Apple Inc.

Overview ●History ●Part 1: Description of Current Strategy ●Mission and Vision ●Corporate Strategy ●Strategic Performance ●Business Segmentation ●Functional Policies & Strategies ●Recent Strategic Decisions ● Part 3: Internal Analysis ●Resources ●Capabilities ●SWOT Analysis ●Value Chain Analysis ●Core Competencies

History ●Founded April 1,1976 in Cupertino,California. ●Founders= Steve Jobs, Steve Wozniak, and Ronald Wayne. ●Apple I= $667, July 1976 ●Apple incorporated= January 3, 1977 ● , 3 products ●Innovation!

Mission and Vision CEO Tim Cook Mission: Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and is defining the future of mobile media and computing devices with iPad.” CEO Steve Jobs Mission: “To make a contribution to the world by making tools for the mind that advance humankind.”

Corporate Strategy ●Purpose: ●Innovative software, hardware, and services ●Customer loyalty ●Supply Chain System Management ●4 Key Businesses 1.Personal Computer 2.Tablet Computer 3.Personal Media Player 4.Smartphone

Corporate Strategy ●Diversification ●High level of diversification ●Software, Hardware, Services ●Weight of History ●Steve Jobs’ Influence ●Corporate Culture and Strategy ●“Do your life’s best work here. With the whole world watching.”

Strategic Performance (overview)

ROE comparison

Apple’s Stock Price

Strategic Performance (Geographically)

-- America is the biggest market for Apple. -- China has the biggest potential market for Apple.

Strategic Performance (Production) Accessories includes sales of Apple-branded and third-party accessories for iPhone, iPad, Mac and iPod.

Strategic Performance (Production) -- iPhone is the most popular product. -- iPod is nearly out of market.

Business Segmentation 1.Products a.iPhone, iPad, etc. 2.Operating System Software a.iOS and OS X 3.Application Software a.iWork 4.Accessories a.Apple TV

Functional Policies and Strategies Finance- Record breaking quarterly revenues.

Functional Policies and Strategies cont. Culture- First rule of Apple: “Don’t talk about Apple”

Functional Policies and Strategies cont. Marketing- Brand recognition Halo effect- “From the Creators of iPod”

Difference in Best Buy Display

Recent Strategic Decisions Apple’s new TV ●“Brought up and modernized” ●“Apps are the future” ●Make changes

Apple Music Streaming Service ●Started on June 2015 ●6.5 million paying customers ●8.5 million on three-month trials Recent Strategic Decisions

iPhone 7 ●Coming in 2016 ●All new design ●Innovations Recent Strategic Decisions

“Staingate” ●Screen issue: MacBooks and MacBook Pros ●stains on the screen Replace affected users’ hardware Recent Strategic Decisions

Resources Apple Store

Resources Technological assets Future patents: ●A Smart Ring ●Battery that last days or even weeks ●Biometric tracking headphones ●Waterproof electronics ●Walk and text feature ●Voic screener ●Car-finder

Capabilities: How does it contribute to Apple Inc.’s competitive advantage? ●Apple Inc.’s operating system ●Mac vs. PC ●Apple Inc.’s marketing and advertising ●Empathy, Focus, and Impute ●Dynamic capability: ●Apple Inc.’s improving knowledge of technology

SWOT Analysis Strengths ●Leading innovator in technology ●Loyal customers ●Great brand/customer service reputation Weaknesses ●High prices ●Apple products can’t be used with non-Apple products Opportunities ●New product lines ●Payment System Threats ●Aggressive competition ●Fast changes in technology

Value Chain Analysis OperationsSales & Marketing Complete Service Inbound logistics Outbound logistics

Innovative design and Technology ●Apple aims to design substance ●Create products everyone wants to have Core Competency

Works Cited dont-talk-about-apple-1

Works Cited