Case Study Apple Corporation

The January 19, 2011 edition of the Wall Street Journal reported that Apple, Inc. posted a 78% surge in profit and record sales, but company executives failed to elaborate on the sudden medical departure of Apple Chief Executive and founder, Steve Jobs. Apple is known for creating innovative products that people need even before people know they need them, and much of that innovation stems from Apple Chief Executive, Steve Jobs. Apple's latest successes come from the strong demand for its iPhones, iPads and Macintosh computers. For the 3rd quarter 2010, Apple reported selling 16.2 million iPhones, nearly twice as many as the year before. It also sold 7.3 million iPads, well beyond its initial projections of 6 million. Its sales of Macintosh computers were up 23% from a year earlier. The iPod appears to be stagnant, with sales falling 7% over the previous year, probably as a result of market saturation and competition. Overall, Apple appears to be in a strong growth position for the near term, especially with its iPhone, as it will be carried by Verizon Wireless , the nation's largest wireless service provider. In addition to its current product lines, Apple appears to have a several patents for gestural interfaces and wireless connectivity that hint at intriguing new devices and applications for years to come. (Business Insider February 1, 2011)

Steve Jobs, Apple's Chief Executive Officer and founder, announced that he was taking a medical leave for an unspecified health issue, after receiving a liver transplant two years earlier. There is concern among Apple shareholders and investors that Steve Jobs is an important piece of Apple's success and this concern was reflected in the initial slump of Apple's share price after the announcement was made. While investors expressed this concern over Mr. Jobs' health, Apple executives stressed the importance of the company's business. "The team here has an unparalleled breadth and depth of talent and a culture of innovation that Steve has driven in the company," stated Tim Cook, Apple's chief operating officer.

Google the words "Apple" and "CEO" and many articles will appear with titles like "Is Steve Jobs Irreplaceable as Apple's CEO?" and "The Toughest Challenge for Steve Jobs' Heir Will Be To Replicate His Management Style." It's no wonder why Steve Jobs' heir has big shoes to fill. Steve Jobs has been vital to the growth of Apple since he took over for a second time back in 1987, when it was almost bankrupt. Many of Apple's greatest breakthrough innovations have come directly from Steve's ability to predict what people will want even before they want it. He is a dreamer and innovator, but also a doer and executor �€" a creative and business genius at the same time. (NPR, January 18, 2011)

While it is true that Steve Jobs is a unique,