Strategic Choice and Evaluation
Instructor Name
STR 581
May 26, 2014
Student Name
Strategic Choice and Evaluation
Finding and gathering organization possibilities is an activity for companies especially for firms like Apple Inc. In order to establish business strategic planning, managers are supposed to analyze cases that present organizations competitive benefits which distinguishes them from their rivals in the market. Apple is a huge firm which promotes creativity and brand value. Apple strictly focuses on ways to establish themselves as next generation technology leaders. We have many new and same products upcoming into the market which creates challenge for Apple to emphasize their vision. But still Apple succeeds growing in this inflated market and ensures that the growth rate is carried at a descent pace that doesn’t create problems for their brand identity or to their potential revenue growth. This paper examines the strategic planning’s and measures that Apple should consider to ensure continuous growth.
Generic Strategy
Apple stands in the world market for its creativity and innovation. The company successfully establishes market leadership by practicing generic strategy. Apple implemented the generic strategy for three places that comprises Low-cost leadership, Differentiation, and Focus. Concentrating on Low-cost Leadership, Apple has the advantage of controlling its huge and accepted supply chain to output the products at an affordable price. The prices for Apple products are at a high rate for increase in demands. So producing mass products like Phone and iPod, the firm establishes effective contract with the suppliers. This helps the company to provide a great quality product compared to the rivals. The iPod is the first key implementation by Apple that captured market shares from Sony which is known for its walkman. It experienced an evolution which came into action by the digital technology that segregated the iPod from various other goods in the market. Finally providing focus to enhanced planning, Apple was able concentrated on its products and introduced the iPod that targeted a huge number of people. In spite of the product being costly, the reduced size and the capability to accompany more songs established a belief amongst youth and the rest of the population. (John Kirk, 2013).
Value Discipline
One of the greatest concentrations of Apple is to ensure that their customers purchase value and the company utilizes it for promoting success. Apple was aware of the fact that few customers experienced value along with cost, services and goods. By this practice Apple links with Value Discipline as the top overall cost provider. The company succeeded in giving customers products with reduced cost and increase sales. Management was considered the key members to practice the Value Discipline and helping their customers and enhancing market shares. Customers also experienced “Value Discipline” as the best technology for products. The customers preferred recent and optimum technology on the market. They didn’t worry about the cost but concentrated on the company coming up with new technologies. On the other hand some consumers focused on products that can satisfy needs, customer service and no contacts.
Grand Strategy
The grand strategy of Apple Inc. proposes key direction strategies for major activities aimed towards attaining long term business goals (Sam Grobart, 2013). The optimum grand strategy for Apple Inc. to execute is related to product development and innovation.
Product development thus links with comprehensive alteration in the available products that can be sold to present customers (Pearce, 2014). Apple Inc. has entrenched loyal customers with respect to their quality of product and brand names. It is a believed to be the best in product development. The final goal of this strategy helps expand the business and extend the products life cycle.
Attaining the long term business goals for Apple Inc. basically concentrates on developing simple to use quality products meant for customers. Apple designs products that adjunct each other well, enhancing product sales. It becomes convenient for the customers to experience quality products with less nuisance and annoyance. (Sam Grobart, 2013).
The grand strategy is therefore is the one which embeds itself to the final marketing strategy. Apple Inc. wishes to deliver their products in their own store. Apple makes the processes very clear and believes that key idea of selling products in the store is a great strategy and the company is also able to track the distribution and selling process (CRM Editors, 2014).
Recommendation
Apple, under the headship of Steve Jobs, has achieved success from continuous and systematic improvement in visionary products that reached great heights. The creativity proposed by Apple has helped the company come out of overshadows of Microsoft through establishing itself as the leading industries. Strategies like “thinking-out-of-the-box” has made customer choose Apple products and promoted their smooth network from one Apple product to another Apple product and its service. The recommendation meant for Apple links following the present business model of customer enhancement. As more companies with similar products come into the market it becomes more difficult for Apple to resist. Thus following a strategy of high-priced, low-volume product at the top with mounted lower levels of other products will provide tough competition to its rivals while entering the market. This will certainly help Apple continue its development process and produce products that are great examples of allure and clannishness. Apple has various choices to start its new theme of pyramid profit model. Apple has thus succeeded in developing strong customer base and continuous to satisfy its consumers at the optimum levels.
Conclusion
Altering strategies and linking them to the environmental trends is important to guide a business to go through its activities and turn successful. After correct identification of strategies organizations get in a position to change the process. Thus strategic modifications become important for firms like Apple Inc. who have served the world for years. Apple Inc. wishes to expand its customer base and promote customer satisfaction by executing new online features and activities linked with frequent creativity in present programs. People working inside Apple have dedicated themselves to produce the world’s best quality goods and the company also provides with the best environmental and working places to live, learn and nurture. The company not only focuses on its business strategies and goals, ensures overall progress of the organization to maintain high levels of sustainability and balance. Therefore Apple Inc. should target customers as their foremost choice and build technology through great skill, creativity and innovation to promote maximum customer satisfaction.
References
1. Pearce, J. A., II, Robinson, R. B. (2014). Strategic management: Formulation, implementation, and control (12th ed.). Boston, MA: McGraw-Hill/Irwin.
2. CRM Editors. (2014). Retrieved from http://www.insidecrm.com/features/strategies-apple-loyal-customers/
3. Travlos, Darcy, (2012). "Apple: Product Commoditization?" Forbes. Forbes Magazine. Retrieved from http://www.forbes.com/sites/darcytravlos/2012/05/15/apple-product-commoditization/
4. Sam Grobart, (2013).Apple Chiefs Discuss Strategy, Market Share—and the New iPhones. Retrieved from: http://www.businessweek.com/articles/2013-09-19/cook-ive-and-federighi-on-the-new-iphone-and-apples-once-and-future-strategy
5. John Kirk, (2013). Apple's Grand Strategy. Retrieved from:http://www.realcleartechnology.com/2013/10/27/apple039s_grand_strategy_16728.html
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