Strategic Management: Concepts, Models and Theories for Apple

This report focuses on the work culture of Apple to understand the concepts of strategic management. It covers various models and techniques that can facilitate the management of Apple to meet organisational objectives. It also provides information regarding various factors that can influence the strategic formation within the organisation. The report discusses Mintzberg 5ps, Marshall concept of plan and Whittingtons four schools theory to provide insights on how to improve business opportunities and accomplish organisational goals.

Strategic Management
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TABLE OF CONTENTS
INTRODUCTION................................................................................................................................3
Q1. Relevant concepts and understanding of strategy.....................................................................3
Q2. Apple Throne and Whittingtons four schools theory................................................................5
CONCLUSION....................................................................................................................................9
REFERENCES...................................................................................................................................10
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INTRODUCTION
Strategic management is all about managing diverse techniques and tactics which is used by
business organisation in order to meet organisational objectives. It plays a key role in success of every
organisation and provide various opportunities in business practice. It also have direct influence on the
operational activities of business organisation (Baker, 2007). With an improved focus on strategic
management the business firm can attain better competitive advantage.
In this report, learning will focus on work culture of Apple to understand the concepts of
strategic management. It will focus on various models and techniques which can facilitate the
management of Apple to meet organisational objectives. It will also provide information regarding
various factors which can influence the strategic formation within organisation.
Q1. Relevant concepts and understanding of strategy
In current market scenario the business firm is high ratio of competition which influences the
business opportunities. In this respect, it is necessary for management of Apple to focus on various
concepts regarding strategies. With an improved focus on Mintzberg 5ps the managers can accomplish
organisational goals in better way and lead business to impressive success (Barnes, 2008). Managers
can focus on five key points of Mintzberg while developing strategies as it provides better
opportunities. In the support of this, it can be stated that the classification of five Ps can be as follows;
 Plan
 Ploy
 Pattern
 Position
 Perspective.
With an improved understanding regarding diverse P of Mintzberg the management can
develop business strategies in order to have various advantages and improve capabilities. In the support
of this, it can be said that it is necessary for managers to consider strategy as a plan. In this,
management need to focus on planning of actions and techniques in order to have effective outcome
(Huber, 2011). It need to consider as a essential section of strategy formulation process. Strategies must
be formed as per the consideration of organisational audit and environmental audit. It will facilitate in
effective planning of actions and improve the strategic opportunities.
Secondly, management need to focus on options regarding ploy in order to meet the objectives.
The classification of ploy options can be as disrupt, dissuade, discourage. In order to gain better
competitive advantage over competitors. In other words, it can be said that it is a phase where
strategies can be ploy to meet organisational objectives (Kimura, 2005). The useful tools are future
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wheel, impact analysis, game theory, etc. Other than this, it is also necessary for manager of Apple to
focus on previous patterns and organisational behaviour aspects in order to identify most suitable
strategies. It will facilitate in understand previous issues and spot out strategies to meet organisational
behaviour needs (Slack, 2007). Organisational pattern to work can also facilitate in effective design of
strategic planning approaches. It is necessary to ensure that the patterns have become an implicit part
of designed strategy.
Moreover, position is another patter to understand and define designed strategy. It is all about a
pattern of deciding position within marketplace. It facilitates in exploring the critical factors which
relates with the organisation and its environment (Stensaker, 2014). It is also beneficial for effective
accomplishment of sustainable competitive advantage. At last, the choices in which organisation have
efforts to understand the culture of organisation. It is way in which behaviour of workplace has been
identified to emerge the strategies and shape better perspective towards organisation.
Furthermore, while focusing on Mintzberg 5ps it is also necessary for management of Apple to
focus on some other statements. During the collection of information and participating within analysis
it is necessary for manager to ensure that the everything is relevant to the strategic development.
Number of initiative ideas need to be taken into account to have realistic and practical outcome for
better opportunities (Slack, 2007).
Other than this, it has been spotted that the strategy formation plays a key role in success of
organisation so it is necessary for management to ensure that the strategy selected is in appropriate
manner. If organisation will have selection of strategy without any critical assessment of organisational
and environmental factors then company may face some significant issues. In the support of above
statement it can be said that the management must focus on organisational and environmental audit to
understand various factors (Kimura, 2005). With an improved level of knowledge regarding
organisational needs, employees needs, market conditions, competitors availability the organisation can
easily have effective designing of strategic plan and lead business to impressive success.
Moreover, it has been witnessed that the planning is one of most critical aspect for effective
formation of strategies. In this respect, the management of Apple can focus on Marshall concept of
plan which will boost opportunities in context of planning. It is an economic recovery plan designed
and implemented by the United States to assist with recovery efforts for Western Europe after World
War II. It is also refereed as economic recovery plan which provides effective design of strategies in
order to attain better sustainability within market (Huber, 2011).
As per the structured study of Marshall plan it can be said that the management must focus on
diverse economic factors which will provide detailed information about market needs and current
position of company in the competitive market. It is also essential for managers to share information
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with employees regarding market conditions and other critical factors so that they can provide various
alternative ways to meet organisational goals. It has been spotted that the management must focus on
participative culture and behaviour during the strategic formulation process as it boosts the
effectiveness of process (Stensaker, 2014). As per structured study of Marshall concept of plan it can
be said that the management must analyse the outcomes in appropriate manner and try to improve
existing strategy and overcome issue with an use of alternative strategies. In the support of this, it has
been spotted that the business organisation need to focus on various alternative ways which can lead
business to impressive success.
Q2. Apple Throne and whittingtons four schools theory
As per the above case study it can be said that the Apple is one of most profitable organisation
in current competitive market. In other aspect, Apple is also considered as a firm who has made a huge
amount of money in such as short period of time. The profit margin ratio of business is increasing day
by day and company is looking forward to meet the meet new objectives and beats its previous record
of 15.9 billion dollar's (Baker, 2007). It has also been spotted that the company is attaining highest
ratio of profit by its I-phone which has become one of great success in the market. In current market
conditions in every hour one I-phone is sold in the market which increases the business opportunities
and sales ratio of company.
Other than this, Apple is considered as one of world's largest company while considering
market capitalisation as well as its profit margin ratio. In other aspect, it can be said that the
opportunities are increasing day by day but Apple is focusing on old fashioned business model to
amend the business opportunities (Barnes, 2008). Company ensure that they are producing highly
desirable goods at very low operating cost in order to amend the profit margin ratio. Moreover, the tech
industry is also having various advancement in their working to accomplish organisational goals Tech
industry is also focusing on various technological development in context of software (Huber, 2011).
In order to enhance the market opportunities the management of Apple has focused at China
market. It has provided various benefits to business organisation and today company is attaining
highest ratio of profit from the China market. With an launch of iphone 6 the apple has able to enter in
phablet category which has also increased the business opportunities (Kimura, 2005).
On the other side, it has been spotted that the business organisation is attaining high ratio of
profit but company is also facing various issues which impacts its overall performance. In current
market scenario the business organisation has very low market share in Smartphone market. It has been
spotted that the Apple share of smartphone market is small as compared with devices using Android
and other operating system (Slack, 2007). It impacts the business organisation in negative manner so in
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order to reduce the negative outcomes it become necessary for business organisation to reduce its
dependence on iphone. In other aspect, it can be stated that the it is necessary for Apple to expand its
business in market and category (Stensaker, 2014). In this respect, the Apple has also introduced Smart
watch which will enhance the business opportunities and lead business to impressive success.
Other than this, it is also essential for Apple to focus on some other segments in order to have
better business opportunities. Apple must focus on making money by software and other services as
well. It will facilitate in gaining better competitive advantage (Gadde, 2000). Moreover, the effective
development of eco system is also one of great opportunity for Apple which will enhance its brand
image and provide various advantages other than money. It will also facilitate in advancement of
market capitalisation of company and assist in become information technology giants.
Furthermore, in order to overcome the issues and amend the market opportunities it is also
necessary for management of Apple to focus on whittingtons four schools theory. In the support of this,
it can be said that whittingtons four schools theory is a strategic theory which focuses on four key
diverse perspectives regarding strategic needs (Hitt, 2012). The classification of four schools of
whittingtons theory can be as classical perspective, evolutionary perspective, processual perspective
and the systemic perspective.
The classical perspective is all about basic perspective regarding strategic management within
organisation. In this respect, it can be said that manager need to focus on key factors like proper
allocation of resources for better management and improvement in services and products. In other
aspect, it can be stated that in classical perspective the manager must have effective control over the
allocation of internal and external resources accessible for firm (Carreno, 2011). Manager can have
manipulation of internal sources of firm in order to have better accomplishment of organisational
goals. Strategic behaviour depends on the rationality, opportunism and self interest.
Moreover, the evolutionary perspective means the manager of Apple need to focus on
behavioural differences among firms. In other aspect, it can be said that it is necessary for management
to ensure that the decision makers are having correct information about market trends and behaviour of
information technology firms in current competitive market (Cole, 2003). Company can analyse its
competitors products and services in order to understand their behavioural aspects.
Other than this, organisation can also have comparison of all behavioural aspects and evaluate
services in better way. In other aspect, it can be said that the decision on rational calculations can be
best example of evolutionary perspective. It will facilitate firm in attaining better growth and have
effective market selection mechanism (Debrah, 2013). It is one of most beneficial and critical aspect to
have better survive in competitive market. In this support it can be said that in order to have better
evaluation of performance the management can focus on various determination actions like random
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events, feedback process, etc.
Furthermore, processual perspective means management need to focus on economic outcome
and factors in order have better opportunities and lead business to impressive success. It is necessary
for management to ensure that the all economic aspects and predications are considered in appropriate
manner to boost success ratio (Jones, 2009). In this, management also need to focus on proper
interaction between individuals and organisational environment. Company can also understand the
culture and social life of employees and then compare it with organisational culture. It will provide
information regarding various critical aspects which influences the overall performance (Richard,
2001). It is also necessary for management to focus on rationality aspect during the interaction process
and motive must not only to understand self interest but also to understand collective bargaining and
compromise concepts.
Other than this, systemic perspective indicates that the three other schools of whittingtons
theory shows the narrow view of the world. In this, management can focus on various rationality in
order to amend the business opportunities and accomplish organisational goals in better way. In the
support of this, it can be said that the management of Apple can focus on various rational aspects in
better way by focusing on systemic perspective (Jarzabkowski, 2008). The classification of factors can
be as historical, social and cultural, with an improved knowledge about these aspects the management
can attain better growth ratio. It also indicates that the strategic behaviour relates with the network of
social relations which covers cultural norms, class and educational background, etc (Whittington,
2010).
In the support of above statements it can be said that the success of every organisation depends
on the rationality of various factors. It is necessary for business organisation to focus on various factors
which can influence the organisational behaviour and lead to effective accomplishment of goals. It has
been spotted that the company can also focus on ability enhancement. It is necessary for management
to focus on effective development of skills which can provide adequate resources and provides better
support to new strategy initiatives (Whittington, 2011).
In other aspect, it can be stated that the company must have appropriate allocation of diverse
factors which provides significant strength to the strategy execution process. If company will decide to
change the strategy then management requires effective resource allocation and organisational units
requires effective focus on proper funding in order to carry out effective strategic plan (Hoerst, 2009).
It will facilitate in effective and efficient accomplishment of organisational goals.
In the support of this, it can be said that the organisation needs accurate budget. In this respect,
the effective controlling over financial resources is essential in order to have effective management
directives and execution of selected strategy (Jelenc, 2010). It will also provide advancement in profit
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margin ratio and lead business to impressive success. It has been spotted that the effective control over
budget and other resources is one of most powerful tool for first rate strategy execution. In this regard,
the effective understanding of financial and economic condition is also required in order to reduce the
waste of resources.
Moreover, number of new initiative must be taken into account for effective implementation of
strategies. It is necessary for management of Apple to focus on effective execution of selected
perspective and allocate resources to all concern departments in effective manner. Initiatives and
effective allocation are considered as most strategy driven factors which also provides effective
integration to diverse operational actions (Hansen, 2011). In the support of this, it can be stated that the
management can have effective cost cutting in operations and perform value chain activities in better
way. It also allows to work as per determined benchmarking in respect of industry competitors. It is
also beneficial for effective development and accomplishment of efficient competitive advantages
(Whittington, 2009).
As per the above statements it can be said that with an improved focus on whittingtons four
schools theory the management of Apple can have advancement in its services and lead business to
impressive success. According to structured study of whittingtons four schools theory it has can be said
that the all four perspective are differ from each other and focuses on diverse factors (Siwatu, 2009).
Some perspective focuses on general elements of business strategy in order to meet the organizational
objective. It is mostly refereed as classical perspective.
Other than this, evolutionary perspective focuses on detailed evaluation of various process and
aspects which can influence the overall operational actions of Apple. In this, it has also been identified
that the management must take strategic decisions with an assistance of relationally calculated
information (Whittington, 2009). It is also necessary for management to have effective focus on
feedback system as it provides enhanced level of support to evaluation process and make understand
about the critical factors.
Moreover, processual perspective is all about focusing on various factors which can enhance
the integration among all members. It allows to have better focus on various human resource aspects
and environmental conditions in order to design better strategies. With an effective design of strategies
the management can lead business to impressive success (Hansen, 2011). Furthermore, the systemic
perspective is a combination of various factors and perspective which allows management to consider
diversified aspects in order to meet the organisational objectives. With an improved focus on this
company can focus on historical, social and cultural factors for better strategic management and
improvement in services (Jelenc, 2010).
In this support it can be said that the systemic perspective is one of most suitable perspective of
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whittingtons four schools theory which provides number of advantages to firm in form of monetary
and non monetary aspects. It also reduces the issues by providing better control over these factors.
With an assistance of social factors management of Apple can design strategies as per the social
perception and needs of customers (Hoerst, 2009). It allows to improve the organisational structure and
lead business to impressive success. It also provides better understanding about current trends within
market and facilitate in effective development of product and services.
Other than this, company can also analyse the previous strategies and factors to understand the
strategic management. It will reduce the cost of operations by allowing management to use previously
used tactics and strategies. It also decreases the cost of labour by reducing the needs of training and
development program (Whittington, 2011). Moreover, the cultural factors will provide information
regarding behaviour and attitude of employees towards work and organisation. It is also beneficial for
effective development of strategies and accomplish goals in better way.
CONCLUSION
As per the above study it can be concluded that the strategic management is organisational
process in which management focuses on various tactics and factors which can improve organisational
performance. Apple is having great profit margin ratio but company is facing some issues which will
influence its long term opportunities. It has been spotted that with an assistance of whittingtons four
schools theory the management of Apple can easily overcome the issues and lead business to
impressive success.
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Whittington, R., 2011. The practice turn in organization research: Towards a disciplined
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