New York City. This prove that Apple Inc operating cost have reduces because the operating cost in China is lower than in its home country (Nagaraj, 2015).
(Dudovskiy, 2014)
Partner Countries
The third component of star analysis that will be discussed is partner countries. The theory that is going to be related with partner countries is strategic alliances. Strategic alliances refer to cooperative agreements between potential or actual competitors that range from formal joint ventures to short-term contractual. One of the most recent alliance of Apple is with AT&T company. AT&T is the largest U.S telecommunication provider with more than 80 million subscribers. Apple-AT&T alliances remain rocky, partly because of the network investments that AT&T needed to make and no doubt also because of the high cash subsidies AT&T paid to Apple for every new subscriber. However, by the time this contract was up for renewal, the Apple iPhone was a proven killer product. As a result, Apple maintained a strong bargaining position with the telecom providers, ensuring that it would receive continued product payments as the telecoms sold Apple products to subscribers (Gomes-Casseres, n.d.).
An important advantage that Apple …show more content…
Although competing in the global market can be something very difficult but still following the strategies that is use by each component of the star analysis can help the company to reach its global competitive advantage. For instance, Apple Inc able to develop its products and services in its home country. Various frameworks and theoretical ideologies have been presented in order to know the most suitable methods for Apple Inc to achieve global competitive advantages. Hence, the analysis tries to configure how the value chain of the Apple Inc help to reach a global
(Dudovskiy, 2014)
Partner Countries
The third component of star analysis that will be discussed is partner countries. The theory that is going to be related with partner countries is strategic alliances. Strategic alliances refer to cooperative agreements between potential or actual competitors that range from formal joint ventures to short-term contractual. One of the most recent alliance of Apple is with AT&T company. AT&T is the largest U.S telecommunication provider with more than 80 million subscribers. Apple-AT&T alliances remain rocky, partly because of the network investments that AT&T needed to make and no doubt also because of the high cash subsidies AT&T paid to Apple for every new subscriber. However, by the time this contract was up for renewal, the Apple iPhone was a proven killer product. As a result, Apple maintained a strong bargaining position with the telecom providers, ensuring that it would receive continued product payments as the telecoms sold Apple products to subscribers (Gomes-Casseres, n.d.).
An important advantage that Apple …show more content…
Although competing in the global market can be something very difficult but still following the strategies that is use by each component of the star analysis can help the company to reach its global competitive advantage. For instance, Apple Inc able to develop its products and services in its home country. Various frameworks and theoretical ideologies have been presented in order to know the most suitable methods for Apple Inc to achieve global competitive advantages. Hence, the analysis tries to configure how the value chain of the Apple Inc help to reach a global