Founded by Steve Jobs, Steve Wozniak and Ronald Wayne in the year 1976, apple Inc. is one of the largest multinational technology company around the globe. The vision of its founders were grounded in the development, design as well as the sales of computer and consumer electronics. The implications of being the largest technology company, Apple Inc. growth and development is implicated within its strategic goals and objectives. Faced with fierce competition from other companies such as Samsung, and Microsoft, the company has evolved its strategic objectives to encompass innovation of new products while redefining consumer needs. The strategy are in place not only to serve the current profitability of the company, but also to ensure future relevance and competitive advantage in the market.
The external business environment of the company affects the strategic goals and management of the company. There are several external factors that are detrimental to the strategic goals of the company. One, political factors that denote the political atmosphere of the countries and nations the company operates on. These factors that include tax and trade policies such as tariffs among other regulations represents both limitations and opportunities towards the growth and development of the company. The second include the economic environmental factors that denote micro and macroeconomic issues that affect market access as well as distribution. The third includes technology factors within the industry as well as the business environment (Khan, Alam, and Alam, 2015). Technological factors are detrimental to the relevance of the company as well as having a competitive advantage in the market. For instance, rapid technological growth and advancement have implications on the ability of the company to develop and grow new products.
Delegate your assignment to our experts and they will do the rest.
Current strategies and objectives employed by the company are based on three fundamental facets. One, research and development takes precedence in the production of new products and services offered by the company. The effectiveness of this strategy is led by the mission and values of the company to become the world leader in communication and technology. Second, product pricing that is unique to Apple Inc. and its targeted consumer base. The strategy is employed as a marketing tool as well as a management tool that allows the company to increase its profitability on its products while maintaining high quality in its products. Third, the distribution of its products through innovative supply chain unique to the company itself (Zhang, 2017). Applications of these strategies have enabled to increase the revenue of the organization as well as an increase in market share across the world. The future projection of the company can be underscored with increased productivity as well as acquisition of new markets. This is founded by the steady increase in growth of the company in the last eight years.
As the new Apple Inc.’s CEO, the recommendation towards the company in its strategies would be the innovation of the distribution network. While the company operates its own distribution network, the operation is highly costly and therefore reduces the profits of the company. Therefore, due to the increase in technology advancement in online platforms, the organization would be well suited to increase its online sales presence (Wheelen, et al. 2017). This can also be complemented by outsourcing other physical distribution networks to increase its reach to more markets across the globe.
Apple Inc. is faced by competitive strategies from its major competitors that include non-targeted market acquisition. This strategies are employed by companies such as Samsung and Microsoft where they price their products at fair market prices that can be afforded by large proportions of the market population (Dolata, 2017). Apple Inc. however combats these strategies through leveraging the quality, brand and reputation of the organization to its products. Secondly the company employs a cultural perspective within branding to increase consumer loyalty as well as new consumer acquisition.
References
Dolata, U. (2017). Apple, Amazon, Google, Facebook, Microsoft: Market concentration-competition-innovation strategies (No. 2017-01). Stuttgarter Beiträge zur Organisations-und Innovationsforschung, SOI Discussion Paper.
Khan, U. A., Alam, M. N., & Alam, S. (2015). A critical analysis of internal and external environment of Apple Inc. International Journal of Economics, Commerce and Management, 3(6), 955-961.
Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E. (2017). Strategic management and business policy . pearson.
Zhang, Qian. (2017): "Research on Apple Inc’s Current Developing Conditions." Open Journal of Business and Management 6.01: 39.
