while reading the news about the new iPhone.
Most of the times BTL marketing is also done why are providing different exchange offers as well as holdings and home advertisement solutions.
Pricing
Apple's pricing strategy has always been for upper middle class. By setting the price is higher in the market and providing I phones which are usually price that higher price tag than all the phones available in the market is Apple's main strategy to maintain a price point for iPhones.
Apple does not provide any kind of discount on its products the discounts are given after sale or by the store only but the Apple itself does not provide any kind of discounts on its products to maintain a correct pricing across the globe.
Place
Most of the apples I store are located inside the malls which is usually a place for the premium customers to shop. They also have their other product line up inside the Rise tools but the main focus is usually on the iPhones as it is the one of the most selling devices for the Apple.
It is very well known for tying up with different telecom companies. While having tie up with the different corporate sector companies as well as the Telecom companies are providing services to the customers is one of the core Strategies for Apple to stay competitive in the market. By endorsing most of the CEOs who are using Apple iPhone is one of the best example of Apples tie up strategy.
By implementing sophisticated driving games for downloading music, all company can loose more of its customers. By introducing a complicated price in system into a music store, can easily confused customers between buying the music online. As the highly competitive market is present, complex pricing system can leave your potential customers to other service providers for buying the music. By properly implementing a generalized rising system which is easier to understand for the customer makes them by the music on a better way.
As any other company in this industry, objective is also to maximize its sales by any downloading of the music as well as the product and services Apple deal into. Apple has successfully increased their growth by 33% in one year in from 2003 to 2004. Increase number of iPod sales and availability of different music players from the Apple created success of downloading music from iTunes and following the complex pricing structure of Apple revenues are increased. As apple's pricing policy falls in the high end segment, reduce in the noodle users in next few years is expected as there are so many competitors are available with better pricing options.
By Linking device to itunes and limiting them to download the music only from our iTunes, apple is creating a Monopoly based music library system which limits the customers find give abilities to there music library in iTunes and to follow the complex pricing system of Apple which is one of the major objective for the major record companies to collaborate with Apple iTunes and earn more revenue from the society.
As a huge competition is growing into the market, apple has to change its pricing policy against the music in developing Nations which have the biggest market of the music, and would not follow the traditional pricing system of Apple hence it would reduce the overall number of users and the revenue. For getting with better revenues from the market apple has to change there marketing strategy and the pricing system of the music in upcoming years.
All in all we can say that iPhone as a very strong market mix and this market mix has created a strong presence of iPhone in the market which is going to be carried for the buy iPhone in the market to maintain competitive as well as advantageous.