Apple Inc.

Apple Incorporated

Name Class Course

Affiliation Date

Apple Inc. Introduction Apple Inc. is an American corporation that is a designer and seller of electronics which include softwares for personal computers. Apple Inc. is one of the worlds best known technology company that deal with the design and development of personal computers consumer electronic such as the smart phone and the table and other software for running the computer devices. Apple is best known for its products that include! the i"od i"ad i"hone and

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the #acintosh computer $%chneiders &'11 p. 1(). In addition there is apple is recogni*ed for the #ac +% ,. Apple was established on April 1 1-./ in California after which it was incorporated in 1-... Initially it was known as Apple Computer Inc. and this continued for a period (' years. 0ater on the word 1Computer1 on the company name was removed in the year &''.. 2his happened at the same time the company was shifting its focus from personal computers to the now much growing area of consumer electronics. 1. Apple External analysis 2he %martphone 2ablet Industry In recent years Apple has become a ma3or player in the global %martphone tablet industry with a loyal consumer growing base. 4or instance in the year &'11 had a total of (5. stores in about ten countries worldwide. #oreover apple has a wide presence in the online market with online stores. Apple is also among the ma3or corporations which are traded in the stock e6change by measure of the market capitali*ation. In revenue and profit terms Apple has become one of the world largest technology corporations and more #icrosoft and 7oogle combined $8ach &''. p. 19). 2he idea behind the development of the smartphone and tablet technologies has been in e6istence for a while but their introduction into the consumer electronics market has become

Apple Inc. serious within the last two years. 2he best e6ample to illustrate this is the Apples i"ad and i"hone which have revolutioni*ed the tablet and the smartphone markets ever their launch into the market. It has been predicted that tablet and smartphone industry will continue to grow in

sales to about ('' million by the year &'15 $%chneiders &'11 p. &.). 2his means that technology firms such as Apple will continue to grow since they need to e6pand in order to meet the growing demand. Currently this industry is considered enormous and with the forecast of the industry is now so big and with such immense growth continued immense growth it is e6pected that more firms. Apples "roducts 2he i"od: 2he i"od is one of the most successful products for Apple computer. 2he most recent i"od is available 78 which has the capability of playing both audio and video files. 2he i"hone : 2he i"hone is evolution to the area mobile communication which designed to combine email mobile phone internet as well as other information services. 2he i"hone has been designed as a consumer electronic device that has all things in one place. 2he #ac mini : 2his is the companys lowest costing desktop computer. It has become to be widely used globally for both leisure as well as business. 2he i#ac : 2he i#ac is designed using the same idea 3ust like the original #acintosh personal computer which is that both the computer as well as the monitor is within a single unit. Currently the i#ac is the third ma3or design widely used globally and is always upgraded as time passes together the changing needs of the consumer or the end users $"ark ;ong < #oon &'1& p. (.). #erging =merging Industry

Apple Inc. Apple Inc. is a ma3or player within several very competitive markets which include the personal computers with its #acintosh consumer electronics with its i"od and i"hone. Apple computer is engaged in the distribution of digital content which is owned by a third:party by using the online music store called i2unes %tore. It is important to take note of the fact that this area of content distribution is e6tremely competitive and hence re>uires aggressive marketing

strategies. 2he company has gained the reputation as a ma3or technology innovator in the area of consumer electronics and personal computers. Apple Inc. has a belief that a sufficient investment in the area of research advertising marketing and development is very critical in its efforts to remain relevant as well as competitive in the highly technological market $8ach &''. p. &5). Apples Competitor Analysis Apple computer is faced by very tough competition from all areas of the technology business. 2he consumer electronic markets software markets personal computers and other peripheral products have become e6tremely competitive. 2he main features of the fast growing technology markets which include both software and hardware is that it has substantially grown in the ability as well as use of digital electronic products such as the smart phone and tablets and desktop computers. In the recent years the aspect of price competitions in the technology market has become more intense. #ost of the competitors of Apple Inc. tend to sell their personal computers which use the operating systems of other developers. 2his has had an impact on their performance in that their prices have been greatly reduced as well as the market share. 2he ma3or factors of competition include! "rice ?elative "erformance "roduct @uality and ?eliability Design Innovation Availability of %oftware "roduct 4eatures #arketing and Distribution Capability %ervice and %upport and Availability of ;ardware "eripherals.

Apple Inc. +pportunity and 2hreats to the Industry 2hroughout the whole of Aanuary &''5 Apple opened more than 1'& retail stores. Although these e6pansions were beneficial most of the Apple retail stores are negatively affecting the businesses of the resellers and this can cause their downfall $Cusumano &''B p. &.). 2his can have a much significant impact on Apple since the resellers account for more than

5'C of the domestic sales. 2here are many >uestions going around as to why Apple holding a lot of cash. the aspect of having plenty of cash reserves might imply that Apple computer is not in a strategic position as to how to invest the cash and this can lead to the rise of a negative perception on it future potential investment. Apple is among the ma3or technology companies where the growth as well as the fortunes of the company always appears to be closely connected to the person in charge. 2he visionary talents which are associated with %teve Aobs contribute to growth and success of the company. 2herefore the news of cancer surgery on %teve Aob and subse>uent demise might have lead to the rise of succession problems and perception of a not so bright future for the company. %martphone and 2ablet Industry 0ife Cycle 2he growth of the smartphone and tablet industry can be best emphasi*ed by this fact that it took the radio about (B years to get to 5' million users but it has taken the tablets and the smartphone only 1year to get to 5' million users $DICD;A# &'11 p.((). 4ollowing the launch of the i"ad one of the ma3or tablets many other technology companies sprung to design and produce tablets and this has led to the increase as well as growth of the smartphone and tablet market.

Apple Inc.

Apples main Competitors

#arket CapF =mployeesF @uarterly ?ev 7rowth ?evenue 7ross #argin +perating #argin Net Income GOOG E 7oogle Inc.

AAPL 5(1.(58 /' 9'' 5B.-'C 19&.(/8 9(.-5C (5./-C (B./&8

GOOG 1-..998 (( '.. &9.1'C (-.-B8 /9.BBC (&.11C 1'.B(8

HPQ 9..598 (9- /'' :..''C 1&9.-B8 &(.&9C B.91C 5.-98

RIMM /.198 1/ 5'' :&9./'C 1B.998 (5../C 1'./-C 1.1/8

Industry 5&B.598 1'/..'D &9.('C 19&.(/8 9(.-5C (-.&/C NGA

HPQ E ;ewlett "ackard Company RIMM- ?esearch in #otion 0imited +thers in the 2echnology Industry E "ersonal Computers Competitor Dynamics Apple computer has an e6pectation of intensified competition as more and more competitors have began to imitate Apples marketing strategy by using introducing products of almost similar >uality and employ the marketing strategies that Apples uses. A few of the current potential competitors have a lot of resources at their disposal which gives the ability to become a formidable force against Apple in the coming future. +ne of the ways they have started to use their strength in their efforts to increase their market share is by selling their products. 2here is no assurance that ma3ority of these technology companies will continue to offer products as well

Apple Inc. as services which are competitive in the market. Apple computer may be re>uired to address the issue of price competition where it would end up lowering it prices in order to deal with the competition of from the other companies $DICD;A# &'11 p.&-). Issues that Apple is not aware in the 2echnology Industry 2here are several issues that Apple is not aware of within the technology industry. %ome are related to and affect the users on a daily basis such as the troubling issues with Hi:4i in the

companys operating software the +%, 0ion. 2he i"hone (.& which is used on the i"ad does not renew the D;C". 2here are common problem with the Apple #ail. 2hese are issues that appear to be minor but tend to have a profound effect on the future perception and eventually performance of the company in terms of sales. 2he fact that Apple products are designed for the high end market has led to the emergence of negative image of Apple as more and more people see it as a company that is for the select few. 4or the companys competitors this is an advantage as they have started to make consumer electronic products that target the different consumer purchasing powers in the world. 2. Apple Internal Strategic Audit Apples 4inancial Data The Annual Financial Data

Apple Inc.

Period Total Re(enue Cost of ?evenue Gross Pro+it +perating =6penses ?esearch Development %elling 7eneral and Administrative 2otal +perating =6penses Operatin- Inco.e or Loss Income from Continuing +perations 2otal +ther IncomeG=6penses Net =arnings 8efore Interest And 2a6es Interest =6pense Income 8efore 2a6 Income 2a6 =6pense #inority Interest Net Income 4rom Continuing +ps Non:recurring =vents Discontinued +perations =6traordinary Items =ffect +f Accounting Changes +ther Items /et Inco.e

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Apple Inc.

"referred %tock And +ther Ad3ustments /et Inco.e Applica0le To 1o..on Shares 2he Currency is in I% Dollar Apples Inc. 4inancial "ro3ections Apple2s 3arnin-s 3sti.ates Avg. =stimate 0ow =stimate ;igh =stimate Apple2s Re(enue 1urrent Quarter &"'

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/e4t Quarter #$ #$! 5(.-( 9B.(/ /9.'/ #$!

1'.&B 1'.99 B.-' B.51&.51 1(.(/ 1urrent Quarter /e4t Quarter

9/.B. 91.551./' #$

3sti.ates Avg. =stimate 0ow =stimate ;igh =stimate Jear Ago %ales %ales 7rowth 2he Currency is in I% Dollar Kalue chain analysis

(..5&8 (9.9'8 91..98 &B.5.8 (1.('C

(B.B&8 ((.B(8 9..158 &B.&.8 (..('C

1/&.9'8 15(..98 1.9.918 1'B.&58 5'.''C

1-5.(/8 1...--8 &&B.(-8 1/&.9'8 &'.('C

8y delivering superior electronic products to its consumers Apple has managed to not only maintain a constant customer base but continues to e6pand its market share in the smartphone and tablet industry. 2his has led to the growth of its c a s h r e s e r v e s a s w e l l a s g a i n s a m u c h c o v e t e d p o s i t i o n i n t h e technology world. =very Apple store is designed to create a customer friendly world where the customers have an opportunity to interact and e 6 p e r i e n c e t h e p l e a s u r e t h a t c o m e s w i t h t h e A p p l e p r o d u c t s . In order to identify which areas that Apple has developed and established its critical capabilities an analysis of the value chain linkages is essential. 2he primary activities of Apple consist of production sales and marketing product design consumer and legal services. 2he product design and technology activity forms the base or the core the Apple Corporation. Apple Inc. has a history of designing technology that is cutting:edge. Apple is focused

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on being the best as well as the first technology firm globally. Its Apple operating system is globally recogni*ed and appreciated as a more reliable as well as a stable +% compared to Hindows. %ince Apple has for long re3ected the calls to make give out its +% license to other firms. 2he combination of both the hardware and software forms the cornerstone of the production process for Apple Inc. 2his is a competitive advantage for the firm. Although not all of its products introduced have been successful Apple continues to believe in the component production process as a natural e6tension of the product design process. Internal Configuration 2he main goal for Apple Inc. is to bring new customers. In addition it involves the e6pansion of the e6isting base of loyal consumers buying working towards increasing the sale if different electronic products. 2hrough the approach of running its stores as well as designing the stores within locations that have high traffic of consumers Apple Inc. is in a position to effectively control the e6perience of the customer as well as increase the attraction of new customers. 2he manner in which the Apple stores are designed is meant to make simple and to enhance how the products are presented.

2he 4inancial and ?esources Appraisal 8y the year &'11 Apple had about /' 9'' permanent employees who work on a full time basis & -'' temporary employees. In &'11 the company had total global revenues of 1'B billion dollars up from /5 billion dollars in the year &'1'. 2he fortune maga*ine listed Apples as the most admired corporations in the united states in the year &''B and globally it is still the most

Apple Inc. admired the company. Nonetheless Apple has been on the receiving end of criticisms on different issues ranging from labor issues by its contractorsL its business as well as environmental practices. 2he financial strength of Apple Inc. within the past three years shows a continued growth. Apple has been having a high li>uidity trend although lately it has been reducing as a result of the increase in the time it takes for a sale as well as a reduction in the a days sales

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$7rady &''- p. (9). 2he increase in profit for the last three years has been very promising with an increase in the gross profit from ((.-.C in the year &''. to about (9.(1C in the year &''B and followed by an increase of (5.-/C in the year &''-. In addition the percentage operating income also witnessed a substantial growth from 1B.(.C to 1-.(&C and &'.-/C in &''. &''B and &''- consecutively. During the same period there the company e6perienced a return on the e>uity as well as on the assets which reduced. 2his reduction was as a result of accumulations in the profits from the earnings retained as well as from long term investments $7rady &''- p. 9'). 2he firms upward financial growth can be attributed to an increase in the liabilities such as the increase in the companys differed revenue. In %eptember &'11 Apple Inc. made M1'B billion from revenues.

Apples 0eadership and Decision #aking %teve Aobs before his demise provided a uni>ue type of leadership for Apple. ;e was well known for his strong as well as an awareness of the consumer market is accredited for the growth of the company to where it is currently. It has been argued that %teve Aobs left a culture that will live on in the company for a long

Apple Inc. time to come. In addition this is e6pected to have an influence in the politics as

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well as management decisions of the firm in the coming decades. 2his is e6pected to maintain the growth and the market share of the firm in the period beyond &'11. Dnowledge #anagement In the end the configuration of retail stores has changed into different si*e so as to accommodate demands of the market. 2he retail stores use competent e6perienced as well as knowledgeable staffs that provide product information to customers on the different products available. 2he stores provide a variety of hardware software and other products for computing that have been approved by third party. In addition the Apple retail stores offer platform where Apple Inc. is in a position to provide speciali*ed service as well as personali*ed training. Apples ?eputation with %uppliers 2here is the threat of a strong supplier power. 2he need to be supplied with low cast materials for manufacturing of smartphone and tablets is very central to most technology companies like Apple. 2here are only very few manufacturers who are currently manufacturing processors for smartphone and tablets therefore this gives the manufacturers as well as suppliers a lot of weight in the industry. 2here is the threat from the power of the buyer. 2oday the trends in the technology world have left the buyer with no choice when it comes to buying smartphone and tablets. 4ocus on Apples Internal %trengths and Heaknesses Apple is a designer a developer as well as a marketer of several computing product and service. Apple sells its electronic products to an array of different consumers such as the education consumers creative professional consumer and government and business customers. Hhile the computer tends to showcase a variety of computing products as well as carry out

Apple Inc. business at different levels it can be challenging to specify what the company best at. 2here company has been diversifying greatly and most say can cause the down fall for the company. 2hroughout the whole of Aanuary &''5 Apple opened more than 1'& retail stores. Although these e6pansions were beneficial most of the Apple retail stores are negatively affecting the businesses of the resellers and this can cause their downfall. 2his can have a much significant impact on Apple since the resellers account for more than 5'C of the domestic sales.

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Apple is among the ma3or technology companies where the growth as well as the fortunes of the company always appears to be closely connected to the person in charge. 2he visionary talents which are associated with %teve Aobs contribute to growth and success of the company. 2herefore the news of cancer surgery on %teve Aob and subse>uent demise might have lead to the rise of succession problems and perception of a not so bright future for the company. Apples Competitors Apple knows that at the moment it has a competitive advantage from the point of innovation as well as being in a position to integrate its whole solution that involves software hardware software and content distribution. A few of potential current competitors do have considerable hence they are in a position to offer similar products and services at a cheaper price. 2he future of Apple Inc. operating results as well as financial status is critically dependent on the ability of the Company to continue to improve its line of computing products. Apple plans on preventing or reducing the potential risks that are caused by the growing competition by closely working with the key suppliers on the planning on the introduction of new products introduction new and better inventory strategies and planning on manufacturing internal as well as e6ternal. A Culture of 4ast:"aced Hay of Horking He are living in a global village and the need for people to become more connected and

Apple Inc. in constant contact is greatly growing as a result of the growth of the internet. "eople have e6perienced how technology can make working or sociali*ing become sweet cost effective as well as efficient and therefore there is constant growing demand for even better technology devices such as smartphone and tablets. Apple and oil companies

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2here are many >uestions going around as to why Apple holding a lot of cash. the aspect of having plenty of cash reserves might imply that Apple computer is not in a strategic position as to how to invest the cash and this can lead to the rise of a negative perception on it future potential investment. Apple Inc. is a ma3or producer of different consumer electronic products which include the #acs the i"od the i"hone the i"ad as well as other softwares. 2he companys cash reserves have been reported to increase to about M.5.B./ billion when it was announced this Auly. +n the other hand the Inited %tates government made earnings that reached only M.(..B/ billion which means Apple made more cash the most powerful government in the world by over two billion dollars. In the similar manner Apple has been reported to have a lot bash reserves compared to some oil companies such as =66on #obil Corporation. In addition Apple has been reported as having a higher market capitali*ation than =66on #obil. 3. Stakeholder engagement A stake holder can be defined as individuals that have invested in shares in a business or industry. At Apple Inc stakeholders include preferred and common shareholders apple employees lenders suppliers software developers customers music industry players manufacturers and nongovernmental organi*ations. 2he coordination of the above and their input is what makes the organisation be among the best performing in the business front today.

Apple Inc. In the recent past Apple has made considerable efforts in involving stakeholders more

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with the environmental issues being the main agenda. Apple made efforts and forged an alliance with N7+s in China to better its supply chain management. It is known to be very secretive and reacts slow to criticism from outside. Increased pressure from environmental N7+s from China and the Inited %tates loosened apple rigidness prompting a review of their strategies. Apples supplier code of conduct enlists rules on control and ha*ardous and other pollutants as a way of involving stakeholders the environmental cleanliness. =very supplier is vetted seriously to check environmental friendliness and preserve its reputation. 2he measures have however not worked as e6pected as criticism on the way the environmental issue is handled is dissatisfactory. Information from some its suppliers states that high density "C8s used in i"hone and i"ad re>uire a lot of power and water to manufacture and large >uantities of chemicals. 2he process results to air and water pollutions among other environmental violations. Apple in response to

the allegations has provided tables that will be used to solve the issues. 2hey have planned to visit their various players in the supply chain to ensure the issues are resolved which is a good start than the silence that loomed previously. =thics approach =thics can be defined as the code of conduct of an organisation in the day to day businesses. It can also be termed as best practice in the corporate world. Apple is a highly ethical organisation. @uality touch is in all ideologies that form the organisation. 2he organi*ations code of conduct has been put to a test after the 4o6conn factory saga. 4o6conn is a ma3or Apple supplier that manufactures i"ad. A certain e6plosion occurred in the organi*ations premises in china killing two people and in3uring several. 2he saga put Apple on the limelight after a 8ritish news paper secretly investigated the supplier and discovered some inconsistencies. Horkers

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reported long working hours in very crowded dorms. 2his statement does not reflect apples code of conduct. ;owever Apple conducts over three hundred audits a year on employees where violations like involuntary labor underage workers and improper disposal of ha*ardous waste are among issues of ethical behavior that crop up. Apple has in turn spurred some changes to compliment the audits. 2hey have championed for continued performance improvements and better working conditions. 2hey have also increased the number of audits every year to eliminate any chances of in appropriate corporate behavior that might taint their image. Apple has also trained very many workers about their rights and methods of in3ury prevention among others to help promote best practice in the organi*ational environment. In a move to ensure that best practice is adopted maintained and upheld Apple forced some of its suppliers to reimburse more than M/.. million to employees who have been underpaid or charged irrelevant fees. Apple is a global leader in underage labour prevention a good reason why ethics is part of the organisation. ?eputation management 2his is a process where actions of one entity are tracked and the opinion of others in the business environment. ?eputation in the business world today is a basic performance determinant in the corporate world today. ?ecent developments in Apples supply chain has seen the organi*ation put on the spot over various issues. 2he 4o6conn saga especially has tainted Apples reputation seriously not forgetting the recent allegations of trackers being inserted in i"hones. Crisis reputation management Apple has been highly critici*ed for its slow response to issues. In the management of

Apple Inc. crisis the organisation has resulted to transparency a reputational tool. 2his is a move that is

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meant as a way round the crisis rather than defending itself. Apple hopes through this the world will reali*e that they hold with high regard values that are considered ethical modern business practices. 2he organisation has even gone beyond the detailed supply chain reports by asking the fair labor association to carry out special voluntary audits of its final assembly suppliers. It is important to note that the today corporate world does not 3ust look at the way best practices are upheld in the organi*ation but also the consistency of the same organisation in upholding the modern business values. 2he use of transparency as a reputation tool has led to increased reputation audits and other processes that are aimed at ensuring the corporations image is not tainted. C%? concepts 2he corporate social responsibility is an integral part of the business world today. Apples breakthrough was in the uni>ueness of game changing product few years ago. 2he i"ad i"od and i"hone are some of its products scrutini*ed heavily about how they are made the working conditions of the companies they contract and their corporate practices. ?esearch has established that consumers define corporate social responsibility as an important characteristic while making decision about a product thus it is interesting to e6amine Apples C%? considering it has a prestigious status in the world. 2he corporate social responsibility today is mostly focused on restoring the degraded environment to its purity. Apple created a website called 7reen my apple to the core to help reduce the use of ha*ardous waste to the environment. 2he initiative was founded in China by N7+s working together with Apple. 2ransparency is another C%? strategy used by apple as it helps the private consumer evaluate the organisation more easily. 2his also creates a positive

Apple Inc. attitude among consumers towards the corporation.

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Corporate social responsibility that is related to the brand helps in its identity. Consumers today are very informed and will most likely go for product that they feel are cater for their beliefs. Apple has been able to fit C%? to their brand making them gain the customers confidence. 2he organisation is the most popular in the world today after several new innovations that have changed technology. 2his only means that more corporate responsibility is re>uired as demanded by the consumer today. %everal steps have been taken by the organisation to as corporate social responsibility. 2his involves communicating to the consumers on various environmental friendly practices among other things. ?eputation strategies of the company have been integrated with the social responsibility to increase their efficiency. Corporate social responsibility plays a crucial role in marketing strategies because of the customers perception of the company. It is therefore important to show the Nother side of the AppleO like Apple incorporation. %takeholder applications and integration 2he competitiveness of the business environment has forced many organi*ations to come up with various strategies to gain a competitive edge. Integration in the supply chain is very common in the business environment today. Apple is no e6ception and has integrated with various corporates in the industry for effectiveness. #erlin is a commercial pro3ect management software application for #ac +% , developed in 7ermany that integrates with Apple. Kertical integration has been Apples strategy. It has control over all aspects of the value chain where most stakeholders are. 2he company has opted to broaden their control by including ownership of chip manufacturers strict software standards and proprietary retail stores in their system. Kertical integration has been bad for companies in the past as it has resulting to killing

Apple Inc. innovation and promoting unhealthy business practices. Horking with partners is usually unpredictable making it a big challenge to knock out

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everyone and doing everything like Apple. It is however possible with well planned strategies in place. Innovativeness in companies will probably find a way to leverage partnerships and truly in open platformO strategies the main challenge is how long it will take and at what cost to shareholder value and society at large. Apple has managed to work its magic on the supply chain and succeeded in creating harmony in its industry where it has many suppliers and others that they contract. Recommendations Apple is among the global innovators making it very interesting to study and understand its strategies. He have noted that it has shortcomings too especially in regard to responding to issues which is rather slow. Apple strength as we saw earlier is the uni>ue technology they posses. 2heir i"hone and i"ad are their best selling products with sales of B1./ million dollars in &'11. It is estimated that they will gather around 1'B billion dollars this year and a1' billion dollars income. ;owever the innovation of an +% called Android by 7oogle Inc is a big threat because it is half cheap making it easily affordable. "rice is the biggest setback in e6panding and maintaining a market. It is the biggest weakness that could re>uire re:evaluation because of the future of their products. Although their product is very superior to their competitors it is wise to note the competitors will always try to improve to match the leader hence very important continuously improve our products. Apple Inc is considered a marketing company making value chain analysis very critical. #arketing a product re>uires very smart strategies that are all rounded covering the interests of all stakeholders. 2he organisation has previously failed in trying the Nto do it their ownO

Apple Inc. approach. 2he lessons from the failures previously are >uite productive as Apple is the most successful after implementing the integration strategy. 2hey have complemented the todays corporate competition basics and are firmly on top. 2he continous improvement policy is necessary in order to maintain these standards. 2he diagram below shows a porters value chain analysis.

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4ig 1. 2he value chain analysis Culture in an organisation determines its effectiveness in service delivery as it defines the social interactions inside the organisation. Apples culture of >uality products among others principles make it the most admired organisation according to a research in &''B. ?esource appraisal is taken very seriously by the organisation. 2his helps maintain set standards and continually improve the standards. 2he organisation has recently engaged in increased audit on every department and player in the supply chain. 2he reports from these audits are used to make informed decisions in approaching various problems. Apple Inc organi*ational structure is very simple and flat. 2his makes it very easy to communicate

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because the management and the 3unior associates is much easier making it efficient for the two to work together.

Directors

2homas Cook PC=+Q

=mployees

4ig &. A sketch of Apples organi*ational structure 2he diagram above is a simple representation of Apples organi*ational structure. 2he leadership of the organisation has in the past been a bone of contention after seeing many Chief =6ecutive +fficers brings the organisation to its knees. 2he late founder and C=+ %teve Aobs leadership skills have brought the organisation to be the leading innovator in the world today. It is important that the leadership today put into maintain and continuously improve the ideologies set up by %teve Aob in order to remain competitive. ?eputation with suppliers is among the few important details that should not be overlooked because it adds to the overall corporate image of

Apple Inc. the organisation. Apple has been able to successfully take control of its supply chain it is important that the same relationship is maintained to ensure that nothing slows down service delivery to the customer. 2he move that is aimed at ensuring suppliers adhere to the environmental code is strategic in the overall social responsibility compliance of the

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organisation. #ore persuasive strategies should be adopted to encourage the suppliers to take the environment friendly measures on their own. Corporate social responsibility is essential in the success of any company in the organisation today. Apple has been critici*ed for not being sensitive to the environment. 2his forced the organi*ation to ally with N7+s to ensure that the organisation takes the environment friendly aspects seriously. 2he green apple initiative meant to conserve the environment is a step in the right direction in ensuring that the organisation participates in reducing carbon footprint in the environment. 2he management should do more than even with regard to alleged mis:treatment of workers by other players in the supply chain. 2his is important because the customer today is informed and is working hard to conserve the environment and will not support any brand or organisation that does not believe in the same. It has been noted that the mistreatment of employees is because they do not know they are a resource. 2his has seen apple offer enlightening sessions on employee rights to ensure they are aware they are the most important resource. 2he management should carry out 4ollow up audits to ensure that the employees know their rights. %take holders are important in the overall success of an organisation. Apple is among the ma3or multinationals that has successfully controlled its supply chain where it is the ma3or player. Apple should consider even bigger challenges like ac>uiring its competitors to gain a more competitive edge as well as e6pand. It should also ensure that the other players in the supply chain adopt the same reputation based ideologies to

Apple Inc. ensure they effectively e6pand their market and gain a competitive edge over their rivals. 2he ethical approach practiced by Apple is still not very effective because cases of malpractices among suppliers and other contracted firms are still eminent. 2he 4o6conn saga showed that employees are being overworked. Audit reports still reveal underage employment among players in the supply chain. 2his cannot be termed as best practice and puts the firm in the spotlight and taints its the reputation. 2he firm should design ways and means of overcoming responding to issues a lot faster than they do. 2his is because increased calls for a more >uick response to issues can overshadow the transparency tool the organisation uses for reputation management. Crisis reputation management is one of the shortcomings Apple

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e6periences. 2he saga where the organisation was being critici*ed for inserting tracking devices in the i"hone was one of the crises that the organisation faced. 2he consumers still have that perception which is not good for business at the time. 2he politics in Inited %tates at the time feel their privacy is being invaded by the government because of its counter terrorism measures that involve tapping citi*ens phone calls. Apple did not respond >uick enough to e6plain themselves from the allegations which did auger well with the consumers who felt some truth in the allegations. 2he incorporation should adopt new ways of reacting to crisis in order to protect its image. Integration of stake holders has been one of the main strategies adopted by apple as its moves to gain competitive edge over its competitors. 2he management should continuously adopt other integration strategies to e6pand their portfolio as it has proved successful for Apple. 2he corporation can also consider trying hori*ontal integration. Apple incorporation is really a game changer in the technology arena. 2he ideologies that comes with the LIL technology revolution has come with new ways of handling things. It is important that other corporations adopt Apples

Apple Inc. method as it is the beginning of another revolution in the corporate world.

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Apple Inc. ?eferences

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