Description
APPLE PORTER ANALYSIS
12/16/2013
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Sources: www.ibef.org
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ABOUT COMPANY
April 1st,1976 - Founded January 3rd,1977 - Incorporated Headquarters - Cupertino, California Co-founders - Steve Jobs, Steve Wojniak CEO - Steve jobs
Industry - Computer software, computer hardware, consumer electronics.
Revenue - US$ 19.3 Billion
12/16/2013
Sources: Mc Kensey report
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PRODUCTS AND FIGURES
Hardware - Mac(personal computer series),Apple Remote Desktop Software - Mac OS X, Mac OS X Server ,Quick Time, i Life, i Work, Logic pro, Cinema Display etc. Consumer Electronics - i pod, i pod hi-fi, i phone, Apple TV Employees - 19,787 full-time ; 3,399 temporary (March 31,2007) Retail stores - 183( 1st in Manhattan, New York)
12/16/2013
Competitors - HP, IBM, DELL
Sources: www.apple.com
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PRODUCTS
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New Entrants Threat of new entrants
Bargaining power of the suppliers
Supplier
Existing rivalry in the industry
Customer Bargaining power of buyers
Substitute products & services
Substitutes
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EXISTING RIVALRY
Windows OS and media player for playing music and video ( Microsoft) Competition to Mac OS X (Linux)
Alternate sources of computer hardware (Dell, HP, Lenovo)
Small stylish MP3 players (Creative, Samsung, Sony) Online music stores similar to itunes stores (Napster)
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THREAT OF NEW ENTRANTS
Streaming audio and video with v-cast (Verizon) On demand online services (similar to i-tunes) New entrants with disruptive technology (The “next google”)
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BARGAINING POWER OF SUPPLIERS
Suppliers of processors and computer memory (Motorola, IBM, Intel) Strategic alliance/supplier of Mac (Microsoft) Supplier of tv and movies (Disney, ABC, Fox, Sony) Sources of music (BMG, Sony, Warner, Universal)
12/16/2013
11 Magazine
utlook (April-2009)
BARGAINING POWER OF CUSTOMERS
Customers share music using peer-to-peer networks without paying for music (Ares, Limewire) Retailers may pressure for lower prices or better terms (Distributors) Consumers/Businesses may reduce spending on computers if they fear economic downturns (Consumer Attitudes & Behaviors) Consumer Refresh Cycles
12/16/2013 12 -09 Sources: Harvard Business review
THREAT FROM SUBSTITUTES
Satellite radio for music (XM, Sirius) Entertainment media, media and music (XBOX, PS2) Alternative means to acquire music (Music CDs, DVDs) Alternative sources for videos (Cable, Broadcast, Theatres)
12/16/2013
Magazine
C-1 (April-2009) 13
RECOMMENDATIONS
FOR COMPANY: Lowering the cost of products and maintaining the same quality standards Can form joint – ventures Knowledge Management
More number of retail stores for easy access
Continuous innovation to expand
12/16/2013 14
RECOMMENDATIONS
FOR OTHERS:
Do not compromise on price for quality
Choose the products based on individual needs Be unique and different
12/16/2013
15
12/16/2013
16
doc_539991716.pptx
APPLE PORTER ANALYSIS
12/16/2013
1
12/16/2013
2
12/16/2013
3
12/16/2013
Sources: www.ibef.org
4
ABOUT COMPANY
April 1st,1976 - Founded January 3rd,1977 - Incorporated Headquarters - Cupertino, California Co-founders - Steve Jobs, Steve Wojniak CEO - Steve jobs
Industry - Computer software, computer hardware, consumer electronics.
Revenue - US$ 19.3 Billion
12/16/2013
Sources: Mc Kensey report
5
PRODUCTS AND FIGURES
Hardware - Mac(personal computer series),Apple Remote Desktop Software - Mac OS X, Mac OS X Server ,Quick Time, i Life, i Work, Logic pro, Cinema Display etc. Consumer Electronics - i pod, i pod hi-fi, i phone, Apple TV Employees - 19,787 full-time ; 3,399 temporary (March 31,2007) Retail stores - 183( 1st in Manhattan, New York)
12/16/2013
Competitors - HP, IBM, DELL
Sources: www.apple.com
6
PRODUCTS
12/16/2013
7
New Entrants Threat of new entrants
Bargaining power of the suppliers
Supplier
Existing rivalry in the industry
Customer Bargaining power of buyers
Substitute products & services
Substitutes
12/16/2013 8
EXISTING RIVALRY
Windows OS and media player for playing music and video ( Microsoft) Competition to Mac OS X (Linux)
Alternate sources of computer hardware (Dell, HP, Lenovo)
Small stylish MP3 players (Creative, Samsung, Sony) Online music stores similar to itunes stores (Napster)
12/16/2013 9
THREAT OF NEW ENTRANTS
Streaming audio and video with v-cast (Verizon) On demand online services (similar to i-tunes) New entrants with disruptive technology (The “next google”)
12/16/2013
10
BARGAINING POWER OF SUPPLIERS
Suppliers of processors and computer memory (Motorola, IBM, Intel) Strategic alliance/supplier of Mac (Microsoft) Supplier of tv and movies (Disney, ABC, Fox, Sony) Sources of music (BMG, Sony, Warner, Universal)
12/16/2013
11 Magazine
utlook (April-2009)BARGAINING POWER OF CUSTOMERS
Customers share music using peer-to-peer networks without paying for music (Ares, Limewire) Retailers may pressure for lower prices or better terms (Distributors) Consumers/Businesses may reduce spending on computers if they fear economic downturns (Consumer Attitudes & Behaviors) Consumer Refresh Cycles
12/16/2013 12 -09 Sources: Harvard Business review
THREAT FROM SUBSTITUTES
Satellite radio for music (XM, Sirius) Entertainment media, media and music (XBOX, PS2) Alternative means to acquire music (Music CDs, DVDs) Alternative sources for videos (Cable, Broadcast, Theatres)
12/16/2013
Magazine
C-1 (April-2009) 13RECOMMENDATIONS
FOR COMPANY: Lowering the cost of products and maintaining the same quality standards Can form joint – ventures Knowledge Management
More number of retail stores for easy access
Continuous innovation to expand
12/16/2013 14
RECOMMENDATIONS
FOR OTHERS:
Do not compromise on price for quality
Choose the products based on individual needs Be unique and different
12/16/2013
15
12/16/2013
16
doc_539991716.pptx