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Pages:
5 pages/≈1375 words
Sources:
12 Sources
Level:
APA
Subject:
Business & Marketing
Type:
PowerPoint Presentation
Language:
English (U.K.)
Document:
MS Word
Date:
Total cost:
$ 24.3
Topic:
Apple Inc. (PowerPoint Presentation Sample)
Instructions:
the task required case study of a company of the student's choice. The presentation needed to answer the following questions:
Question 1: Evaluate the key external drivers of change affecting your chosen organisation at both a macro and industry level (PESTEL and Porters Five Forces).
Question 2: Using the ‘generic strategy’ and ‘strategy clock’ frameworks, identify the competitive positioning adopted by your chosen organisation
Question 3: Using the Ansoff matrix, identify and evaluate the strategic options facing your chosen organisation.
Question 4: Provide final strategic recommendations for the organisation based on your preceding analysis source..
Content:
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Slide 1
Slide 2
Ronald Wayne, Steve Jobs, and Steve Wozniak launched Apple Inc. in 1976, intending to make computers more user-friendly (Cheng, 2024). The company manufactures iconic products like iPad, MacBook, Apple Watch, and iPhone and also offers services such as Apple Music, iCloud, and App Store (Apple, 2024). Apple’s valuation has increased remarkably from $1 trillion in 2018 to $3 trillion by June 2023 (Zhang, 2024). Its total net sales also increased from $383,285 million in 2023 to $391,035 million in 2024 (Apple, 2024).
Slide 3
Slide 4
The PESTEL analysis enables identification of the market and non-market elements (Johnson et al., 2013)
Political factors: Geopolitical instabilities and tariffs increase production costs (Cheng, 2024).
Economic Factors: Weakness of foreign currencies such as Renminbi and yen against the U.S. dollar affects the company’s revenue (Apple, 2024).
Social factors: Brand loyalty boosts sales, but high product prices make consumers consider Apple’s competitors (Zhao, 2024)
Technological Factors: Advancements in AI and 5G allow Apple to innovate its iPhone and Vision Pro, though this increases data privacy and cybersecurity expenses (Liang, 2024).
Ecological Factors: Apple has succeeded in applying 100% renewable energy in its corporate facilities, and the “Daisy” robot promotes conservation of resources (Liang, 2024).
Legal Factors: Apple promotes diversity and inclusion, but the current antitrust investigations are affecting its operations (Cheng, 2024).
Slide 5
Applying Porter’s Five Forces to analyse Apple Inc. improves understanding of the industry (Johnson et al., 2013).
Threat of new entrants (low): Apple’s significant R&D investment ($26,251 million in 2022 to $29,915 million in 2023 and $31,370 million in 2024) ensures unbeatable supply chain efficiency and brand recognition (Apple, 2024).
Bargaining power of suppliers (moderate): There is high competition over resources, but Apple utilises long-term contracts to negotiate favourable agreements with suppliers such as AGC Incorporated, Samsung, Sunrex Technology Corporation, and others (Apple, 2022).
Bargaining power of buyers (moderate): Although consumers have access to products from Huawei, Samsung, and Xiaomi, brand loyalty minimises switching behaviour within Apple’s customer base (Zhao, 2024; Zhang, 2024).
Threat of Substitutes (Moderate): Apple’s ecosystem faces constant competition, but the company maintains its competitive advantage through product differentiation (Zhang, 2024).
Industry Rivalry (High): Apple faces intense competition from Huawei, Google, Microsoft, and Samsung (Zhang, 2024).
Slide 6
Cost focus and leadership do not apply to Apple, it targets higher margins; hence, the relevant strategies are differentiation-based (Islami et al., 2020)
Differentiation Strategy
Software-hardware integrations, such as iOS, macOS, and proprietary chips, differentiate Apple from its competitors through enhanced efficiency and performance (Apple, 2024).
Differentiation focus
Apple targets affluent consumers with products such as iPhone Pro and MacBook Pro, but also offers iPad Air and iPhone SE to meet the preferences of buyers who seek affordability (Budiono & Ellitan, 2024; Apple, 2024).
Slide 7
Only positions 4 and 5 apply to Apple (Yu, 2021).
Differentiation strategy (Position 4)
Apple relates to high value and mid-to-high price as it manufactures superior products and sells them at premium prices (Apple, 2024). The firm’s ecosystem lock-in and customer loyalty sustain the demand for the devices and services (Budiono & Ellitan, 2024).
Focused Differentiation (Position 5)
Apple focuses on high value and price. The firm designs high-end devices such as Vision Pro, iPhone Pro, and MacBook Pro. Additionally, Apple Silicon, privacy aspects, and augmented reality (AR) strengthen the company’s positioning as a producer of luxury technology (Apple, 2020).
Slide 8
The matrix’s main strategies are diversification, market and product development, and market penetration (Zhang, 2024).
Market penetration
Apple operates in 25 countries, has over 518 retail stores, and its major market segments are Greater China, the Americas, Japan, Europe, and the Asian Pacific (Zhang, 2024; Budiono & Ellitan, 2024). However, saturation of the U....
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