Company Analysis Report Apple Inc

Kelli Wells

Apple Inc.

Apple Inc.

Introduction

Apple is one of the best innovative companies in hardware, software, and services. The company's innovation success results from its organizational design and the leadership model that is much less well known. Through Steve Jobs management in 2019, the company is said to have 137,000 employees and $260,000 billion in revenue (Podolny & Hansen, 2021). Research and development department at Apple has developed new technologies and upgrade existing products and services. According to the SWOT analysis report, research and development (R & R&D), high liquidity position, and direct and indirect distribution channels were the company's noted strengths. Apple invested in the main strength of the company, which is R&D, by using US$16,217 million in its research and development facilities (Williams, 2020).

Apple Inc.

The company's main objective is to create products and services that enhance people's daily lives (Podolny & Hansen, 2021). The achievement of the set objectives entailed establishing new products into the market, such as the Apple Watch and iPhone, and improving the previous products. The iPhone camera feature is one of the best features compared to other competitors. The company is committed to continuous innovation to contribute to the photography industry with various innovations such as optical image stabilization, dual-lens camera, night mode, portrait mode, and portrait lighting.

Analysis Report

Apple depends on a structure that centers on functional expertise to develop its innovations. The company's products and services are classified into five categories: Mac, iPhone, iPad, Home and Accessories, Services, and Wearable (Williams, 2020). Apple offers various professional and consumer software applications such as watch OS, iPad OS, Mac OS, and iOS operating systems. Its business operation span across all continents, but its headquarters is in the United States, California. Since 2015, Apple has recorded two negative sales growth in 2016 and 2019 (Park, 2020). Apple's revenue increased in 2017 (229.2 billion, +6.3%), 2018 (265.6 billion, +15.9%) and 2020 (274.5 billion, +5.5%) and decreased in 2016 (215.6 billion, -7.7%) and 2019 (260.2 billion, -2.0%).

The company uses the data to know the interest rate risk through the collected company data at Apple. Interest rate changes in the United States directly affect the company's cash equivalents, marketable securities & their fair value of those securities and cash (Maestri & Cook, 2020). According to recent statistics, online retailers selling mobile phones at a lower price tend to reduce the rate of people purchasing mobile phones from high street stores by a high percentage. These statistics have prompted the Apple Company to introduce the postpaid option, which is now the most successful segment in the mobile phone market (Park, 2020). The customers are allowed to purchase the Apple products using the hire purchase method with a signed agreement. This allows the users to acquire the products and subject themselves to a monthly payment.

Apple News+ has been the major drawback of its services and products. The disadvantage is denoted from the fact that it was the only largest paid service compared to other competitors. Still, through fake publications, Apple struggled with multiple publications and finding an efficient way of paying sites for the public to believe that Apple News+ is beneficial. Using the service's collected data, Apple stepped back for a moment (Johnson, 2019).On the other hand, Apple came up with the first and only smart speaker through the research and development team. The speaker contained the best sound quality with its own Siri smart assistance for $300 only. For android users and people who use Spotify as their mainstreamer, the smart speaker may present difficulties. The system is specifically designed for users who have iPhones and Apple Music (Edwards, 2020).

Using collected data, Apple has been of great help in comparison. Over the previous five years, Apple has made a price-performance comparison between the company and Russell 1000. These statistics help in the future planning of the company (Johnson, 2019). The mobile phone market volume forecast predicts that the mobile phones market has a volume of 1,167.8 average MOU. The organization uses this data to plan on its marketing and distribution strategies (Park, 2020). An example to support that Apple pays attention to data in its operations is the standard method for rounding corners of their previous rectangular phones to recently using an arc to connect the objects perpendicular sides. The softer sides, which create continuous curves, minimize the light reflection. (Podolny & Hansen, 2021).

Conclusions

In conclusion, Apple has used its collected data to boost its performance and emerge as a best-seller among competitors such as LG and Samsung. The data showed the downfall of a particular area that needed to be improved and the statistical sale increase in every financial year. The company makes its plans using the previously recorded statistics shown in the company profile hence acknowledging data to be a significant contributor to its success (Johnson, 2019).

References

Podolny, J. M., & Hansen, M. T. (2021, January 27). How Apple is organized for innovation. Retrieved February 18, 2021, from https://hbr.org/2020/11/how-apple-is-organized-for-innovation

Edwards, L. (2020, January 20). Apple HomePod REVIEW. Retrieved February 18, 2021, from https://www.toptenreviews.com/apple-homepod-review

Johnson, L. (2019, November 22). Apple News+ stumbled because it's the service most outside Apple's control. Retrieved February 18, 2021, from https://www.macworld.com/article/3455170/apple-news-stumbled-because-its-the-service-most-outside-apples-control.html

Maestri, L., & Cook, T. D. (2020). APPLE computer Inc. - 10-k annual reports and 10-Q quarterly reports. Retrieved February 18, 2021, from http://getfilings.com/comp/k0000320193.html

Park, C. (2020, March). Mobile phones in the United States. Retrieved February 18, 2021, from https://store.marketline.com/report/ohme9410--mobile-phones-in-the-united-states/

Williams, J. (2020, October 29). Apple Inc. - Strategy, SWOT, and corporate finance report. Retrieved February 18, 2021, from https://store.marketline.com/report/75a2d62c-7e28-41fa-8057-f7bd48df3c37--apple-inc-strategy-swot-and-corporate-finance-report-2/

COMPANY PROFILE Apple Inc. REFERENCE CODE: 5B0A0C20-9BB6-4284-A575-AC0F2261F45C PUBLICATION DATE: 18 May 2012 www.marketline.com COPYRIGHT MARKETLINE.