Strategic Managemrent Apple Essay

1899 Words Jan 10th, 2015 8 Pages
Apple in case study

Question 1/ Analyze the microenvironment and drivers of changes of the PC industry. What are the opportunities and threats facing Apple, Inc. (PESTEL analysis, “Uncertainty/Impact” drivers’ analysis and Scenario Planning)? 20% :

a) Opportunities and threats facing Apple, Inc.

Opportunities: * Entrance in new markets; * High levels of demand of Apple’s products (IPhone, IPad); * Damages from competitors who doesn’t respect Apple’s patent; * Exploitation of new advertising methods.

Threats: * High levels of competitiveness; * Dependence on specific suppliers; * Android system Vs. iOS; * Inflation; * Levels of taxes.

b) PESTEL analysis

Political factors:
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It is using the scenario planning to identify a range of potential outcome. It is doing its best to keep being the best even if outcomes happen. Apple is always regarding about its competitor to compete in case one appears quickly in the market and try to becoming the leader.

Question 2/Analyze PC industry. Why Apple struggle historically in PC industry. Identify Porter’s industry analysis forces and how each force pertains to Apple, Inc. Identify the PC Strategic Group Map and Apple’s strategic group position. Is this position favorable or problematic for Apple ? 20% :

The Porter five forces are intensity of competitive rivalry, bargaining power of customers, bargaining power of suppliers, threat of new entrants and threat of substitute products.
The Five Forces model of Porter is intended for analyzing the competition among companies.

Existing rivalry
Apple is the market leader and other competitors whose mission is to steal market share, trying to innovate and increase the quality of their products. But when competitors create a new product, Apple returns to create something new or improve something that already exists and is on top again.
Some of Apple's competitors are:
- Small stylish MP3 players (Samsung, Sony)
- Online music stores similar to itunes stores (Napter)
- Windows and media player for playing music and video (Microsoft)

Apple has a very broad target, with people all over the world and of all ages.

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