| March 14, 2016

The Impact Of The Company Mission, Vision, And Primary Stakeholders On Its Overall Success.
Apple is among the tech giants in the world today. The company prides of quality products that it produces. It produces its own soft ware’s and hard wares. Apple mission statements and values originate from the ideas of Steve Jobs (Jurevicius, 2013). He also believed that man should never be a subordinate of the systems. Apple mission statements cannot be termed as a mission statement, It is just a product list of what the company manufacturers, as well as the past accomplishments of the company. Although critics say that the mission statement of the business does not fit the description of a mission statement, the mission statement serves the intended purpose. It communicates about the high-quality products that the company manufacturers (Jurevicius, 2013). Additionally, it also gives a highlight of the key achievements that the company has had. On the other hand, the vision statement of the company is more of a mision statement. The company lists its commitment to ensuring that they deliver the best products to students and professionals. While many say that the mission and the vision statement of the company are poor, the two items has contributed significantly to the success of the company.
The best thing is that the products that Apple produces match the description that they have as their mission statement. They provide the highest quality of hard wares and software. This has also contributed significantly to the growth of the company (Jurevicius, 2013). The primary stakeholders have also played a very critical role in the success of the company. The company top management has been very keen on ensuring that there are continuous improvements and innovation.
Five Forces of Competition For Apple
Bargaining Power of Buyers
Buyer power is moderate. Apple devices cater for an individual, and since each buyer bargain in his or her own, the bargaining power of buyers is reduced. In this case, even if the company loses one client, there will be no significant effect. However, the buyer power remains important since the switching costs are very low. In some of the devices such as mobile phones that Apple manufacturers, the bargaining power of buyers is moderate (Datamonitor, 2011).
Bargaining Power of Suppliers
In the mobile phone and the communications industry, the bargaining power of suppliers is moderate (Datamonitor, 2011). There is limited number of suppliers. Due to their scarcity, the suppliers enjoy the loyalty of the consumers, and this also strengthens their bargaining power. Apple has a great advantage since it manufacturers both its soft wares and hard wares. The same has also diminished the power of the suppliers.
Threat of Substitutes
Threat of substitution ranges from moderate to strong. The availability of cheap products, as well as second-hand gadgets, is a fundamental challenge for Apple products (Datamonitor, 2011). These products pose as substitutes that can challenge Apple products. Additionally, the availability of counterfeit products is another key challenge. The counterfeit products are much cheaper than Apple products, and this is another challenge.
Threat of New Entrants
The threat of new entrants in the communications industry is moderate. The degree of differentiation between the products and services offered is significantly low. The only problem is that consumers relate with manufacturers and not retailers. They are likely to switch from one retailer to another and thus the threat of new entry will intensify. However, threat of entry is also limited by the fact that the initial capital required is very high (Datamonitor, 2011).
Internal Rivalry
The rivalry among competitors ranges from moderate to high. There are very many players in the industry. All these players offer different prices for their products. For example, Apple faces stiff competition from LG, Samsung as well as Nokia, who also produce high-quality smartphones. In the PC sector, it faces severe competition from HP and Dell.
SWOT Analysis
Apple applies a unique model of operation. Apple uses the horizontal; as well as vertical integration. Almost all the products that it produces have interconnectivity (Datamonitor, 2011). For example, the I-Pad has almost the same features as the PC. This form of integration has enabled the company to develop a very strong competitive strategy that their competitors cannot achieve with ease. Additionally, Apple also enjoys a high growth rate as well as steady cash flow. The high asset base that the company enjoys is also another competitive advantage.
One of the key weaknesses that Apple has is the inability to produce certain products. For example, although, Apple produced a tablet, it has not launched a phone that has a large screen size. Other competitors such as Samsung have overtaken Apple, in this case (Datamonitor, 2011).
The high prices of the products that Apple produces is also another weakness. The company products are highly priced, and this is one of the key factors that have made the company products unpopular among the common people. On the other hand, Apple overelies on the IPhone and the I-pad as the key products that contributes to its revenue. As at 2013, Iphone, and Ipad sales comprised more than 70 percent of the total revenue. The overreliance on the two is a critical challenge for the company. The stiff competition that exist and the availability of cheaper substitutes could have an adverse effect on the company sales. It threatens the sustainability as well as the stability of the company (Datamonitor, 2011).
The Iphone and the Ipad market has not been explored fully. With the high demand for personal devices among the corporate class who need the devices for business, use is an excellent opportunity that Apple can explore. Additionally, Apple has not explored the emerging markets. For example, Apple has not explored the markets in India and Africa where there is a growing middle-class population (Datamonitor, 2011). Apple should strive to explore these markets, and this should be a key strategy that they should consider in the future.
One of the key threat that the company is facing is the premium policy of pricing. The policy will hurt the company efforts to penetrate new markets. The policy places the prices of products high, and many of the consumers in the emerging markets cannot afford these products. As a consequence, the company ability to penetrate other markets poses a challenge (Datamonitor, 2011). The main problem is that when an economic shakeup occurs, consumers will prefer cheaper alternatives such as LG and Samsung.
Another threat is the stiff competition that Apple is facing. There are new products that are produced, and Apple has to match the competitors by focusing on innovation that is also a challenge.
A Strategy For The Company To Capitalize On Its Strengths And Opportunities, And Minimize Its Weaknesses And Threats.
Apple can apply its massive resources so that they can reduce their threats as well as weakness. Apple can utilize its resources to produce products that are affordable to the common users. Through their large asset base, the company can also engage in a serious marketing strategy that will focus on the emerging market. It can use the resources to explore potential markets such as India that has been experiencing a rapid rise of the middle class (Datamonitor, 2011). Additionally, it can also utilize its resources in supporting innovation as well as creativity in the products that it produces. The same will also enable the company to produce cheaper products that they can deliver in the market.
The Various Levels And Types Of Strategies The Firm May Use To Maximize Its Competitiveness And Profitability.
There are various levels of strategies that Apple should adopt.
Corporate Level Strategies
At this level, Apple has to make decisions on how to allocate resources to the various operations. The company should also focus on the level of diversification that they want to pursue. Among the key strategies that the company can apply at this level so as to enhance its competitiveness is to allocate more money to innovation (Meyer, 2012). They should also refrain from long chain model of innovation that only produces a product after a long time. They should also produce cheaper products that will enable the company to compete effectively with other companies.
The business level strategy specifically deals with the business leadership. In this case, Apple should apply the following strategies at the business level strategy so as to increase its competitiveness (Baxter, 2010).
At first Apple should focus on scaling up its operations so that it can meet the global demand for its products. The company should ensure that it has ready supplies so that the operations can run smoothly. This can only be done through collaboration between the manufacturers, marketers as well as suppliers (Meyer, 2012). On the other hand, Apple should also focus on exploring other markets such as China, as well as developing nations. Apple can achieve this goal is by adopting continuous improvements. Additionally, Apple should also adopt creative pricing strategy so that it can penetrate the emerging market fully. This strategy will be more effective and cheaper than carrying out an innovation.
Apple should also focus on the Apple TV. There is a growing demand for modern TV sets (Baxter, 2010). Although the Apple TV is not very popular, the company should come up with a strategy of marketing the Apple TV. The strategy will enhance sustainability of the company, and it will also reduce overreliance from Iphones and Ipads as the principal sources of revenue (Baxter, 2010).
Functional Level Strategy
At this level, the company should work on ways of improving efficiency. They should also focus on how the company can achieve economies of scale. The company should work on the means of reducing the cost so that they can price their products at a lower price. Additionally, the company should also strive to have self-managing teams that are motivated and highly productive (Meyer, 2012).
Communication Plan
Apple can utilize a number of communication channels to communicate its strategies. At first, Apple can use its website in communicating its strategies to the shareholders. The website will provide an excellent channel of communication since most people will always refer to the company website whenever they want to find important information concerning the company. In addition, the company can also communicate its policies through press releases. Other strategies such as advertisements and social media can also be used.
Corporate Governance Mechanisms
Apple emphasizes on experience. One of the key mechanisms that it applies to the corporate level governance is that the directors have no limits on the terms that they should serve. This strategy ensures that Apple has a team that has a lot of experience and skills. Additionally, the company ensures that there is an election for directors every year. Election is a great advantage to the shareholders since they have the capacity to remove all the directors who do not perform (Baxter, 2010). Additionally, Apple also ensures that all the directors are performers. The directors are personalities who understand their roles. The directors are also expected to set some standards of operation. The independence of the directors is another mechanism that the company employs. The company insists that the directors are very independent of the CEO (Meyer, 2012). Their principal functions are to oversee the functions of the CEO, as well as other top officials.
An evaluation of the above mechanisms reveals that these mechanisms are effective in controlling the functions of management. The CEO has to make decisions that are of the best interest of the company since his actions are overseen by the top management. The management functions are also carried by a team of experts who have a wide experience (Meyer, 2012).
Effectiveness Of Apple Leadership
Apple has always enjoyed a very effective leadership from its initial CEO Steve Jobs and its current CEO Tim Cook. The effectiveness of the leadership of the company can be demonstrated by the exemplary performance that the company has reported. Additionally, the leadership of the company also employs the shareholder-focused approach, and this has enabled the company to gain a good reputation (Baxter, 2010).
The superior customer experience that the company has offered to the consumers is another indication that the company leadership is effective. The company CEO has always focused on building a great customer experience, and Apple has managed to achieve it. Another factor that has made the leadership style of apple effective is the diversity of leadership. The company welcomes the ideas of various players, and this has been the root of good decisions and innovations (Baxter, 2010).
One if the key recommendations that the company should adopt is pursuing alliances with other software developers so that it can match the pace of innovation that other companies are adopting. The same will lead to the development of new products, and it will also improve customer experience.
Social Responsibility
Apple has made tremendous steps to ensure that it remains ethical and socially responsible. Some of the key strategies that it has taken to ensure that they are ethical are by ensuring that their suppliers are ethical. Apple advocate for better pay of the employees and better-working conditions. Additionally, the company also advocates that the human rights should always be upheld. Apple also lays a lot of focus on the environment (Environmental Responsibility). Apple is focused on ensuring environmental sustainability by ensuring that their products are free from heavy metals that are harmful to the environment. Apple has also shown its commitment to recycling of some of the products. Apple also strives to reduce carbon emissions by using energy sources that are clean (Environmental Responsibility).
The social responsibilities of this company have had a positive impact on its bottom line. Customers want to be associated with the company because they believe that the company adds value to their lives. The great reputation that the company has earned has had an implication on its bottom line. The social responsibility has earned the company a continuous cash flow.

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