APPLE INC

Investment by Apple Inc

Investment by Apple Inc

Introduction

The world is constantly evolving and companies need to evolve along with these changing times if they are to survive in this harsh and competitive environment. Companies need to continuously come up with creative and innovative products and services if they want to get ahead of their competition and become leaders of the pack in their industry.

The company under discussion is Apple Inc. Currently Apple Inc is the largest company in the world with a market capitalization worth a massive $515 billion (Bloomberg, 2012). Apple also enjoy solid brand recognition with die hard Apple loyalists, causing Apple's brand value to rise to $ 76.6 billion (Interbrand, 2012), a massive 129% increase from last year's value.

For such a massive company, it become imperative to constantly come up with unique and successful products to ensure continuous maintenance of its market leadership. For this reason, I am proposing that Apple Inc invest in a product line comprising varieties of LCD and LED panels. Such products are similar to Apple's current product line and such an investment could yield a positive return in a relatively short period of time.

Discussion

Funding Issues

As mentioned, Apple Inc is a massive company enjoying a rock-solid brand loyalty from its consumers. In addition, its financial health is also very strong considering it has almost $100 billion in pure liquid cash. Keeping all these factors in mind, Apple Inc would find it far easier to raise cash for investment compared to how other companies would find it. However; we still have to realize that investment in any technological related product always comprise certain degree of risk. Furthermore, we also have to realize that the LCD and LED market is quite saturated, with Samsung completely dominating a large portion of the industry. Overall, ...