Thursday, October 31, 2019
Apple's Strategy in the PC and MP3 Player Industries Essay
Apple's Strategy in the PC and MP3 Player Industries - Essay Example Apple made the difficult transition by having the chief elements of a successful strategy in place that allowed the company to formulate and execute the right moves: (1) high quality people such as managers, engineers, designers, marketing support, etc.; (2) a solid set of core competencies and competitive capabilities, and (3) the right company structure. These three key elements define Apple as a business organization and account for its success in launching innovative products that were profitable and that grabbed a major share of the market (Thompson & Strickland, 2006). First, AppleÃ¢â¬â¢s workers are among the most creative and smartest in the industry. It has managed to attract an overwhelming number of applicants for each job vacancy on the basis of its corporate image and the privilege of working for a corporate icon of the computer industry, a company package that includes CEO Steve Jobs who started the personal computer revolution. The companyÃ¢â¬â¢s compelling vision of making technology more accessible to the masses by promising to have a beautifully designed quality technology product for almost anybody attracted these workers. Second, Apple has a core set of competencies and competitive capabilities. It has a substantial amount of brand equity, which means that the Apple brand is easily recognizable and associated with a set of attractive features that create an emotional impact on customers. Its blockbuster successes in designing products have given it an edge in product differentiation, allowing the company to command a premium price because it enjoys a first mover advantage that continuously attracts a relatively stable market to buy its products. By coming up first with products that incorporate new technological developments in an elegant and easy-to-use form, such as the graphics user interface, the mouse, the special look and feel that enchants first-time computer users and makes them loyal customers, and now the iPod and its derivative products, Apple shows how it integrates its Research & Development (R&D) function to bring innovations to market in a profitable manner.