Essay about Case Analysis Of Apple

1178 Words Feb 17th, 2015 5 Pages
Case analysis of “Apple Inc. in 2012”
This is an individual submission. Submissions may be up to 1,250 words. For this write-up, please answer the following questions. Your answers should be derived from the material presented in the case, so you should not require outside sources in order to prepare your response. Please pay attention to the value of each question when determining how much effort to expend on answering it.
Citations from the case may be simply a page number [e.g., Apple was almost bankrupt in the late 1990s before the second coming of Steve Jobs (p. 1)]. Any citations from other materials must include sufficient information for us to identify the source. APA bibliography format will ensure that complete
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Bargaining power or buyers
“Pc buyers fell into 5 categories home, small and medium sized, corporate, education and government” (Pg 5) later on bigger manufactures started to buy these products such as Costco, Best Buy and Walmart. In turn this made the bargaining power of buys high because there were so many substitutes and many places where you could purchase them. However it is to be noted that Apple started to have really loyal customers which made the price inelastic as consumers would begin to pay anything for a new Apple product.
Bargaining power of suppliers
“ Suppliers were divided into 2 groups those that made products such as chips, disks and drives and keyboards with many sources and those that sold products like microprocessors and operating systems which had a few sources” (Pg 6) Even though the second first category had many suppliers they still had high bargaining power as the had extremely competitive prices. The second category had even more bargaining power as only 2 firms were supplying those parts. Overall the industry is very unattractive with rivalry, bargaining power of buyers and suppliers being high as well as threat of substitutes. I would not suggest entering this industry. Also if you just look at how many different CEO’s Apple had and what a struggle they had one

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