...Strategic Management Apple & Nokia Case Analysis 1. Table of Contents 1.0 EXECUTIVE SUMMARY OF APPLE AND NOKIA CASE 2 2.0 QUESTION 1 3 2.1 Competitive analysis of Apple and Nokia – who is stronger? 3 2.1.1 Competitive Analysis 3 2.1.1.1 SWOT Analysis 5 1.1.1 Strengths of Apple 6 2.1.1.2 Value Chain Analysis 9 2.1.1.3 Resourced Base View Tool 11 3.0 QUESTION 2 14 3.1 PESTEL analysis tool 15 3.2 Porter’s Five Forces 17 3.3 The Implications for Strategic Development are; 21 4.0 QUESTION 3 21 4.1 Critical Analysis Lessons from Apple’s risky but profitable strategy 21 5.0 REFERENCE: 23 1.0 EXECUTIVE SUMMARY OF APPLE AND NOKIA CASE Apple chalked some initial success with its invention of the Macintosh (Mac) computer but with the introduction of the Windows 1.0 from its rival company (Microsoft), it was faced with a threat in the industry. Their earlier strategic decision of not cooperating with rivals in the industry was seen as a weakness which Microsoft capitalized on to make their software available to other computer manufacturers for a license fee. Apple, diversifying into a new market (mobile telephone industry) with the introduction of user friendly products sought industry cooperation when it came to the launch of subsequent products including the iPod and iPhone. This strategic decision was inspired by its past...
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...Managing a Business Strategy - Apple Inc 1.0 Executive Summary This study is to examine and analyse the strategic decisions of Apple Inc. that has enabled it to sustain its competitive advantages one of the world’s third leading electronic company. Before providing recommendations for future strategy choices it is necessary to integrate the diverse strategies in both external and internal environments, identify the opportunities, threats, strength and weaknesses, examine the core competencies, which can create sustainable competitive advantages. The research will reveal critical analysis relevant to analyse the company’s environment in the electronic industry which includes SWOT, the PESTEL framework, Porter’s 5 forces and 3 generic theories, value chain analysis and core competencies, as to how it has successfully penetrated into the electronic market. 2.0 Introduction 3.1 Background of Apple Apple is a Californian multinational corporation founded in 1stApril 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne, to develop and sell personal computers. It was incorporated as Apple Computer, Inc. on January 3, 1977, and was renamed as Apple Inc. on January 9, 2007, to show its change in focus towards consumer electronics. Apple is the world's second-largest information technology company by revenue after Samsung Electronics, and the world's third-largest mobile phone maker. On November 25, 2014, in addition to being the largest publicly traded corporation in...
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...Profile ..................................................................................................................................... 3 3.0. Apple Distinctive Competencies ............................................................................................................ 4 3.1. The R-C Model.................................................................................................................................... 4 3.2. Building Blocks of Competitive Advantage ........................................................................................ 6 4.0. Nature of Competition in the PC industry ............................................................................................. 7 4.1. PC Industry Life Cycle ......................................................................................................................... 7 4.2. Porters 5 Forces ................................................................................................................................. 8 5.0. Apple Sustainable Competitive Advantage.......................................................................................... 10 5.1. Value Chain ...................................................................................................................................... 10 5.2. New McKinsey 7S Model ................................................................................................................. 11 5.3. SWOT......................
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...that must to be considered when formulating strategic plans IV. Assess efficiency of techniques used when developing strategic business plans V. CONCLUSION REFERENCE VI. I. INTRODUCTION Nowadays, business strategy is core element of all firms in over the world. Before building a business, participating in a new sector or new market, successful firms always deliberately research market, trends of customer, their strength and their weakness to create an appropriate strategy. Especially vision, mission, objectives and core competence are important factors in business strategy. This study will show you the analyses and evaluations about different aspects of business strategy and focus on vision, mission, objectives and competences. It will demonstrate for us about the function of SWOT, PESTEL and Porter 5 forces on the business. II. Assess how business missions, visions, objectives, goals and core competencies inform strategic planning 1. Mission Mission statement is a function or commitment that an organization desires to meet expectations of stakeholders. It describes how organizations run their business; identify their customer, identify range of their products/services and how businesses serve their customer. For example: The mission statement of FPT * Maintain the leading position of producer and integrator in I.T service and producing software in Vietnam. * Expand market share of FPT to overseas. * Bringing sufficient material...
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... 3.2.1 Hofstede´s model of national culture 3.2.2 Porter´s diamond 3.2.3 Porter´s five forces of competition 3.2.4 The PESTEL framework 3.2.5 National Innovation Systems 3.2.6 Varieties of Capitalism Framework 2.2 Data Collection 3. The IT Industry 3.1. Description of the IT-Industry 4. Country Comparison 4.1 Macro- Level Indicators 4.1.1 Geographic Indicators 4.1.2 Demographic Indicators 4.1.3 Macro- Economic Indicators 4.2 Historical Developments relevant to the IT industry 4.3 Socio Cultural Conditions 4.3.1 Cultural Systems 4.3.2 Level of Education 4.3.3 Labor Market Regulations 4.3.4 Protectionism of Intellectual Property 4.3.5 Tax Regulations 4.4 Market/ Industry Conditions 4.4.1 Bargaining Power of Buyers and Subsidiaries 4.4.2 Bargaining Power of Suppliers 4.4.3 Threats of New Entrants 4.4.4 Competitive Rivalry 4.5 Other Contextual Conditions 4.5.1 Related and Supporting Industries 5. Major Findings of Comparison 5.1 Conclusion 5.2 Trends 5.3 Recommendation 1. Introduction In general, factbooks are conducted by decision makers within the fields of business and politics in order to gain insights about present-, as well as future conditions and trends in a specific country or country set. Therefore, factbooks can be considered as a sort of business tool, which supplies relevant information about a country´s business environment...
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...UNIT 1 i Overview of strategic management Unit 1 BMG 303/05 Strategic Management Overview of Strategic Management ii WAWASAN OPEN UNIVERSITY BMG 303/05 Strategic Management COURSE TEAM Course Team Coordinator: Dr. Chuah Poh Lean Content Writer: Dr. Hasliza Abdul Halim Instructional Designer: Mr. Khoo Chiew Keen Academic Member: Ms Lum Li Sean COURSE COORDINATOR Ms. Loo Saw Khuan EXTERNAL COURSE ASSESSOR Associate Professor Dr. Haji Hamzah Dato Abdul Rahman, Universiti Utara Malaysia. PRODUCTION Editor: Pelangi Sdn. Bhd. In-house Editor: Mr. Khoo Chiew Keen Graphic Designer: Deam Enterprise Wawasan Open University is Malaysia’s first private not-for-profit tertiary institution dedicated to adult learners. It is funded by the Wawasan Education Foundation, a tax-exempt entity established by the Malaysian People’s Movement Party (Gerakan) and supported by the Yeap Chor Ee Charitable and Endowment Trusts, other charities, corporations, members of the public and occasional grants from the Government of Malaysia. The course material development of the university is funded by Yeap Chor Ee Charitable and Endowment Trusts. © 2013 Wawasan Open University All rights reserved. No part of this publication may be reproduced, stored in a retrieval system or transmitted, in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission from WOU. Wawasan Open University (KPT/JPT/DFT/US/P01) ...
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...fivefold, and by 1998 it was the world's biggest mobile manufacturer. In 2005, it sold its billionth handset, an 1100 to a customer in Nigeria. Despite being the market leader in the mobile phone market since 1998, the company saw a decline in its brand value since the early 2000. It was once a firm with turnover exceeding the tax revenue of the country it was based in. However, the company not only first lost its number one ranking, a position it had held for 14 years but reach to sell-off in less than 10 years. So the most valid question from all is what happened to Finland's most beloved company? This case is all about analysis of NOKIA’s strategies responsible for its market domination to sell-off . Snapshot of NOKIA’s History To understand the Rise and Fall of NOKIA, it is important to track the history of NOKIA on a single canvas. The same is attempted through following short liners in this regard: |1865: |A wood pulp mill was set up by a mining engineer named Fredrik Idestam at the Tammerkoski Rapids in south-western Finland. | |1871: |The name NOKIA was born based on the name of Nokianvirta river on the on the banks of which Idestam opens a second mill. | |1898: |Eduard Polón founds Finnish Rubber...
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...John Molson School of Business July 22, 2010 INTRODUCTION Situation Synopsis After almost 20 years of unprecedented growth and industry leadership, Dell has started losing market share to its competitors: HP, Apple, Acer and Lenovo. Furthermore, its stock price has plummeted from its record 1998 high of US$139.88 to almost US$20.00 in July 2008. Due to poor performance, the founder of the company Michael S. Dell has returned to the company as CEO and has devised a plan to bring back Dell as a market leader in this industry and to improve its stock price. Company’s Current Strategy Vision: To be the world’s leading supplier of computer systems Mission: To enable millions of businesses and consumers to get online for the first time Objectives: Improving Dell’s stock price Corporate/Business Strategy: • Outsource full system manufacturing facilities in China for retail business. • Split product design departments into commercial and consumer teams. • Listening & reaching customers, expanding and customizing their product and service portfolio • Low cost structure - drive costs out of the company’s supply chain and expand into foreign markets • Grow company in consumer, enterprise and emerging markets 1. EXTERNAL ANALYSIS 1.1. General External Environment Demographic: Global commercial and consumer markets; Wide range of income distribution among customers from individual consumers to governments and large corporations. Socio-cultural:...
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...The Analysis of Smartphone Industry Author Note This paper was prepared for MRK 3001 Marketing Strategies, taught by Associate Professor Burcu İlter. TABLE OF CONTENTS ABSTRACT This study aims at measuring industry analysis about smartphone. Firstly, we had to determine which smartphone industry is going to handle. We did brain stormy with group members on this subject. We looked over many web pages about this subject. And then, we did internet searching about the comparison of industry analysis examples. We did task distribution after internet searching. Description of smartphone, smartphone industry and nature of the industry is handled by Emir Nişancı. Structural analysis within the industry and industry dynamics are handled by Merve Demirkıran, Damla Dutlu and Perihan Yıldırım. Competitor analysis for each key player is handled Anna Bivol. We have had a lot of knowledge that we didn’t know about the smartphone industry through this term project. This term project has had enjoyable and beneficial for us. Keywords: Smartphone Industry, Industry Dynamics, Key Player of Smartphone Industry 1. Introduction This report will focus on the smartphone industry given that the global market, in terms of the major players involved. In this report, we mainly focused on the dynamics of the smartphone industry and the factors that affects the change over the conditions of competition. The smartphone industry consists of all companies that manufacture and sell smartphones...
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...MARKETING STRATEGY AND ANALYSIS OF APPL COMPANY IN IPhones Vision and Mission Statement Apple, Inc.’s Vision Apple, Inc.’s vision is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings Apple's Mission Statement Apple Computer is committed to protecting the environment, health and safety of our employees, customers and the global communities where we operate. We recognize that by integrating sound environmental, health and safety management practices into all aspects of our business, we can offer technologically innovative products and services while conserving and enhancing recourses for future generations. Apple strives for continuous improvement in our environmental, health and safety management systems and in the environmental quality of our products, processes and services. Various Management Objectives at many different Levels Apple, Inc.’s Business Strategy and Goals The Company’s business strategy leverages its unique ability to design and develop its own operating systems, hardware, application software, and services to provide its customers new products and solutions with superior ease-of-use, seamless integration, and innovative design. The company believes continual investment in research and development and marketing and advertising is critical to the development and sale of innovative products...
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...QuickMBA / Strategy / Porter's 5 Forces Porter's Five Forces A MODEL FOR INDUSTRY ANALYSIS The model of pure competition implies that risk-adjusted rates of return should be constant across firms and industries. However, numerous economic studies have affirmed that different industries can sustain different levels of profitability; part of this difference is explained by industry structure. Michael Porter provided a framework that models an industry as being influenced by five forces. The strategic business manager seeking to develop an edge over rival firms can use this model to better understand the industry context in which the firm operates. Diagram of Porter's 5 Forces | SUPPLIER POWER Supplier concentration Importance of volume to supplier Differentiation of inputs Impact of inputs on cost or differentiation Switching costs of firms in the industry Presence of substitute inputs Threat of forward integration Cost relative to total purchases in industry | | THREAT OF NEW ENTRANTS Barriers to Entry Absolute cost advantages Proprietary learning curve Access to inputs Government policy Economies of scale Capital requirements Brand identity Switching costs Access to distribution Expected retaliation Proprietary products | | THREAT OF SUBSTITUTES -Switching costs -Buyer inclination to substitute -Price-performance trade-off of substitutes | | BUYER POWER Bargaining leverage Buyer volume Buyer information Brand identity Price sensitivity...
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...Table of Contents Page | Title | 2 -4 | 1.0 Positioning in Relation to Porters GenericStrategies * Strategic Models * Stakeholder Analysis.....continued on page 5 | 5 | Value Chain Analysis | 6 | 2.0 Business & Corporate level strategy | 7&8 | 3.0 Alternate strategy * Critical reflection | 9 & 10 | Bibliography/Harvard referencing | 11 & 16 | Supporting Appendices | Total word count : 2725 Inc titles/subtitles. Amazon’s Strategic Positioning. 1.0 Introduction This assignment is to establish Amazon’s strategic positioning in Europe in correlation with value innovations that may have contributed to Amazon’s success from 1995 to 2012. About Amazon Amazon is an eCommerce business based in the U.S and was started back in 1995 selling books, CD’s and other media. However Amazon’s profits were only noted in 2002 and to this day have annual sales equal to or more than $40billion with a customer base of nearly 144 million in purchase accounts and over 2 million market seller accounts. In 1998 Amazon also extended their market to the UK with an agreed takeover of Bookpage.co.uk and has since managed to establish their second biggest and most successful market overseas. Value Innovations. Since reporting profits in 2002 Amazon has invested in innovations that add value to the customer, keeps interest and encourages ease of purchasing. Some innovations that have aided in the success of Amazon tend to allow ease of use...
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...Contents Page Purpose 4 1. External Analysis 5 2.1 Industry Life Cycle............................................................5 2.2 Market Analysis....................................................................6 2.3 PESTEL.................................................................................7 2.4 Porters 5 Force ....................................................................8 2. Internal Analysis 9 2.1 Microsoft Competency Framework....................................9 2.2 Microsoft VRIN Framework.................................................10 2.3 Microsoft Strengths and Weaknesses ..............................10 2.4 Nokia Competency Framework...........................................11 2.5 Nokia VRIN Framework........................................................12 2.6 Nokia Strengths and Weaknesses......................................12 3. Issues and Challenges ...
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...Resource Based View A question summarizing RBV approach. Definition The resource-based view (RBV) is a model that sees resources as key to superior firm performance. If a resource exhibits VRIO attributes, the resource enables the firm to gain and sustain competitive advantage.[1] What is a resource based view? RBV is an approach to achievingcompetitive advantage that emerged in 1980s and 1990s, after the major works published by Wernerfelt, B. (“The Resource-Based View of the Firm”), Prahalad and Hamel (“The Core Competence of The Corporation”), Barney, J. (“Firm resources and sustained competitive advantage”) and others. The supporters of this view argue that organizations should look inside the company to find the sources of competitive advantage instead of looking at competitive environment for it. The following model explains RBV and emphasizes the key points of it. _ Improve your management style, hire a business speaker According to RBV proponents, it is much more feasible to exploit external opportunities using existing resources in a new way rather than trying to acquire new skills for each different opportunity. In RBV model, resources are given the major role in helping companies to achieve higher organizational performance. There are two types of resources: tangible and intangible. Tangible assets are physical things. Land, buildings, machinery, equipment and capital – all these assets are tangible. Physical resources can easily be bought in the market so...
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...organization. Strategic planning is best done when a company looks at its past, present, and future in light of its related environment. It is the process of thinking about the company and its related environment as an integrated whole. A process during which an executive "planning team" is organized to consider three key questions on a continuous basis: 1. What is our business? 2. Where do we wish to arrive, and when? and 3. How do we get from here to there? In a personal interview, Karen Poppe, Vice-President of Human Resource Management at Wall Drug, discussed the importance of organizing a strategic planning team to guide the long-term direction of a company. The planning team at Wall Drug consists of six key management people covering finance, personnel, and marketing. Clearly the success of those planning efforts is reflected in Wall Drug's average annual growth rate of 25% over the last five years. What is our Business? The process of defining the mission of company is a time consuming, tedious task requiring patience and persistence. It contains few specific directives. Characteristically, the mission is a statement of attitude, outlook, and orientation rather than of details and quantitatively measurable targets. Managers need to think about mission statements as enduring...
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