The factors relating to competition and market participants are needed to be considered in this case. Diversification: Apple in this segment should develop new strategies towards to avoid the risks by developing new products and entering in other segments. The company should consider the existent demand and economic factors as they can create issues. AC 1.3 Explain different planning techniques that organizations can use Planning techniques are useful in creating different plans and strategies of an organization that can increase its efficiency. The various planning techniques can be explained in the context of Apple Inc are given below: BCG growth Matrix: The Boston Consulting Group Growth matrix is regarded as one of the most efficient planning techniques that the managers of an organization utilize for the purpose of planning the product portfolio of the organization.
It has being acknowledged as the most valuable brand. The advantage was many praised for his ability to spot opportunities for new products that other people missed; and his clear conceptualized capability. This make Apple become successful, dominate the whole market, and beat their competitors. He was also known to create space in Apple for new products to exist and motivate Apple employees to build them. The products and services are incomparable with others products because it has the best quality products and services in the mobile industry.
How they attained this status was by being different from most other companies out there. As a result, competitors copy Apple's products and designs to reduce the differentiation status they hold over them. This forces Apple to come up with more innovative ideas to remain ahead of their competitors and retain their market share As such, Apple holds a high product differentiation in their markets until technology diffusion makes their products available to their competitors to copy. 5) Technology: Apple, having expertise in the computer technology and the industry, has become a global leader in the computer industry and its research and development. Currently, they have expanded computer technology into phones, laptops, tablets, music players, and recently into watches with the help of medicine.
To effectively apply this generic strategy, the company must continue emphasizing innovation through research and development. Apple must continually develop innovative products so that the firm always stands out against competitors. So the broad differentiation generic strategy compels Apple to always innovate to keep itself always ahead of competitors. Thus, continuous innovation is one of Apples strategic objectives based on the broad differentiation generic strategy. In addition, the company must ensure that it keeps expanding its market reach.
Lean approach gained much attention after it proved to be extremely useful for Toyota as it intended to have the enterprise think first and foremost about maximizing the value that its products and services can bring to the client. This change proved to be very advantageous for Apple has it helped in decreasing waste and inefficiencies not only in physical materials but also in time and cost. Apple is considered to be understaffed by most of the critiques but the reason behind that is that the company wants to maximize productivity even with limited resources. This can be related to setting unrealistic deadlines for each task by the upper management. As much as this is debated upon, the basic goal behind this is to increase employee productivity and to maximize their contribution and efforts given a limited time frame.
Unit 1- Business and Business Environment Prepared By: Malik Amin Assessment 2 1. Impacts of Macro-Environment: The external environment can have lasting negative and positive effects on the performance of Apple Inc. Since it is a global company, the external environment varies from one market to another ( ). For instance, the deregulated third world markets can have negative impact on performance of Apple since most of its devices are sold in the black market or through dealers that are not directly authorized by the company. On the other hand, the regulated and stringently monitored markets in developed countries pose an opportunity to the company for increased profits and market share.
APPLE’S ORGANIZATIONAL ENVIROMENT Apple is one of the most successful company’s in the world that has a very notable reputation of being high end and wishes to uphold that reputation. Apple is one of the investor’s favorite firms to invest in due to the strong revenue generated and the high return on investment. Apple takes noticeable care of its External Environment. That’s why this company is doing so well. To begin with the specific environment such as the customers of the business, as with any business, the customer demand is what driver’s revenue and subsequent profits for their company.
Opportunities Growing demand for smartphones – obviously incorporates new potential customers and profit iCloud further integration – may enhance the attractiveness of other products of the Apple Inc. Threats Other smartphone manufacturers – create substantial pressure on the company market share, through offer of cheaper products with analogous features Customization – compared to other smartphones, Apple production lacks this ability, therefore customers might switch to other
Apple is constantly searching for new technology of recycling process to recover additional materials used and increase resource efficiency. With the strong competitors in the market, Apple has to keep up its pace in the market and gain competitor advantages through developing its capabilities. The organization can build capabilities to enable itself to initiate market changes that can enhance their strategic position and allow firm to accustom to the dynamic market conditions. Although Apple generally focuses on innovation, efficiency and flexibility are also adopted by the firm for an integrated HVE. However, the report will be solely focusing on
• Digital disruption is about creating better brands, resulting in better dialogue with its customers and getting its brands to the market in a faster and more efficient way. • Digital disruption encourages companies to disrupt its way of doing things with its brands to create a more enjoyable customer experience • Disruption is about improving the people in a company as well as improving or removing processes. • Digital disruption can only work successfully in a company that is ready for ongoing change. • Implementing digital technology is also not about replacing a company’s workforce, but enabling them to develop their careers, using different skills and at the same time contribute to the company’s profits. • With customers at the centre of a company’s activities the emphasis has moved to the technology savvy and more connected companies.