Value Chain Analysis Of Apple Company

Zhang (2012) defines HVE as “the application of engineering technologies, skills and capabilities to the creation, development and deployment of high value adding products and services that may lead to sustainable economic growth in complex global business networks.” This means that HVE is a methodical approach that adds “value” to the products or services at the lowest cost by doing something that other people cannot do. Thus, the product would be unique such that the organisation will be able to gain competitive advantage in the global business networks.

The typical forms of value creation are materials integration and resource efficiency. Materials integration refers to the creation of innovative products with the combination of resources that are recyclable, reusable and new through cost-effective manufacturing process. Hence, the product would be environmental-friendly and sustainable. As for resource efficiency, it means that raw materials are being exploited cost-effectively to produce the end product for consumers such as by securing the scarcity of resources. These value creations are innovative and efficiency oriented respectively.

For instance, Apple Inc. introduced a product known as iMac, where 30 per cent of its aluminum stand is

The four main characteristics of operation processes are Volume, Variety, Variation in demand and Visibility. Apple’s business produces a few specialized items in big quantity. With such high volume of output, there will be a high degree of repeatability and lower unit cost. Thus, economies of scale are attained. Apple has relatively low variety process, as its products range is limited to electronic category. This implicates that the organization is having simpler operation processes and will mass-produced standardized electronic goods which result in low cost