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Apple Computers, Capstone Project Example

Pages: 3

Words: 912

Capstone Project

Apple Computers are customized to the immediate needs of the users. They have been in the market for many years and have gathered information on the responses of the Apple computer users. This has been of great use in that the Company has improved the services provided by the Apple products (Essaysbox.com., 2012). Not all the Apple products are expensive. The Company has products that suit the pocket of the common person. This has enhanced improved image, reduced competition and increased revenues and sales. Apple products have penetrated the world market significantly. Apple computers are characterized with technological advances (Henry, 2011).

The five force tools applied by the Apple products reflects on the Porters’ five forces. Apple Computers have managed to assess the prevailing balance of power in the world market. Porter’s model identifies the position in which the power lies in the regards to the world market. Apple has been critical to analyze its strengths in the competitive environment. The competitor’s strength is also vital in this model. Apple Computers have experienced substantial competition from the Microsoft Computers (Essaysbox.com., 2012). Microsoft has been leading in this field for many years. Apple Computers are strategizing on the different modes available in capturing the world market (Mindtools.com., 2012).

Apple Company on identifying the position of power in the market will help the Company take a fair advantage of the situation in the weakest areas and capitalize to make substantial market share (Henry, 2011). Apple Company is careful not to make wrong steps in order to cut the costs involved. The five force tool will be used by the Apple Company indentifying whether the new products launched will be profitable in the current competitive world market. There are five force tools in a competitive business setup namely; supplier power, buyer power, competitive rivalry, threat of substitution and threat of new entry (Essaysbox.com., 2012).

Supplier power

The supplier power in the Apple Company squarely lies on the hands of the management in the Company.  This form of power can be regulated by the Apple Company  re-strategizing on its operations. This is critical in that customers must be supplied with the products at all times when need arises (Essaysbox.com., 2012). This will enable them buy in the confidence of the consumers. Supply agents must never dry up with the products. The numbers of the suppliers plays a critical role in the attempt of controlling the supplier power. Cost of switching from one product to another is also closely monitored and analyzed (Mindtools.com., 2012). The numbers of suppliers plays a critical role in the distribution of the Apple products (Henry, 2011).

Buyer power

Buyer power is not within the control of the Apple Company. The number of buyers indicates the preferences in the Apple Products. This indicates the essence behind customer satisfaction. Apple Company is committed to retain the existing customers and attract potential customers in the market (Essaysbox.com., 2012). The power is influenced by the quality of the products Apple Company is offering. Competition also plays a critical role in establishing the equilibrium of the buyer power. Buyer power influences the business growth or the business deterioration (Mindtools.com., 2012).

Competitive rivalry

This is critical in the Apple Company in that it has faced immense competition from the Microsoft Corporation. Microsoft products are cheap and readily available in the immediate market. The main challenge in the competition is the ability to offer quality and consistent products (Essaysbox.com., 2012). A situation involving competitions with equivalent products in quality means that the company will have less power. Apple products are known for the quality in place.

Threat of substitution

This is accorded to the customers getting products of the same quality from other sources (Henry, 2011). An easy substituted product or service weakens the company. Apple products are unique and not easily substituted (Essaysbox.com., 2012).

Threat of new entry

New entrant poses a threat to the existing business setup. Power has the ability to shift to other people who have the ability to venture into the computer production world (Essaysbox.com., 2012). Apple Computers has heavily invested in the market in way that a new entrant can face immense challenges (Mindtools.com., 2012).

Ethics tool

Ethics is critical in the business environment. This is the motivation based on doing the right thing and not the wrong thing. Apple Company has been critical in addressing the ethics issues where the moral values come in play (Velasquez, 2010). Ethics is influenced by the cultural setup of the society. Apple Company has identified this fact and is working around the clock in ensuring that the products meet the expectations of the clients.

The moral standing of the customers in the Apple Company varies. This is due to the prevalence of multicultural and increased migration of people from one continent to another (Velasquez, 2010). The products produced by the Apple Company are expected to meet the needs of all the customers and potential customers. Ethics are changing with time. This is reference to the changing world. Technological advances are changing the perception of issues. Apple Company is critical in offering products that will improve the image of the company and be affordable to majority of the population (Velasquez, 2010). This will enable the Company acquire substantial share in the market and increase sales and revenues.

Reference

Henry. (2011). Understanding Strategic Management, 2nd edition. The Competitive Environment , 1-5.

Mindtools.com. (2012). Porter’s Five Forces: Assessing the Balance of Power in a Business Situation. Retrieved February 25, 2012, from Mindtools.com: http://www.mindtools.com/pages/article/newTMC_08.htm

Velasquez, M. (2010). What is Ethics? Retrieved February 25, 2012, from Scu.edu: http://www.scu.edu/ethics/practicing/decision/whatisethics.html

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