This company designs, develops, and markets computers (personal computers) and related software, peripherals, services, and networking solutions. Other than the computers, the company also designs, manufacture, and markets digital music players (portable) together with the related accessories and the services such as online distribution of third-party music, music videos, audio books, television shows, and short films. The company’s products and services are used worldwide, though it primarily operates in America, Europe and Japan, with the headquarter in Cupertino, California (Datamonitor, 2006).
Apple Computer, Inc has been successful in the sale of its products which is done worldwide through the company’s online stores, the direct sales force, the third-party wholesalers and the resellers. The company sells its products to a wide target market which includes the business, education, creative, and consumer customers. As compared to other computer and software companies, Apple deals in a wide range of products. The company’s products include hardware products such as Macintosh computers, iBook, PowerBook G4 notebook, Mac mini, iMac, Xserve RAID storage system, eMac e.t.c; Music products and services such as iTunes Music Store and iPod; Peripheral products such as iSight, Computer printers and printing supplies, Digital video and still cameras, Flat panel TFT active-matrix digital color displays, Storage devices, Digital music players and related accessories, and Personal digital assistants (Datamonitor, 2006). The company also majors in software products and computer technologies, Professional application software, Consumer, education and business oriented application software, Internet software and services, Wireless connectivity and networking.
The company has a strong operating performance that has strengthened its market position. This in turn has increased the investor confidence in the company. Despite the immense competition in the industry, Apple Company has greatly excelled and shall continue to excel. Its success is drawn majorly from its strengths, which include the company’s global presence, the brand image, the strong media content, and the synergistic portfolio (Leavitt, 2007).
Just as its global competitors, the company is present globally and derives the majority of the revenues from the regions outside its domestic market. The company has identified both mature and emerging markets, which has enabled it to advance and record steady revenue growth. The company’s financial performance continues to grow and is currently above the industry average. This is driven by the strong growth in all the markets. The company’s strong operating performance has strengthened its market position and increased the investor confidence.
The greatest success of the company is drawn from its brand image. The company has built a superior Apple brand that is highly regarded amongst most consumers globally. Apple enjoys greatest awareness and brand recognition throughout the markets where it operates. This has highly improved its sales. The strong brand has also helped in creating barriers to new entries within the market. This has enabled the company to command a premium pricing for its products like the iPod and iMac, which it turn gives it a competitive advantage over its competitors like IBM and Sony, both regionally and globally (Jeffrey and William, 2005).
The company’s synergistic portfolio is another reason for its success. It is highly synergetic in nature as compared to its peers. Its wide product portfolio has reduced the company’s dependence on any single product line thus reducing the business risks. The company also enhances its cross-selling opportunities, which has propelled its success.
Another great reason for Apple’s success is the strong media content. The growth of the company’s iPod and iTunes products has greatly been successful. The company’s iTunes Music Store makes it possible for users to purchase and download videos and music online legally. The music store features a variety of hit TV shows, over 4000 music videos, 35,000 podcasts, Pixar and Disney short films, 16,000 audiobooks, and millions of songs from the major music companies and independent record labels. The company has majored in its established position of iTunes and has captured the online video segment. It continues to sell millions of videos. The strong content set has given the company a competitive advantage over its peers.
The likelihood of the company’s success in future is vast. The demand for networking products and wireless connectivity continues to increase and Apple continues to capitalize on this growth. The company already provides a variety of products in this line such as the AirPort, which is a wireless networking technology that allows the users to create a computer network and connect to the internet without the use of cables, additional phone lines, or networking hardware. The increased adoption of wireless hi-speed internet has boosted and shall continue to boost the company’s growth. The new digital platform has also ensured the company’s success, and is projected to be more beneficial in future, as the company transforms its Mac platform into a digital hub that combines iTunes video content to customers’ television screens and portable devices. This platform integrates the digital content business with the Apple’s Mac business, which is expected to provide stability in the company’s long-term growth. The Apple’s US MP3 player market is another success story as the company increases its retail points of presence, both internationally and domestically.
Works Cited
Datamonitor. Apple computer, Inc. 2006. Retrieved at http://www.alacra.com/acm/2009_sample.pdf
Jeffrey S. Young, and William L. Simon. iCon Steve Jobs: The Greatest Second Act in the History of Business, John Wiley & Sons, 2005.
Leavitt, David. The Man Who Knew Too Much; Alan Turing and the invention of the computer. 2007. Phoenix.
Ward, Andrew. "Apple overtakes Nokia in smartphone stakes". Financial Times. Retrieved July 21, 2011. http://www.ft.com/intl/cms/s/0/4d7fd1e2-b38e-11e0-b56c-00144feabdc0.html#axzz1SlYjA4IS.
