Global Business and Strategy | Apple Inc.

Running Head: STRATEGIC ANALYSIS
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Global Business and
Strategy
Strategic Management: Apple Inc.
(Student Details: )
12/28/2019

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Contents
1.0 Introduction.....................................................................................................................2
2.0 Brief Background to Case Study Organisation....................................................................2
3.0 Internal and External Analysis.............................................................................................3
Internal Analysis....................................................................................................................4
External Analysis...................................................................................................................5
Macroeconomics Environment: PEST Analysis................................................................5
Industry Analysis: Porter’s Five Forces Analysis..............................................................6
Competitors’ analysis.........................................................................................................7
4.0 Identification of Company’s Sustainable Competitive Advantage......................................7
5.0 Strategic Recommendations and Implementation Issues.....................................................9
Corporate Strategy.................................................................................................................9
Differentiation..................................................................................................................10
Value creation by cost leadership and focus....................................................................10
Ansoff Matrix...................................................................................................................10
6.0 Conclusion..........................................................................................................................12
References................................................................................................................................13

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1.0 Introduction
This management report is focused on a strategic analysis of the well-known global firm
Apple Inc. In this paper, all possible aspects of an effective management approach will be
discussed in the context of the chosen firm. In general, strategic management (SM) is a
process through which a company drafts, evaluates, as well as implements cross-functional
decisions which allow the firm to attain their long-time goals. As we know Apple Inc.
(hereinafter referred to Apple) has successfully managed to generate substantial value into the
greatly competitive global industry, while innovating as well as forging a leading path
different from their largest competitors worldwide (Glenn, 2019). In this way, with the help
of this report, an introduction of the Apple will be done while analysing internal and external
factors of the organization. In addition, the discussion will identify Apple’s sustainable
competitive advantage while utilising the VRIO framework (Apple Inc. , 2015). Besides, a
conclusion with strategic recommendations based on conducted internal and external analysis
will be provided in the later section.
2.0 Brief Background to Case Study Organisation
Apple is the global American company that is known for producing smartphones, computer
hardware and software, personal computers, laptops, smart gadgets and useful consumer
electronic products (Berman, 2019). The key products offered by Apple are iPod, iPhone,
Macintosh and iPad. The mission of the company is to define the future of mobile-media as
well as function and computing devices with the reinvention of the iPad. Besides, the vision
of Apple suggests that the company believes in deep collaboration as well as a cross-
pollination of their people, which enable extra-ordinary innovation (Apple Inc. , 2015). The
thoughts and capabilities led the owner of the company to start the business. The owner
believed that we should not settle for anything less than excellence and we must have the
courage to change the society with modern technologies (Apple, 2019).
Currently, Apple is creating innovative and powerful solutions for pushing humanity forward
while taking relentless innovation. Apple is resolving issues of the societies without
consuming precious natural resources from the planet. Throughout 2019, Apple Inc.’s net
sales from their direct as well as indirect distribution channels responsible for 31% and 69%,

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respectively, of their net sales (BBC, 2019). The current data for explaining the present
situation of the company is presented as below:
Source: (Morning Star, 2019)