Apple Competitive Advantage

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1. What, historically, has been Apple’s competitive advantage?
Apple Inc. was founded in 1976 when the first personal computer entered the IT market. The differentiation strategy implemented by the founder, Steve Jobs, allowed them to stand out of the crowd and turn into one of the most innovative PC manufacturers. Basically, the innovativeness was noticed primarily in the hardware design and technical elegance. The Apple computers were smaller in size and functionally more developed, what could not stay without public attention. In addition, from the very start, Apple Inc. relied on the individual retail method where the chain of the Apple stores was developed as the major distributor of the Apple production.
2. Why did Apple struggle historically
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How sustainable is Apple competitive position in PCs, MP3 players, and smartphone?
Apple Inc. remains committed to the market of personal computers for several decades. Appealing design, positive brand reputation, superior quality, large customer base, and complete technological solution are only some of the possible advantages beneficial for the Apple users. The sustainable market share with steadily maintained a ratio of around 3-5% allows talking about the stable competitive position within the last 10 years.
In regards to MP3 players, Apple Inc. made a big revolution in the sphere of music listening, but these technological advances have been already in the past. Thus, the company does not see any perspectives in the further development of this exact market segment, unless it comes to the MP3 players built into smartphones. Apple iPhone entered the market in 2007 as a revolutionary product of broad functionality and high quality. The brand developed by Apple does not leave indifferent those who wish to have the best out of the best technological advances even for the higher than average
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launched iPad as a gadget with the same functionality as a PC, but even more convenient in use. By comparison with a PC, the low prices for iPad turn out to be its crucial benefit. Apple Inc. has the intention to broaden the chain of the premium class iPads with the extended range of functions and more powerful software and hardware constituents. This will allow substituting PCs in many sectors of the industrial and business field. At the same time, the inner element of the middle-priced iPads will be constantly improved. Thus, Apple Inc. works on the gradual implementation of the iCloud storage and its expenditure within the iPad system. When iCloud storage is enabled in the iPad, the system can operate more complex apps and system programs. Within the long-term perspectives, iPad can replace all PCs when the system will be developed enough to operate the same
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