Business Strategy Of Apple

Submitted By eihnin
Words: 5282
Pages: 22

Table of Contents

1. Introduction ....................................................................................................................... 5
2. Apple Inc. .......................................................................................................................... 6
3. Generic Business Strategy ................................................................................................ 6
4. Organisational Culture ...................................................................................................... 9
5. Formal Organisational Structure...................................................................................... 12
6. Conclusion ...................................................................................................................... 13
7. References ..................................................................................................................... 14
8. Appendix ......................................................................................................................... 17

EHP – PRBM030

Page 4

1. Introduction
In today’s competitive market, organisations across the world use countless strategies in order to achieve competitive advantage and success over their rivals. These strategies are aiming not only to shape the consumers’ concept and behaviours but also to create the brand images in the mind of customers of the products (Ehmke 2011). Which type of strategy to be deployed depends on the size of market share, market leaders and market followers? (Amah & Nwuche 2013). Porter (2004) illustrated three generics strategies that firms can apply to pursue competitive advantages across their chosen market scope. These three different models are the cost the leadership, the differentiation or the focus. A good business strategy directs an organisation to achieve its targeted goals efficiently (Dess &
Davis 1984).
Another factor that plays the important role in the success of the business is an organisational culture. Every organisation has its own culture that refers to the values, beliefs, ideologies and principles that each and every one in an organisation shares
(Bandias, 2014). Organisational culture is one of the assisting tools in keeping employees motivated and loyal to the management of the company. It also defines that organisation’s identity and the brand image respected by its customers (Denison & Spreitzer 1991). In addition, the culture is a more powerful way of controlling and managing employee performance than rules and regulations of the organisation (Bandias, 2014). At the same time, it is crucial for an organisation to have a culture that fits with the demands of its market
(Amah & Nwuche 2013).
Last, but not least, the structure is also essential for any growing organisation to provide guidance and clarity on specific human resources issues. Not only large-business operations, small-business owners should also start thinking about a formal structure early in the growth stage (OpenLearn 2015). Without an efficient structure, it is difficult for employees to know whom they officially report to and who has the responsibilities in various situations. By providing clarity to all employees, the good structure promotes operational efficiencies in the long run (Carzo & Yanouzas 1969).
Due to the significant benefits, it is the main purpose of this paper to assess these three strategic dimensions (generic business strategy, organisational culture and formal organisational structure) of Apple Inc. Apple Inc. (Apple) is a global computer manufacturing company which designs, manufactures and sells high technological and innovative products such iPhone, iPad, iPod, desktop computer and Mac notebook. It has an incredible growth after iPod music player has been introduced to the global market (The Statistics Portal
2015). Based on Porter’s generic strategies model, Apple falls under differentiation strategy.
The culture of