MBA501: Dynamic Strategy of Apple Inc. Case Study Report

This report provides a comprehensive case study analysis of Apple Inc., examining its dynamic strategy and disruptive innovation. It begins with an introduction to Apple, its product lines (iPhone, PC, TVs, and other devices), and key administrative figures. The core of the analysis involves applying business portfolio tools like the BCG matrix, GE McKinsey matrix, and Synergy matrix to assess Apple's product performance and strategic positioning. Based on these analyses, the report offers detailed recommendations for each product line, suggesting investment strategies for high-performing products like the iPhone and cautioning against further investment in underperforming areas such as the iPad and iPod. Furthermore, the report delves into Apple's dynamic capabilities, exploring its ability to identify and assess opportunities, mobilize resources, and transform strategic assets. It highlights the company's innovation, research and development, and competitor analysis. The report concludes with recommendations to enhance Apple's dynamic capabilities, including organizational transformation, maintaining strong human resources, decentralization, and utilizing models like Six Sigma to improve processes. The report is supported by several references related to dynamic capability and business portfolio analysis.

DYNAMIC STRATEGY
AND DISRUPTIVE
INNOVATION
APPLE INC. CASE STUDY

Introduction
 Apple is a multinational technology company founded in 1976 as
apple computers.
 The company is based in California, US. However, it has
diversified into more 500 retail stores to access the market
sufficiently.
 It also produces several products from, iPhone, iPod, MacBook’s
apple TVs and other services like iTunes

Introduction
 The company was founded by Steve Jobs, Steve Woznick and Ronald
Wayne.
 Furthermore, its administrative rank comprises of :
 Tim cook, the CEO,
 Luca Maestri, the chief financial officer and
 Jony Ive, the chief design officer (Schwanen 2016).

Apples products lines
 Apple Inc. has four major products which are designed and
manufactured by the company experts.
 The first product is smartphone business which has since produces
a series if mobile handsets known as iPhones
 The second product line of Apple Inc. is PC manufacturing and
assembling where the company makes various computer models
 Another product line from Apple Inc. is the TVs
 A part from the services offered by the organization, the company
produces IPod, IPad and watches which makes the fourth product
line

APPLE’s BCG MATRIX

Apples product line in relation to the
BCG MATRIX
 Apples has four potential products
 start: iPhone smartphones
 Cash cows: Pc products
 Question mark: TVs
 Dogs: IPad and IPod

GE MCKINSEY MATRIX OF APPLE

Synergy Matrix

Apple’s products sales statistics

Recommendations
 Star; iPhone smartphones, this product line has proved to be useful
and fruitful and the company should invest more on smartphone
innovativeness for increased profitability.
 cash cow; apple Pc or computer products, the company has become
premium producer in this line of production and should keep the
business, however reduce the rate of investment.
 Question mark; TVs, this product line shows a potential growth in the
future and the company should invest more in this line for
innovativeness for it to be a revenue generator for the company
 Dogs; IPad and IPod, the IPod products are going nowhere and has
been passed by the current era, the company should avoid investments in
this line or even sell it to any wiling buyer.

Justifications for the
recommendation
 Based on the on Apple's products sales statistics, Synergy Matrix
analysis, GE MCKINSEY MATRIX and BCG matrix analysis.
 It is evident that there are some products of the company that
shows high revenue generation.
 Other products shows high chances of generating much income in
the future while other has no indication of future profitability thus
remain a burden to the company.
 This is therefore, the rationale for the above recommendations

Justification cont..
 Being that the Apple Inc. has ben able to generate revenue from
smartphone business through iPhones series production.
 To this reason it is advisable for the management invest more in
this product line.
 Secondly, Apple Inc. has been producing PCs which has seen the
company sales rising over the past years.
 This product is a good product line and the management should
in the same manner improve the quality.