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By;- pooja kumari
4th
semester
Strategic
management
of
apple inc.
Introduction
• Apple Inc is an American multinational
organization the Silicon Valley.
• It focuses on designing and developing the
personal computers, other related software
products, and the electronic products such as
MP3 players and iPods and iphones.
• Apple Inc was founded in 1976 and since then
Apple Inc has been leading the way in
innovating new products.
Cont.
Apple Inc has transformed its image from an
inventive computer manufacturer to a fully-
fledged consumer’s electronic company.
The most recent iPhone, is iphone7 and 7plus
and it was announced and released in
September 2016. iphone has also announced a
special adission phone “iphone SE”.
Company profile
• Apple has maintained its great success with its
ability to understand what the consumer wants
before the consumer even knows what they
want; Apple effectively creates wants by their
constant creative innovation and unique design
which is stylish, user friendly and affordable.
• People can easily recognize an apple whether
it's the I-Pod, the I-Phone, the Mac Air or the I-
Pad.
Cont.
• This marketing genius of Apple has seen this
company outperform beyond the business world's
expectations. While so many companies are struggling
to break even in the current recession Apple is getting
stronger by the day.
• PRODUCTS and SERVICES
Apple Store, Mac, iPod, iPhone, iPad, iTunes.
Other Products and Services
Desktops, Xserve, Notebooks.
Objective of study
1. To analyze the strategic management of the
company.
2. To know about the internal and external
factors of environment.
3. SWOT analysis of the company.
4. To do the situational analysis.
5. To study companies competitive advantage.
Literature Review
Research MethodologyResearch Methodology
• Secondary ResearchSecondary Research
• Quality ResearchQuality Research
- Environmental Scanning & MonitoringEnvironmental Scanning & Monitoring
- Peer Reviewed Journal ArticlesPeer Reviewed Journal Articles
Short-Term Solvency RatioShort-Term Solvency Ratio
Current Ratio =Current Ratio =
Source: Hoovers
Short-Term Solvency RatioShort-Term Solvency Ratio
Quick Ratio =
Current Assets - Inventories
Current Liabilities
Source: Hoovers
Long-Term Solvency RatioLong-Term Solvency Ratio
Debt to Equity Ratio =
Total Liabilities
Shareholders Equity
Source: Hoovers
Efficiency RatioEfficiency Ratio
Receivables Turnover =
Net Credit Sales
Avg. Accounts Receivable
Source: Hoovers
Financial SummaryFinancial Summary
• Strong RatiosStrong Ratios
• Positive predictions for financial growthPositive predictions for financial growth
• Profit margins leveling outProfit margins leveling out
SWOTSWOT
AnalysisAnalysis
StrengthsStrengths
• Strong cash baseStrong cash base
• Intellectual capitalIntellectual capital
• Technology leaderTechnology leader
• Brand imageBrand image
• Charismatic leadershipCharismatic leadership
• iTunes StoreiTunes Store
WeaknessesWeaknesses
• Lower profit marginsLower profit margins
• Dividends rarely paidDividends rarely paid
• Lack of succession planningLack of succession planning
• Presence in business arenaPresence in business arena
• Underdeveloped customerUnderdeveloped customer
relationshipsrelationships
OpportunitiesOpportunities
• Digital business strategiesDigital business strategies
• Customized user experienceCustomized user experience
• Strengthen brandStrengthen brand
• Expand strategic allianceExpand strategic alliance
• Global expansionGlobal expansion
ThreatsThreats
• TechnologyTechnology
• Volatile customersVolatile customers
• CompetitionCompetition
–GoogleGoogle
–MicrosoftMicrosoft
–NokiaNokia
SourceS ofSourceS of
competitivecompetitive
AdvAntAgeAdvAntAge
Sustainable Competitive AdvantageSustainable Competitive Advantage
The Advantage is that theThe Advantage is that the
corporation has over theircorporation has over their
competition that is unique andcompetition that is unique and
valuable and not easilyvaluable and not easily
duplicated.duplicated.
Sustainable Competitive AdvantageSustainable Competitive Advantage
• Digital business strategyDigital business strategy
• Strategic allianceStrategic alliance
• Intellectual CapitalIntellectual Capital
• Customer reward programCustomer reward program
• Innovation focusInnovation focus
• Sales promotion / discountsSales promotion / discounts
Conclusion and Findings
• It is concluded from the strategic management
analysis at APPLE Inc. that technological industries
are never easy to compete with.
• They have a lot invest at R&D and have to be
proactive in order to compete with their competitors
in the industry.
• They don’t need to wait for people buy their products
only when they are on sale but they need to focus
more on the customer support and improve the areas
they already have problems.
References
• http://www.strategicmanagementinsight.com/swot-
analyses/apple-swot-analysis.html
• http://investor.apple.com/secfiling.cfm?filingID=1193125-12-
444068
• http://www.strategicmanagementinsight.com/swot-
analyses/apple-swot-analysis.html
• http://investor.apple.com/secfiling.cfm?filingID=1193125-12-
444068
• Strategic management concept
Thank
you

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Strategic Management of Apple Inc

  • 2. Introduction • Apple Inc is an American multinational organization the Silicon Valley. • It focuses on designing and developing the personal computers, other related software products, and the electronic products such as MP3 players and iPods and iphones. • Apple Inc was founded in 1976 and since then Apple Inc has been leading the way in innovating new products.
  • 3. Cont. Apple Inc has transformed its image from an inventive computer manufacturer to a fully- fledged consumer’s electronic company. The most recent iPhone, is iphone7 and 7plus and it was announced and released in September 2016. iphone has also announced a special adission phone “iphone SE”.
  • 4. Company profile • Apple has maintained its great success with its ability to understand what the consumer wants before the consumer even knows what they want; Apple effectively creates wants by their constant creative innovation and unique design which is stylish, user friendly and affordable. • People can easily recognize an apple whether it's the I-Pod, the I-Phone, the Mac Air or the I- Pad.
  • 5. Cont. • This marketing genius of Apple has seen this company outperform beyond the business world's expectations. While so many companies are struggling to break even in the current recession Apple is getting stronger by the day. • PRODUCTS and SERVICES Apple Store, Mac, iPod, iPhone, iPad, iTunes. Other Products and Services Desktops, Xserve, Notebooks.
  • 6. Objective of study 1. To analyze the strategic management of the company. 2. To know about the internal and external factors of environment. 3. SWOT analysis of the company. 4. To do the situational analysis. 5. To study companies competitive advantage.
  • 8. Research MethodologyResearch Methodology • Secondary ResearchSecondary Research • Quality ResearchQuality Research - Environmental Scanning & MonitoringEnvironmental Scanning & Monitoring - Peer Reviewed Journal ArticlesPeer Reviewed Journal Articles
  • 9.
  • 10. Short-Term Solvency RatioShort-Term Solvency Ratio Current Ratio =Current Ratio = Source: Hoovers
  • 11. Short-Term Solvency RatioShort-Term Solvency Ratio Quick Ratio = Current Assets - Inventories Current Liabilities Source: Hoovers
  • 12. Long-Term Solvency RatioLong-Term Solvency Ratio Debt to Equity Ratio = Total Liabilities Shareholders Equity Source: Hoovers
  • 13. Efficiency RatioEfficiency Ratio Receivables Turnover = Net Credit Sales Avg. Accounts Receivable Source: Hoovers
  • 14. Financial SummaryFinancial Summary • Strong RatiosStrong Ratios • Positive predictions for financial growthPositive predictions for financial growth • Profit margins leveling outProfit margins leveling out
  • 16. StrengthsStrengths • Strong cash baseStrong cash base • Intellectual capitalIntellectual capital • Technology leaderTechnology leader • Brand imageBrand image • Charismatic leadershipCharismatic leadership • iTunes StoreiTunes Store
  • 17. WeaknessesWeaknesses • Lower profit marginsLower profit margins • Dividends rarely paidDividends rarely paid • Lack of succession planningLack of succession planning • Presence in business arenaPresence in business arena • Underdeveloped customerUnderdeveloped customer relationshipsrelationships
  • 18. OpportunitiesOpportunities • Digital business strategiesDigital business strategies • Customized user experienceCustomized user experience • Strengthen brandStrengthen brand • Expand strategic allianceExpand strategic alliance • Global expansionGlobal expansion
  • 19. ThreatsThreats • TechnologyTechnology • Volatile customersVolatile customers • CompetitionCompetition –GoogleGoogle –MicrosoftMicrosoft –NokiaNokia
  • 21. Sustainable Competitive AdvantageSustainable Competitive Advantage The Advantage is that theThe Advantage is that the corporation has over theircorporation has over their competition that is unique andcompetition that is unique and valuable and not easilyvaluable and not easily duplicated.duplicated.
  • 22. Sustainable Competitive AdvantageSustainable Competitive Advantage • Digital business strategyDigital business strategy • Strategic allianceStrategic alliance • Intellectual CapitalIntellectual Capital • Customer reward programCustomer reward program • Innovation focusInnovation focus • Sales promotion / discountsSales promotion / discounts
  • 23. Conclusion and Findings • It is concluded from the strategic management analysis at APPLE Inc. that technological industries are never easy to compete with. • They have a lot invest at R&D and have to be proactive in order to compete with their competitors in the industry. • They don’t need to wait for people buy their products only when they are on sale but they need to focus more on the customer support and improve the areas they already have problems.
  • 24. References • http://www.strategicmanagementinsight.com/swot- analyses/apple-swot-analysis.html • http://investor.apple.com/secfiling.cfm?filingID=1193125-12- 444068 • http://www.strategicmanagementinsight.com/swot- analyses/apple-swot-analysis.html • http://investor.apple.com/secfiling.cfm?filingID=1193125-12- 444068 • Strategic management concept