Competitive Strategy of Apple Inc
As one of the companies in a competitive market, Apple Inc has succeeded immensely. The secret is in the competitive strategy. This has made the users devoted and loyal to the company’s products. A recap of the history through the range of products, one thing comes to mind. Apple Inc has managed to produce a range of products that are highly integrated (Fox, 2013). This is one of the secrets behind the competitive advantages of this esteemed company. Apparently, the company has managed to produce top notch products, and this draws consumers from other markets. Consumers are likely to be inclined towards the use of such products after they purchase the first one.
The company has also managed to maintain an effective supply chain. A lot of funds and man power are invested towards meeting this means (Grady, 2008). Apple Inc deals with a wide variety of electronics. A proper internal organizational structure is a means of ensuring that the supply of products runs smoothly. These competitive strategies are obviously linked to each other. Producing top notch products in a cutting edge industry ensures customer loyalty. The products have to reach the consumer, and thus the supply chain has to be properly managed. Finally, a proper organizational structure will ensure that a specific product has a specific chain of supply (Fox, 2013). Each of the products are sold in specifically and strategically set units. These strategies are evolving parallel to the needs of the consumer.
Strategy in Computers, Media Players and Smart- Phones
Apple Inc is the producer of some of the best rated computers, media players and smart phones in the market. As aforementioned, most of these products are known to be durable. Furthermore, when placed on a cost benefit ledger, then the products are worth every cost. The products also contain unmatchable features and benefits. Therefore, this justifies the high pricing of the product. This is a sentiment shared by a lot of consumers.
The company has always dwelt on the cliché by the proponent of the company Steve Jobs. He said that the customer is never aware of what they wanted when it comes to electronics. Sticking to this philosophy, the great minds in the company always produced products which could satisfy all kinds of people(Greenwald, 2007). For example; the smart phone can perform a variety of functions including; browsing the internet, taking photographs and storing all kinds of information among others. These functions are conducted akin to a computer and other products.
Presentation has also been a major strength of Apple Inc. any products from this company are usually presented in an appealing manner. Also, the products vary in terms of color, shape and size, simply to meet the needs of every user. For example; dell computers vary in types and sizes (Grady, 2008). A similar case is observed when it comes to smart phones and personal media players. These products have been quite successful in the market owing to these strategies. For example, surveys state that laptops from Apple Inc are one of the most demanded laptops all over the world.
Competitive Strength Assessment of Apple Inc
It appears that one of the strengths of Apple Inc is that it is design oriented (Grady, 2008). First, they provide products which are physically appealing (Fox, 2013). They also consider the fact that consumers’ perception differs. Therefore, they create similar products in a variety of ways. This caters for each and every individual. This also implies that the company has managed to integrate both vertically and horizontally. Apple Inc considers customers from all walks of life (Greenwald, 2007). They have also managed to maintain their high standards. This has ensured customer loyalty through the years.
Sense in Competing In the Computer, Digital, Music Player and Mobile Phone Industries
The performance of products is almost similar in different companies. However, products from Apple Inc are known to have several advantages. For example, the computers are faster and thus efficient. The personal media players among other products are also known for their durability. This difference in performance is what attracts customers to products from Apple Inc (Greenwald, 2007).
The most important or known product from Apple Inc is the digital music player or I- pod. This is explicitly presented from the amount of sales from the history of the company. It was first sold in the year two thousand and one, and the sales have been increasing ever since. The company should hold the digital music players with a lot of precaution because they are the current leading products. From the records, it is also clear that the company has maintained the highest levels of sales in this product over the years. The profitability is likely to move higher if the company maintains the quality and moves with the current consumer requirements and advancement.
Apple Inc Computer Financial Performance over the Last Three Years
In the year two thousand and ten, Apple Inc managed to record one of the highest computer sales at shipment of 3.7 million shipments. During the quarter of the same year, the sales increased to ninety one percent (91%). However, the sales have been reducing ever since. For example, in the year twenty eleven, the company only managed to ship around two million Macs. By the first quarter of the consecutive year, the sales started increasing. In fact, records show an increase of twenty six percent in the year twenty twelve. By the second quarter, Apple Inc managed to sell over 4.8 billion of Mac Computers.
Recommendations to Apple Inc
Apple Inc should first begin by identifying its point of weakness and alleviate this weak link. According to the survey, the company is facing constraints from companies in China and other places. This is largely because of the pricing. It is estimated that a lower priced ipad will increase sales by one and a half. Also, since technology is dynamic, Apple Inc should provide a program where their consumers can access the latest technology (Fox, 2013). This can be done by availing affordable software, and even allowing consumers to trade I old technology devices for new ones. This will definitely increase the sales of products such as ipads.
References
Fox, J. (January 29, 2013). “Apple versus the strategy professors.” Harvard review. Retrieved June 18, 2013 from http://blogs.hbr.org/fox/2013/01/apple-versus-the-strategy-prof.html
Grady, J. (2008). Apple Inc (corporations that changed the world). Chicago: Greenwood Publishers.
Greenwald, B. (2007). Competition demystified: A radically simplified approach to business strategy. New York: Portfolio Trade.
