What Chuck & Don's Can Learn From Apple Computer

Overview/Introduction

In this analysis, I will address the following: (a) the main components to the success of Apple Computer, Inc., (b) how Chuck & Don.s has applied some of these successes, and (c) identify an additional company that could benefit from the lessons from this case.

Success

From this case study, four main components of success for Apple Computer Inc. surface:

Innovation

Strategic thinking and partnerships

Marketing savvy

Learning from past mistakes

Apple Computer Inc. demonstrates a history of innovation. From its beginnings and

introduction of the Apple II, to the Mac, to its more recent iTunes and iPhone, Apple has managed to maintain a competitive advantage and in recent years been able to stay ahead of its competition (Ireland, Hoskissen, & Hitt, 2009). Establishing an online iTunes store, that is not a money-maker, yet drives sales of the hardware involved, the iPod/iPhone products is truly innovative. The innovation continually demonstrated by Apple is setting a standard for design in many business categories. “Apple.s new position as a successful business-case study has had a ripple effect in the world of design, from product and service design to development and branding strategy (Scanlon, 2007, p. 19).” Jason Snell (2009) discussed an interesting excerpt

from Steve Jobs. surprise visit to the company.s financial results phone call. In discussing the emergence of netbooks, Jobs stated that they will be watching the category and have some great ideas if it emerges; this call was in late 2008. One could speculate that those comments refer to the newly released iPad.

Apple Computer, Inc. 3 3

Apple is strategy. The previous iTunes example demonstrates strategy; t...

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...ining sizeable market

share. Also, affiliations with other strong brand names serve to increase Apple's marketing

exposure and build consumer confidence.

Apple's strategy also involves the pursuit of opportunities to create demand for its products in the

global market. In today's business environment, it is common to expand into international

markets when domestic markets mature and commodity pricing tactics infiltrate the industry.

The impact of downward pressure on prices can be minimized when alternative markets are

discovered. For high-tech products like the iPhone, immediate success can be found in many

different cultures and societies. Additionally, operating and selling beyond the home market can

enhance the company's ability to compete with major rivals and bring knowledge into the

organization to expand its pool of innovative ideas.