Question 1: Determine how each corporate culture differs from the other.
When computing, software tools, and consumer electronics are mentioned, two companies immediately come to mind: Apple and Microsoft. While the two are alike, with the innovation of computer products, their corporate cultures show where the two differ and how it affects the success of the business. Apple was started by three men but one continued work for Apple on and off up until his demise, Steve Jobs, Apple's most important corporate culture. Jobs knew how to “leave something to the [consumers] imagination” creating utter excitement and the patience for the item to release. What led Apple to success was by running Apple as a startup corporate culture and the fact that “no other business is tougher on its partners by enforcing strict codes of secrecy” (Colvin et al., 2013). The strategies Job put into place seem to make Apple “a brutal and unforgiving place, where accountability is strictly enforced, decisions are swift, and communication is articulated clearly from the top to ensure no misunderstandings” (Lashinsky & Burke, 2011). Jobs held every person in place of power more and more accountable by “eliminating passive aggression and encouraging debate as new ideas are formulating” (Merchant 2010). This teaches leadership and ensures that Apple can and will continue its “computing and software duties” long after his tenure is up. It’s hard to argue this may be an undesirable strategy with the continued success Apple has seen. Bill Gates laid a strong foundation for Microsoft to thrive with the creation of his software corporation. To some “Microsoft seems to be a company without culture, but that notion changes upon entering the Sigma Building, which houses Microsoft Research Asia” (Wu 2009). Microsoft is branding itself not only in America but in Asia, the world’s most populated continent. Ballmer the current CEO is very positive and hopeful about Microsoft’s current and future endeavors, “the company is in terrific shape and one of its [Mircosoft] strengths has always been its culture of self-criticism” (Greene, Hamm, Brady, & Der Hovanesian, 2005). The ability to identify weaknesses within your own business is instrumental in success. You allow changes to be made before consumers can criticize the product.
Question 2: Analyze three (3) ways that each unique culture has benefited by the other's competition.
Apple and Microsoft use each other’s strengths to help advance their weak areas. First, Apple has great PCs and Microsoft provides the programs to make it run smoothly and easily. For example, Apple's Macintosh PC is highly technological which targets those who are more advanced with technology. Most of which are in a younger demographic. A majority of older PC users or beginning computer users look to Microsoft software because it is easier to understand than the few programs Apple users are offered with their Macintosh PCs. According to Cruikshank, “Gates demanded that Apple grant him the right to use the MAC OS in return for releasing the new Microsoft apps (63), so Apple, with its back against the wall consented . Second, the two create products which in turn cause the other company to brand a product after it; for example: Apple's creation of the iPad & Microsoft's Tablet. Third, they sometimes tend to create a product similar to their competition and fix issues already put in place by consumers to increase the demand for their product; for example: when Microsoft made a friendlier market for its users when downloading applications on the mobile phone. Microsoft has benefited by tapping into the video gaming world with the Xbox as well as internet search with Bing, two industries its competition has not.
Question 3: Speculate how each would continue to thrive if its current corporate culture would need to change in the near future. Be sure to state what change(s) you are speculating on and what led you to identify that possibility. Apple would continue to thrive even without Jobs hardnosed management, which Apple has proven since his recent death. Jobs kept things in perspective and always made sure he had few or no weak links. He was like a dog which smells fear; he could smell the passive aggression a mile away, which kept his employees on their toes at all times. The company will change the benefits and extra perks offered to their employees. One can only believe so because Jobs was instrumental in the employees always being on their toes. He expected this and didn’t feel that they needed to be rewarded for doing their job. Microsoft will continue to thrive even if their current culture of a relaxed work environment changes a bit. A little discipline never hurt anybody. It may change the atmosphere but in the end, if executed correctly will yield positive results. Microsoft will have to become tougher on their employees about leaking information on upcoming products. Their partners must know they mean business and keep hints away from the public until necessary.
Question 4: Use at least five (5) quality academic resources in this assignment.
Colvin, G., Fry, E., Taylor, I., Olster, S., Bradley, R., Akhtar, O., & DuBois, S. (2013). 50 greatest business rivalries of all time. Fortune International (Europe), 167 (5), 82.
Cruikshank, J. L. (2006). The Apple Way. New York: McGraw-Hill, 63.
LASHINSKY, A., & Burke, D. (2011). INSIDE APPLE. (cover story). Fortune, 163(7), 125-134.
Merchant, N. (2010), Apple’s startup culture, Businessweek, Retrieved from http://www.businessweek.com/innovate/content/jun2010/id20100610_525759.htm Greene, J., Hamm, S., Brady, D., & Der Hovanesian, M. (2005). Troubling exits at Microsoft. (cover story), Businessweek, (3952), 98-108.
Wu, Jia. (2009). Discovering Microsoft’s corporate culture. China Internet Weekly, Retrieved from: http://research.microsoft.com/en-us/news/asia/features/ciw_mscorpculture.aspx