APPLE INC

Apple Inc.

Apple Inc.

History

Apple Computers is considered to be the creator of the personal computer and much more. One relegated to a niche, hobbyist computer manufacturer, Apple Computers has matured into a media powerhouse with its long tentacles in every aspect of the business. Apple Computers plays a major role in the consumption (iPod and Mac) and distribution (iTunes Store) of music, once thought to be the exclusive domain of giant record tables. Having expanded in to television and movies, Apple Computers shows no sign of slowing sign. The company's endeavors into media players have allowed it to take risks and successfully expand the business into set-top boxes and mobile phones, also previously thought to be outside the scope of a so-called traditional computer manufacturer. Apple Computers Inc. is anything but traditional, though. Apple Computers has expanded its expertise across multiple disciplines and into ones where virtually no one could have predicted it would go. Apple Computers as a company, made a huge mark on history. Growing from two employees to a staff of more than 20,000 across the globe, Apple Computers had worldwide sales of more than $24 billion and earned $3.5 billion in profit in fiscal 2007. Apple Computers has no debt and more than $15 billion in cash.

But what makes Apple Computers feat even more impressive is that it should, by all accounts, have gone bankrupt sometime in 1995 or 1996. It was hemorrhaging money and market share and lacked leadership. Apple Computers took a turn for the worse in the early 1990s when quality slipped and it flooded the market with a confusing array of Macintosh models. The problem was exacerbated by licensing the Apple Computers ROMs to third party clones that were supposed to build market share but instead stole sales from Apple Computers. Apple Computers has one of the most fiercely loyal, dedicated and faithful customer bases in the world. Apple Computers fans border on rabid and are well known for their fanatical dedication to the platform. The Mac is more than a computer and Apple Computers is more than a company to them. Apple Computers is more of a philosophy than a computer brand. Apple Computers has inspired a community of like-minded individuals, who share their passion for the things that they do with their computers, art, science, and entertainment as well as their passion for computers themselves

SWOT Analysis and Strategy Formulation

Strengths: Internal management is one strength Apple capitalizes on. CEO Steve Jobs is a very successful leader who pulled Apple Computer from business declines. Recognizing changes in the personal computer industry, he was able to reduce operating costs and increase Apple's revenue.

Weaknesses: Portability is an ongoing issue with Apple Computers. There are very few notebook computer lines offered to people on the go. Apple should introduce more lines and reduce the prices to be competitive.

Another weakness for Apple Computer relates to its functionality with the open-systems standards and the portability that is needed to operate on a ...