Apple and Porter's Five Factors Essay

1851 Words Jan 16th, 2013 8 Pages
Apple Inc.

Executive Summary Apple was not just innovative; the company was disruptive. The ability of the tech giant to go from an electronics company on the fringe of obscurity to creating an ecosystem of “must-have” products has been nothing short of amazing. The company did it by being disruptive. When Apple launched the iPod, Steve Jobs created a device that changed not only how the consumer listens to music, but also how he or she communicates, takes pictures, reads, or just passes time. Apple took smartphones to a new level, creating something sleek and innovative. Jobs created a cool new music player for “cool” people. The company established a high-cost narrow-focused market segment (Baltzan, 2011). The iPod and Apple
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These are all products that other companies have attempted to duplicate, some with success, yet never to the point of supplanting Apple as the leader. More importantly, with the creation of the iPhone, Jobs created a piece of mobile hardware with a mobile operating system that utilizes mobile applications. While the iPhone came loaded with standard mobile software applications (apps), third party software designers were permitted, with some limitations, to create app for use on the iPhone’s operating system. While Google’s Android based phones also utilize apps and are rapidly gaining market share, Apple retains the advantage of app developer loyalty. According to a 2012 New York Times Technology article, the developers prefer to make apps for Apple due to ease and/or profitability. Designers prefer creating software for Apple’s operating system, and this loyalty combined with brand recognition and performance is what has created the competitive advantage for Apple. Consumers are willing to pay a premium for a device that accesses Apple’s App Store. A sign of Apples competitive advantage: these items never go on sale.

Why are data, information, business intelligence, and knowledge important to Apple? Give an example of each type in relation to the iPads. Utilizing data, information, business

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