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... consideration cultural, ethnic and linguistic differences. This computer is very Americanized and thus cannot always be understood by European users. Other major weaknesses include: employee turnover has increased from 6 % for a ten year period to 7. 4 %; elaborate 5 -layers of management leading to red tape and dilution of two way communication within; frequent reorganization, reorientation and autocratic shades do dampen employee creativity leading to a loss of key personnel and chilling of communication and dilution of innovation; perceived by many as an unethical competitor that dominates competition and stifles its innovation leading to feeble availability of competing products; reputation has suffered because of entanglement in litigation on casual workers compensation package. (6) The opportunities of the company are very important for an effective development of the company. Towards the opportunities of the Apple company we can add new software markets and selling the hardware into these markets (5). One of the major opportunities of the Apple company is the fact that the Apple computers are very easy to use.
This factor opens up the new market education. The use of Macintosh computers in schools and universities, as well as other institutions for children development, is very logical and can be economically justified. The economical justification can be based on the very fact the computers are very cheap and they maintenance costs are very low which is suitable for the school budgets due to the fact, that school never receive enough funding. As a primary opportunity we can also note the fact that the demand the demand for personal computers in American and global markets remains strong despite the growth and increasing popularity of wireless handheld devices. In fact in developing and under developed countries the demand is in the take off stage. (4) This fact has to be realized by the Apple company because, if this market segment will be occupied the revenues will increase greatly but this leads to the need of the company to make the computers more accustomed for representatives of different cultures. Local language adaptations are bound to favorably sustain growth.
In India for example most of the population uses Hindi language and applications software in Hindi is a certain bet for success given the population and economic growth process in the offing. (7) Cheaper Internet connectivity and global telecommunication costs open new markets and opportunities. Broadband access and affordable wireless communication tools does present a plethora of opportunities for making gainful strides in these key areas. (5) The threats of the company can bed outlined as the following Microsoft have recently launched Windows NT, a modern high performance operating system. This addresses most of the weaknesses of the DOS/Windows combination. Coupled with Intel's new Pentium processors and the support already expressed by major developers for NT it appears that Apple will have a new operating system to contend with. (4) Other threats can be considered the following the Microsoft and Linux threaten the huge market share of the desktop operating market. Demand for application / operation software and hardware is a function of fluctuating exchange rates of currencies can negatively impact revenues in the global marketplace. (3) Currently one of the main threats to all the computer companies is software piracy, which leads to great losses in the long run, due to the fact that people would rather get a free products instead of paying great sums in the stores.
This problems is a very large contemporary problem because there is nothing that can stop this. You can regard the appearing of new companies, as one of the major threats. One of the young rapidly growing companies is Linux. This company is growing very steadily and rapidly. As a threat you can look at the fact that in the long run the mobile devices will gradually replace the use of personal computers, no matter how small the personal computers will get they cannot become as small as a mobile phone. People are constantly looking for ways to optimize their working time and space, thus two, three, four and five devices in one will soon be ruling the market.
Recession or economic slowdown in the world impacts personal computer equipment sales and their need for an operating systems. (7) Technology life cycle is akin to product life cycle and needs to sustain cash cow stage with updates and alterations / value additions and any laid back approach to this crucial need shall have a debilitating effect on future prospects. (5) The choice of the strategy comes forth upon conduction of the SWOT analysis In this strategy, the company has more than one brand of product, competing with each other, in a given market. This contrasts with the strategy of family brands where the separate items are given a common line identity and are usually each directed to one segment within the market. Under multi brand strategy there may not even be manufacturer identification, unless required by law. American Marketing Association (5) In order to use the information received during the SWOT analysis, the company need strategies to function.
The corporate strategy of the company Apple is, as it had been mentioned before the fact that it is a multi brand company, producing different types of computer: portable, personal, and commercially used ones. The business strategy of the company, is the working scheme, which the company has to follow in order to achieve the corporate strategy. Currently, the Apple company has turned its business around and is now the industry leader in manufacturing productivity and operational efficiencies. That in itself is big news to many investors who still remember when Apple was trailing the PC pack in execution. (7) Nowadays many companies face the problems that the new inventions, make the expensive computers worth nothing, thus the Apple computers are better buys because the inventory level is pretty low, and you can always renew the components of your computer very easily. Another business strategy that the Apple company uses is that the computers are delivered very quickly to the consumers. According to the chief manager of Apple company, Dr.
Cook: Apple is also way on top of something called "velocity" or the speed at which Apple delivers products to the customers. Two years ago, Apple shipped 5 % of its non-customized orders on the same or next day the order was given. Not bad by PC vendor standards, but dismal according to the goal Steve Jobs and Tim Cook were aiming for. By the fourth quarter of last year, Apple had increased that number to 20 % shipped on the same day. By last quarter, the company was shipping 75 % of standard orders the same day or next. The ultimate goal is nothing less than 100 % shipped worldwide same or next day. (1) In order for the company to get larger revenues the company has to also have a very stable marketing strategy.
In the Apple company this strategy is brought to life by Mitch Mandich (VP of sales), the current strategy is now to move the Macs to the front of the shop rather than the back shelf. Apple sales channel was, by last year, reduced 75 % from levels of a few years back. Apple's new strategy seems to be working. The company's shipment levels have doubled with a channel that is 40 to 50 % smaller today than in 1997. In his interview he said much more about in-store design to encourage a user friendly sales experience and announced 4, 000 demo days planned with channel partners to be delivered by Apple badged employees. He unveiled a "mystery shopper program" to send spies into retail outlets and hit up sales clerks with a battery of questions.
Stores that pass the surreptitious test will receive awards. Mr. Mandich didn't say what would become of those that don't. (3) Upon conducting the SWOT analysis we can see that in general the company is very well off. The Apple company has very stable strengths, but it also has some weaknesses for instance the fact that the computer is not adopted to the other markets, but the American in Europe the Apple company does not have a very large share of the market. The company has many opportunities to expand the business and the threats are very few, basically the biggest threat is that there are other companies emerging on the market.
The corporate and business strategies of the Apple company work very well, in one integrated mechanism, with one strategy working for the other and both of them bringing great results. The corporate strategy of multi branding is a very good strategy in the contemporary world, due to the constant growth of the developments and new inventions. The Apple company is able to satisfy the needs of all the buyers and has a very good and stable niche in the market due to this strategy. The business strategy is very effective too, because it completely backs up the corporate strategy. The sales of the Apple computers constantly increase and thus both strategies can be regarded as being successful. As a result of the above case study we can see that Apple does not only lead in the field of design innovations, but also is a leader in the PC industry in general.
This company is ahead of most of the other computers companies out in the market, with such a great asset as wonderful human resources working for them... Literature used Apple web Apple information web Corporate strategy web History web Multibranding web Strategic planning web Wong Yim Yu, Maher Thomas E. An undeveloped subject: The interaction between environment and strategy. Manag. Res. News. 1993 web
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