Introduction
The development of technologies and rapid computer and artificial intelligence progress challenge many companies, as well as create new opportunities and competitions. To be successful, organizations must elaborate on the best business plans and introduce prosperous strategies. Apple Inc. was founded by Steve Jobs at the end of the 20th century and continues to improve today. It is known for its “glamorous product design, updated technology and aggressive visionary pioneer” (Khan, Alam, & Alam, 2015, p. 956).
In this paper, attention will be paid to Apple’s competencies and business strategies that make the company competitive and thriving for a long period. Being one of the most profitable technology organizations, Apple bases its business model on product innovation, consistency, and functionality, which enhances its global position, customer loyalty, and high incomes.
Goals and Vision
In the late 1970s, people got a great chance to change their vision about an ordinary fruit, apple. It was the achievement of Steve Jobs, who initiated a pure IT company and turned it into one of the well-known consumer products in such fields as computer software, digital distribution, and financial technologies (Khan et al., 2015). Among a variety of goals of the company, Apple focuses on the development of users’ experiences by means of innovative hardware and other services, the improvement of human lives, and empowerment with high-quality products.
The Apple team believes that it is possible to create great products on the earth continuously. There are three main components that influence the creation of Apple’s vision, including innovation, excellence integration, and market capabilities (Purkayastha & Sharma, 2016). The expansion of retail stores, online services, and third-party distribution contribute to company-client cooperation globally. The idea that “a high-quality buying experience with knowledgeable salespersons who can convey the value of the Company’s productions and services greatly enhances its ability to attract and retain customers” is supported (Apple Inc., 2018). Although Apple has to follow recent innovations and opportunities, the company also tries to stay connected with its customers and prove the worth of their loyalty.
Business Strategies
Apple is known for the implementation of a variety of business strategies, which makes it competitive in the chosen technology market. The combination of product innovation under various regimes and novelty ideas proves its strength in digital device integration (Purkayastha & Sharma, 2016). It was not enough for Jobs to introduce a good product that attracted the attention of millions of people worldwide.
His major intention was to enter the market with unique ideas and beat competitors. Its marketing mix is based on professionally developed environmental and SWOT analyses. The team of experts identifies the main demographic, economic, and socio-cultural components and sets new standards for technological and environmental standards. In addition, a good understanding of its strengths (innovation and brand image), weaknesses (high pricing policies), opportunities (acquisition and diverse products), and threats (new competitors like Xiaomi) enhances the work of the company.
The development of digital and innovative business strategies requires time and effort. Apple demonstrates evident positive achievements, focusing on an informative advertisement, price battles, and simplicity. Multiple services are integrated to create a compelling value proposition (Purkayastha & Sharma, 2016). Alliances with Sony and Phillips increase the number of customers globally and enhance additional investments from external sources (Khan et al., 2015). Although many people criticize Apple for its high prices and unstable pricing policies, the success of the company cannot be ignored because people want to know what they can get at the moment and in the future.
Pros and Cons of Apple’s Work
The work of Apple is recognized around the world, and it is expected to have many supporters, as well as opponents, of the strategies chosen by the company. During the last several decades, Apple remains one of the strongest organizations that aim at the promotion of technologies, computers, and other associated devices and programs. Therefore, the strength of its business strategies cannot be neglected. The size of Apple Inc. is impressive, and it is impossible to destroy it without taking multiple and rather serious efforts. The company continues expanding its platform and investing in diversity and digital discovery (Apple Inc., 2018).
Therefore, the main pro of the chosen business strategies is its stability and indestructibility. Other benefits include changes in the financial area of the company without neglecting the importance of compliance with the US and foreign laws, tax policies, and anti-corruption regulations (Apple Inc., 2018). Intellectual and financial resources work for the company regularly and stably.
One of the evident shortages in the work of Apple is its evident preference of one particular technology, iPhones. The company develops its business model around iPod, iPhone, and iPad, neglecting the possibility of other products’ demand (Purkayastha & Sharma, 2016). Its pricing policy does not demonstrate positive changes, and the company is under threat of facing new competitors like Xiaomi, the goal of which is to reduce prices to its possible profitable extent. Many people admit that the loss of Steve Jobs negatively influenced the progress of Apple, and new changes have to be made in a short period of time.
Future Development
Some people consider the future of Apple as safe and sound, and many researchers admit the weaknesses that challenge every member. Focus on innovation should be thoroughly developed, and people must realize that they can get new unpredictable opportunities with Apple. Purkayastha and Sharma (2016) introduce the combination of innovation and strategic management tools as the model to be followed by Apple because it promotes a new form of organization and services. Khan et al. (2015) recommend broadening the board of directors because the improvements in corporate governance are necessary.
Such problems as the lack of communication, weak human resource management, and never changing vision and goals may negatively influence the future of the company. New investors, product diversification, and the reduction of prices are the critical steps to solve the current Apple’s problems. It is high time to stop ignoring threats that come from Xiaomi or similar companies and take a new step to demonstrate the power and uniqueness of Apple.
Conclusion
In general, it is wrong to believe that the success of Apple is something usual or expected. The work of Steve Jobs was extremely important for the company, and his absence determines new challenges and problematic areas. Apple had several decades to prove itself as a leader in the fields of computer software, artificial intelligence, and other technologies. However, its achievements can no longer work for the company. It is necessary to analyze its current business strategies like those of innovation, novelty, and product integration and introduce a new option that absorbs the latest ideas and services.
References
Apple Inc. (2018). Form 10-K: For the fiscal year ended September 29, 2018. Web.
Khan, U. A., Alam, M. N., & Alam, S. (2015). A critical analysis of internal and external environment of Apple Inc. International Journal of Economics, Commerce and Management, 3(6), 955-961.
Purkayastha, A., & Sharma, S. (2016). Gaining competitive advantage through the right business model: Analysis based on case studies. Journal of Strategy and Management, 9(2), 138–155. Web.