The brand of Apple is recognized all over the globe. Their products take pleasure in enjoying a very high level of awareness among consumers, and brand acknowledgment throughout the globe. Furthermore, the ranking of the brand name “Apple”, has been gaining even more popularity throughout the globe.
Strong Financials
Apple has showed tremendous financial performance in recent times and has really strengthened its financial health, which is bound to help them in facing any problem in the near future. It was due to their strong financial health that they were not affected as such by the recent global crisis.
Innovation Driven Environment
The corporate environment in Apple is driven by innovation. They have a very strong focus on R&D in their company, because continuous improvement in product development is significant for the growth and improvement of innovative technologies and products.
Question 2
Structural changes in Computer Industry
In the early 1990s the structure of the personal computer industry changed dramatically after decades of relative stability. IBM dominance of the PC industry and its role as coordinator of the "IBM-compatible" standard started to erode in the late 1980s. IBM's dominance of the PC industry and its role as coordinator of the "IBM-compatible" standard began to erode in the 1980s. It attempted to regain Control of the standard PC by connecting it to IBM-proprietary technology. He tried to regain control of the PC via the standard connection to IBM's patented technology. The strategy failed. The strategy failed. By the early 1990s "IBM-compatible" had Been Replaced by "Wintel" as the dominant standard with IBM's early partners.
Impact of Change on Apple
Threat of New Entrants
Low computer manufacturing is the high profit potential and high risk industry which involves lot of investment. Fixed equipments, method assets, and channels of circulation require many years to develop. Therefore, chances for entry and exit are high for both the potential new entrants and present firms. Possible potential entrants could be any consumer electronics constructor; although, gigantic allowance of resources and transformation is needed to succeed.
Threat of Substitute Products
Threat of substitute products has increased with time. With products like HCD, Android, Samsung and Blackberry; customers have varied choice.
Bargaining Power of Buyers
High Customers are highly price sensitive to computer products. Their choice of decision can be affected by brand and advertising at moment of purchase. The swapping cost is reduced when it arrives to normal users but high for organizations. Thus, Apple follows right direction to differentiate itself to minimize bargaining power of buyers by selling directly.
Question 3
Strategies of Apple Since 1990
Apple from the 80's has endeavoured to create technologies that are easy to use, allowing users to exploit all the features of its products without complications. Steve Jobs' company has sought to reinvent their business models to increase their competitive advantage, as you mention the book of Strategic Marketing "Many companies are Executives in Their reinventing business models With the Objective of Improving Their competitive advantage." Apple looking to create a revolution with its iPod stellar ...