Apple’s Strategy

Apple’s Strategy

The chief elements of Apple’s overall competitive strategy include the development and structure of its strategy by means of formulating an effective strategy through distinct innovation that has yielded the introduction of new products and improved existing products. Apple has implementation a categorical strategy that is associated to the innovation with their three core products, which are computers, media players, and cellular devices. To be specific, Apple attempts to meet the needs of a global market by offering customers innovative new products and improved existing products. A key piece of their strategy involves meeting the needs of the converging digital electronics and computer markets. Finally, Apple has opted to enhance its strategy through development and designing an operating system along with software technology, which can easily be protected through intellectual property laws.

Apple’s strategy has evolved over time. Initially, the focus of the company’s strategy was on the computer industry, especially when new products were introduced. However, Apple has recently shifted their focus to more of the digital gadget and computer markets. This notable shift has become a clear distinction in the company’s strategy. Moreover, the engrossment of Apple in the cellular device industry has changed the course of the company significantly and only further demonstrates an alternating strategy.

Apple’s key elements in their strategy for computers are style, lack of price competitiveness, and the limited number of business applications adopted for the Apple computers. Subsequently, the key elements in the company’s strategy for personal media players are late mover advantage, fashionable perception, and music store support. Apple’s key elements in their strategy for tablets and smartphones are first to market innovation, fashionable perception, and app store support.

Competitive Strength Assessment

Apple’s competitive position in the individualized media player industry is significantly stronger than its position in the computer industry. Considering the information provided in Table 1, Apple maintained a market share of seventy-eight percent within the digital music player industry in 2011. At this time, none of Apple’s competitors matched this market share, nor did they even obtain a market share that was relatively close to that of Apple’s. Furthermore, Apple’s music store, iTunes, had a market share of sixty-five percent within the digital music market within the United States and had a twenty-three percent market share within total music sales throughout the country. Amazon, a major competitor, still had significantly less market share than Apple, which demonstrates the strength of Apple as a company and the minimal competition the company faced for these lines of business. Apple’s competitive position in the smartphone industry is also quite notable, as the iPhone was the second best selling smartphone throughout the 2012 calendar year. Additionally, the creation and circulation of the iPhone has drastically increased the demand for smartphones in general, as the number