AN ASSIGNMENT ON SUCCESSFUL ENTREPRENEUR STEVE JOBS

Prepared By: Kaushal Vyas Kuldip Vyas Pankaj Sharma Pravesh Pathak

(115) (116) (103) (084)

Submitted to: Prof. Prakash Chawla (Faculty)

Ashvin Prajapati (079)

S. K. PATEL INSTITUTE OF MANAGEMENT & COMPUTER STUDIES Gandhinagar, India August 2013

STEVE JOBS:

Born

Steven P. Jobs February 24, 1955 (age 53) San Francisco, California, U.S.A. Chairman and CEO of Apple Inc. Board of Directors of Walt Disney Company US$

Occupation

Salary Net worth Spouse(s) Children

US $5.4 billion (2008 Forbes)

Laurene Powell 4

1) Product offered into the market:

In 1976, Steve Jobs and Stephen Wozniak, with funding from multimillionaire A.C. "Mike" Markkula, founded Apple. Before Wozniak co-founded Apple with Jobs, he was an electronics hacker. Jobs and Wozniak had been friends for some time, having met in 1971, when their mutual friend, Bill Fernandez, introduced 21-year-old Wozniak to 16-year-old Jobs. Steve Jobs managed to interest Wozniak in assembling a computer and selling it. As Apple continued to expand, the company began looking for an experienced executive to help manage its expansion. In 1983, Steve Jobs lured John Sculley away from Pepsi-Cola, to serve as Apple's

CEO, saying, "Do you want to spend the rest of your life selling sugared water to children, or do you want a chance to change the world?" The following year, Apple set out to do just that, starting with a Super Bowl television commercial titled, "1984." Two years later, at Apple's annual shareholders meeting on January 24, 1984, an emotional Jobs introduced the Macintosh to a wildly enthusiastic audience; Andy Hertzfeld described the scene as "pandemonium." The Macintosh became the first commercially successful small computer with a graphical user interface. The development of the Mac was started by Jef Raskin, and eventually taken over by Jobs. While Jobs was a persuasive and charismatic director for Apple, some of his employees from that time had described him as an erratic and temperamental manager. An industry-wide sales slump towards the end of 1984 caused a deterioration in Jobs's working relationship with Sculley, and at the end of May 1985 following an internal power struggle and an announcement of significant layoffs Sculley relieved Jobs of his duties as head of the Macintosh division.

2) Key factor for success:

Steve Jobs was making waves across the interwebs last week when Walter Isaacson published an article in which he identifies these 14 factors that he highlights as keys to Steve Jobs success. 1. Focus 2. Simplify 3. Take Responsibility End to End 4. When Behind, Leapfrog 5. Put Products Before Profits 6. Dont Be a Slave To Focus Groups

7. Bend Reality 8. Impute 9. Push for Perfection 10. Tolerate Only A Players 11. Engage Face-to-Face 12. Know Both the Big Picture and the Details 13. Combine the Humanities with the Sciences 14. Stay Hungry, Stay Foolish

A few of these factors are suspciously quote worthy, but the list still makes a lot of sense. Steve Jobs engrained these into the core ethos of Apple and created one of the most successful companies in the world.
In the 1996 documentary Triumph of the Nerds, the reaction to Jobs's famous firing from Apple by CEO John Sculley and the Apple Board of Directors was discussed by various people:

The grandiose plans of what Macintosh was gonna be was just so far out of whack with the truth of what the product was doing. And the truth of what the product was doing was not horrible, it was salvageable. But the gap between the two was just so unthinkable that somebody had to do something, and that somebody was John Sculley.
Chris Espinosa

The board had to make a choice and I said look, it's Steve's company, I was brought in here to help. If you want him to run it, that's fine by me. But we gotta at least decide what we're gonna do and everybody's got to get behind it ... and ultimately after the board talked with Steve and talked with me, the decision was that we would go forward with my plans and Steve left.
John Sculley

What can I say? I hired the wrong guy. He destroyed everything I spent 10 years working for; starting with me, but that wasn't the saddest part. I would have gladly left Apple if Apple would have turned out like I wanted it to.
Steve Jobs

3) Was any factor found to be unique, which may not be present in many cases? Ans.
The three-scene structure actually provides an interesting avenue to explore three different periods of Jobs life. The launch of The Mac put Jobs on the map and began his legendary career run, NeXT was founded by Jobs shortly after he resigned/was forced out of Apple, and the iPod changed the way we listened to music forever and became the launching pad for a revolutionary set of portable devices.

Don't hesitate to copy a concept

just operationalize the concept much better than anyone else. Ever hear of Go? They built one of the very first tablet computers - way back in 1987. We can't forget Newton, either. What Steve Jobs did was combine design and economy of scale to build iPad - the world's first successful tablet. Yes the design and functionality of Apple's iPad were beautiful, but beautiful design combined with economies Cook, made the iPad a true success.

of scale driven by new Apple CEO, Tim

Put work above family - Of course, for Steve Jobs, his work equaled his life. He was
certainly not trapped by the dogma of work-life balance. Fortunately, Mr. Jobs was able to leave behind a biography

for his kids to help explain his world changing work.

Most of us won't end up with a biographer, of course. But whether you're aCMO,

a marketing manager, or a marketing assistant - ask yourself how many times you've used family or personal commitments as an excuse for not being able to find a better solution to a business problem or not wanting to have a tough yet needed conversation with a client or coworker? It's a difficult question to consider. Who benefits? Does your career? Your client? Your kid - who senses your disengagement at home because you bolted out of a meeting or left issues unresolved at the office?

Don't market stuff, define an experience - The iPhone, at it's most basic level, is a piece of software and hardware that costs $180

to make in a factory that suffered a rash

of suicides last year. That, of course, isn't what Apple sells. It sells curiousity, learning, mastery and many other experiences.

4) Highlight any problems faced and ways to tackle them.

Problem: Three weeks and a day after Apple (AAPL) launched the iPhone 4, Steve Jobs took the stage to address the company's biggest public relations crisis since his 2008 medical leave - See more at: http://tech.fortune.cnn.com/2010/07/16/did-applesolve-its-pr-problem/#sthash.n4RmIcDR.dpuf

Although Apple sold well over 3 million iPhone 4s in three weeks, it's not perfect.

No phones are perfect. His competitors' phones also drop bars (see videos). "This is life in the smartphone world."

The iPhone 4 was thoroughly tested in a state-of-the-art facility ($100 million; 17 anechoic chambers; 18 PhD scientists and engineers).

Apple knew the phone had a weak spot (X marks the spot). If you held it in a certain way, it dropped bars.

Only 0.55% of iPhone 4 owners called Apple to complain. The return rate to AT&T (T) was less than 1/3 of what it was for the iPhone 3GS (1.7% vs. 6%).

However, according to AT&T, the iPhone drops more calls than the iPhone 3GS did. Less than one more call per 100. Jobs' theory: more 3GS iPhones were bought with cases.

"We think this has been so blown out of proportion. It's fun to have a story, but it's less fun on the other end of it. So here's what we're going to do to make our users happy..."

Give a free case for every iPhone 4 purchased through Sept. 30 -- or a refund if you already bought one. (Apple can't make Bumpers fast enough, so you'll have a choice of 3rd party cases.)

If you are still not happy, return it within 30 days and Apple will give you your money back, no questions asked, no re-stocking fee. (This was already company policy for iPhones).

Wrapping up, he said (transcript via gdgt's Ryan Block):

"We take this really personally. Maybe we should have a wall of PR people keeping us away from all that, but we don't, we take it really personally. So we've been working really really had thsee last 22 days on this trying to solve the problem. And we think we've gotten to the heart of the problem here. And the heart of the problem is, smartphones have issues, and we made it easy to exploit the issue by showing people where to hold the phone to cover the antenna. But the data supports the fact that the iPhone 4 is the best smartphone in the world, and that there is no Antennagate... there is a challenge for the entire smartphone industry to improve its antenna performance so there are no weak spots." And in the Q&A: "To our customers who are affected by the issue, we are deeply sorry, and we are going to give you a free case or a full refund." So, there it was: a mea culpa, an explanation, a free case and a money-back guarantee. Was it enough? Wall Street seemed to think so. The stock, which had fallen as low as $248.41 a share by 1 p.m. Friday, jumped before the press conference was over to more than $254 a share. And then it got slammed along with the rest of the market. And what about Apple loyal user base? Time will tell. But frankly we never thought Apple's customers were as concerned as its critics were. It's clear, given the latest sales figures, that they never stopped buying iPhones. Apple still can't make them -or the Bumpers -- fast enough to meet demand.

Thank you