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Apple

Apple has achieved success through strategic differentiation of its innovative products, strong branding and marketing. It focuses on high quality design and user experience through its integrated hardware, software and services ecosystem. While competitors like Samsung offer a wider range of products, Apple targets the high-end market and continually improves its current products through research and development. Its emphasis on creativity, simplicity and privacy resonates with customers.

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0% found this document useful (0 votes)
53 views

Apple

Apple has achieved success through strategic differentiation of its innovative products, strong branding and marketing. It focuses on high quality design and user experience through its integrated hardware, software and services ecosystem. While competitors like Samsung offer a wider range of products, Apple targets the high-end market and continually improves its current products through research and development. Its emphasis on creativity, simplicity and privacy resonates with customers.

Uploaded by

Miroq 254
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Apple’s Corporate Strategy and International Management

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Table of Contents
Apple’s Corporate Strategy and International Management...........................................................1
Apple’s Corporate Strategy and International Management...........................................................3
Introduction..................................................................................................................................3
Apple’s Strategic approach in the market and its Comparison to its key competitors....................3
Product differentiation.................................................................................................................3
Innovation strategy.......................................................................................................................4
Marketing and Branding Strategy................................................................................................4
Comparison to its Key Competitors.............................................................................................5
Apple Key Resources......................................................................................................................5
Apple’s Core ideas and Values........................................................................................................6
Embracing diversity.....................................................................................................................6
Innovation....................................................................................................................................6
Simplicity and User experience...................................................................................................6
Privacy and security.....................................................................................................................7
The major differences with rival companies................................................................................7
The performance of Apple...............................................................................................................7
The company business model and how it differs from its competitors...........................................8
Apple’s Approach to Internationalization and Innovation..............................................................8
Conclusion.......................................................................................................................................9
Reference List..................................................................................................................................9
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Apple’s Corporate Strategy and International Management


Introduction
Apple is one of the giant American corporations in the world. The corporate is well known for its
products; hardware, software and services. According to the released reports of 2022, the
company had over 164 000 employees in more than 25 countries with over 522 stores. The
Apple Company sparked the dawn of smart phones in the world and totally changed how the
world sees phones. The company continues to produce quality and well engineered products. The
company concentrates on the unique design of its products as well as aesthetics. The company
has used different strategies to break even and stay relevant in the market since its introduction in
the market (Tien, 2019 p2). In this paper we are going to look at the company’s strategies in the
market, its core values, its model of business and how it approaches the international market and
innovation.

Apple’s Strategic approach in the market and its Comparison to its key
competitors
As companies expand internationally, the rivalry in the contemporary world of business keeps
rising. In essence, businesses use business- and corporate-level tactics to outperform their
competitors. Business-level strategies are actions businesses take to gain a competitive advantage
in the market. Typically, this entails utilizing core skills that provide value to clients. This could
take the form of offering distinctive products or services that are different from those of rivals.
Apple Company operates in the ICT industry and here are the strategies the company deploys.

Product differentiation
For a very long time, Apple Company has dominated the technology industry and this has been
greatly enhanced by production of better technologies in their products such as MacBook and
Iphone. Product differentiation is where the company beats its competitors especially in the
music online stores and digital music players. Apple has a well-deserved reputation for
emphasizing product differentiation. The company work hard to provide distinctive products in
terms of design, usability, and user experience. Because of their dedication to cutting-edge
technology and innovation, Apple has been able to launch ground-breaking products that have
completely changed entire sectors. Apple has continuously pushed the envelope and established
new benchmarks for product excellence, beginning with the Macintosh in the 1980s and
continuing with the iPod, iPhone, and iPad.

Apple Company strategy is focused on engaging a single company to provide the operating
system and also the hardware parts for its products. This helps the company monitor and control
the design and quality. The company has placed itself in the high end market position that is a
result of its reputation and the how it is valued by customers. Apple has set up retail outlets all
over the world as part of its differentiating strategy in the area of product supply. Additionally,
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the company's service delivery is outstanding since it offers revolutionary technical support,


constant committed customer service, and allows clients to experience products before
purchasing them. Providing devices that stand out in excellent quality and design with
impressive innovation, and user-friendliness have enabled the company to optimize revenue.

Innovation strategy
Innovation lies at the core of Apple's strategic approach in the market. Throughout its history,
Apple has demonstrated a strong commitment to innovation, driving its success and shaping the
technology landscape. The innovation strategy employed by Apple comprises iterative product
development. Apple places a greater emphasis on improving and upgrading current goods than
on making abrupt and significant changes. They thoroughly examine customer comments,
pinpoint areas that need work, and then roll out iterative improvements that improve the user
experience. Apple is able to continually deliver goods that live up to customer expectations and
keep their competitive advantage because to this methodical and methodical strategy.

To promote innovation, Apple makes significant investments in research and development


(R&D). The business devotes a sizeable percentage of its resources to investigating new
technologies, running tests, and creating new features and products. Due to its dedication to
research and development, Apple is able to constantly introduce market-leading innovations
while remaining at the forefront of technical development.

Furthermore, beyond specific products, Apple's strategic approach to innovation integrates its
ecosystem. Apple gives people a smooth, connected experience by creating a closely linked
hardware, software, and services ecosystem. Features like Continuity, Handoff, and iCloud are
made possible by this ecosystem connectivity, letting users to seamlessly switch between Apple
devices and access their content from any location (Laestadius, et al., 2019 p123). This
innovation-driven strategy fosters brand loyalty while improving customer ease.

Marketing and Branding Strategy


Apple's strategic strategy has placed a high priority on marketing and branding, which has
greatly aided the company's development and turned it into a global powerhouse. Creativeness,
emotional appeal, and the capacity to connect with customers are the hallmarks of Apple's
marketing and branding initiatives.

Consequently, Apple intentionally uses celebrity and influencer endorsements to increase brand
appeal and reach. Collaborations with well-known individuals and influencers, like athletes,
musicians, and artists, aid Apple in reaching particular target markets and integrating its brand
with popular culture. These alliances increase brand awareness, build discussion, and foster
favorable connotations with the Apple name.
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Comparison to its Key Competitors


Apple meets a stiff competition from Google, Samsung and Microsoft. These are the main rivals
of Apple in the world market. In comparison to its competitors, this how the company breaks
through in the market. Apple continues to concentrate on high-end smart phones while Samsung
offers a wide variety of goods at different price points (Budiono, et al., 2021). Samsung's
approach includes offering consumers a wider range of products and serving various market
niches.

In comparison with Google, Google closely rivals Apple's iOS with its Android operating
system. The core of Google's strategy is to offer an open ecosystem that permits more
customization and a wide variety of hardware alternatives. Apple, in contrast, places a strong
emphasis on a closed environment with deep hardware-software interaction.

Apple and Microsoft largely compete in the market for laptops and desktop computers. While
Microsoft offers a variety of devices with Windows operating system, seeking a broader user
base, Apple's macOS and MacBook lines target the premium market. Microsoft has also
concentrated on services like cloud computing and productivity software to complement its
hardware products.

Apple Key Resources


Apple has several key resources that work together and complement each other and help create a
synergy that significantly strengthens the company’s competitive advantage in the market. The
first key resource and the most significant is human resource. The company recruits elite talent
across a range of fields, including marketing, engineering, design, and software development.
The success of Apple as a whole and the development of new products are all influenced by its
personnel. We also have leadership that is an important aspect of human workforce. The
leadership of Apple, particularly the CEO-led executive team, is essential in determining the
company's strategic direction, decision-making, and innovation (Adıgüze, 2020 p21). Apple's
capacity to effectively utilize its resources and carry out its plans is influenced by effective
management techniques.

We also have the manufacturing facilities and physical assets as part of the key resources of the
company. Apple has a wide network of manufacturing facilities that it owns and contracts out,
allowing for effective supply chain management and production. These facilities make sure that
high-quality items reach the market on schedule. On physical assets, Apple owns an extensive
portfolio of physical assets, including retail stores, distribution centers, data centers, and research
and development facilities. These assets support Apple's operations, customer service, and
innovation efforts.

Brand equity is also another key resource of the company. One of Apple's most important
intangible assets is its brand. The Apple name is a byword for creativity, dependability, and first-
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rate experiences. It enjoys a solid reputation for creating high-end, user-friendly products, which
helps to build client loyalty and brand recognition.

Apple’s software and Operating systems are also key resources of the company. Apple's
proprietary software, such as macOS, iOS, and the App Store, is a valuable resource. These
software platforms provide a seamless user experience, facilitate ecosystem integration, and
contribute to customer loyalty.

Lastly we have the financial resources of the company. The robust financial position of Apple,
which includes significant cash on hand and strong sales growth, gives the business flexibility
and resources for R&D, acquisitions, marketing, and other strategic activities. In its worldwide
supply chain, Apple's relationships with suppliers and partners constitute a key resource (Gladka,
et al., 2019 p150). These connections aid in effective production, the sourcing of high-quality
components, and the prompt release of products onto the market.

Apple’s Core ideas and Values


Embracing diversity
The company’s core values are significant in staying relevant in the market and foster the
company’s future. The core ideas of the company include innovation, diversity, simplicity,
privacy and security and environmental responsibility. Apple's values and corporate culture
place high importance on diversity. Apple is aware of the value of inclusion and diversity in
promoting creativity, innovation, and a dynamic workplace.

Apple is dedicated to creating a diverse, inclusive workforce that represents the world's
population. They make a deliberate effort to hire and keep staff members with diverse
backgrounds, ethnicities, and viewpoints. Apple thinks they can provide a wider range of ideas
and insights to promote innovation and better understand their diverse client base by cultivating
diversity in their team.

Innovation
The core of Apple's ideology is innovation. Apple aims to produce cutting-edge, revolutionary,
and technologically advanced goods. They place a high priority on creating cutting-edge
functions, aesthetics, and user interfaces with the intention of consistently surprising and
delighting their clients.

Simplicity and User experience


Apple places a high importance on user experience and design simplicity. They think that
technology ought to be simple to use and intuitive. Customers can easily access and enjoy their
gadgets without difficulty because to Apple products' simple, clean designs and intuitive
interfaces.
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Apple prioritizes the user in all they do. They focus their clients' needs, tastes, and wishes when
designing their products. Apple provides technological solutions that make work simpler, more
pleasant, and more productive in an effort to improve the lives of its consumers.

Privacy and security


Data security and privacy are important to Apple. They are dedicated to maintaining user privacy
and offering safe platforms for exchanges and payments. When it comes to privacy, Apple takes
a different tack than some of its rivals, putting a strong emphasis on user control and data
encryption.

The major differences with rival companies


There are noticeable contrasts in the fundamental concepts and ideals of many of Apple's rivals,
despite the fact that they all share a dedication to innovation, distinctiveness, and user
experience. Apple stands apart from rivals like Samsung and Google due to their emphasis on
user-centric design and simplicity. Apple goods frequently place a premium on usability and a
seamless user experience, in contrast to other rivals who might provide more customization
options or feature-rich options.

Apple stands out from rivals like Microsoft and Samsung, who frequently offer more diversified
product portfolios and run on separate platforms, due to their emphasis on integrating hardware,
software, and services. Apple stands out from rivals like Microsoft and Samsung, who frequently
offer more diversified product portfolios and run on separate platforms due to their emphasis on
integrating hardware, software, and services. Apple distinguishes itself from several rivals i with
their dedication to environmental responsibility. Even while other businesses might also have
sustainability programs, Apple has made significant strides in cutting its carbon footprint and
boosting the use of renewable energy.

The performance of Apple


In terms of performance, Apple has historically dominated the technology sector and is well-
known for its robust financial results and market presence. Apple has continued to enjoy
substantial growth and success in recent years. The iPhone, iPad, Mac, and wearables like the
Apple Watch and AirPods have all maintained their strong performance. Due to a devoted
customer base and high brand appeal, the company has had consistent demand and sales growth
for these products. The company recorded $117.2 billion which is quarterly revenue in 2023
which is an achievement. Launching new products the revenue will be even higher.

Apple has been putting a lot of effort into expanding its services business, which includes
products like Apple Music, the App Store, iCloud, Apple Pay, and Apple TV+. This market has
expanded significantly and now contributes significantly to the company's revenue.
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To increase the variety of its revenue sources, Apple has been increasing the services it offers.
To provide users a wider variety of digital experiences, they have introduced new services
including Apple News+, Apple Arcade, and Apple Fitness+. Apple typically maintains one of
the highest market values in the world, which shows how investors view the company's success
and potential for growth.

The company business model and how it differs from its competitors
Even if Apple's business strategy has been productive, it is important to keep in consideration
that rivals may have their own distinctive business strategies that are tailored to particular client
needs and preferences. The strategy adopted by any firm may differ depending on elements
including its product portfolio, target market, and strategic priorities.

Apple distinguishes itself from competitors by creating both the hardware and software that go
into its products. Apple is able to precisely regulate the user experience and enhance the
functionality and performance of its products thanks to this integrated strategy. While some
rivals, such as Samsung or Google, might use on third-party software or use alternative
platforms, this could result in differences in the user experience and ecosystem integration.

Apple's business strategy places a strong emphasis on the creation of an integrated ecosystem
that integrates hardware, software, and services. The ecosystem of Apple's products is created to
offer a seamless user experience. Devices like iPhones, Macs, iPads, and wearables are
integrated with services like iCloud, Apple Music, and the App Store to form a seamless
environment that encourages users to stick with Apple. This ecosystem-based strategy increases
income through services, in-app purchases, and subscriptions while encouraging client loyalty.

Apple's business strategy is based on a premium pricing approach. The business presents itself as
a supplier of high-end, luxury goods with a high price tag. This pricing policy increases Apple's
profitability and enables them to make significant investments in R&D, marketing, and
ecosystem upkeep. However, some rivals may use a more flexible pricing strategy, providing
goods at several price points to appeal to a larger range of client demographics.

Apple’s Approach to Internationalization and Innovation


Apple has maintained its leadership in technological innovation and its competitive edge in the
global market because to its internalization and innovation strategies. Apple continues to
generate growth and offer goods and experiences that enthrall consumers around the world by
leveraging its global footprint and dedication to innovation.

On internalization, the company has internalized on a worldwide scale, growing its business and
footprint in numerous international regions. Through a variety of tactics, including direct
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subsidiaries, manufacturing facilities, and collaborations, they have developed a significant


multinational footprint. This includes promoting global distribution and retail, enhancing its
manufacturing and supply chain and also adapting to the local regions.

Through its own locations, referred to as Apple locations, which are dispersed throughout major
cities globally, Apple has a significant retail presence. Apple is now able to exert direct control
over how its brand is represented and how customers are served. In order to guarantee
availability in diverse markets, Apple products are also supplied through authorized resellers and
carrier partners (Ferrell, 2021). Apple lays a strong emphasis on localization to meet the
demands and tastes of various markets. To account for regional needs, local laws, and cultural
quirks, they modify their goods, services, and marketing plans. Language support, the
availability of regional applications, and feature adaptation to suit certain market preferences are
all examples of localization initiatives.

Conclusion
In conclusion, Apple has proven to be an outstanding organization in the world. The values and
strategies that are governing the company are top notch. Apple has developed a distinct brand
identity and a devoted following by emphasizing innovation, simplicity, user-centricity, quality,
privacy, and environmental responsibility. This will steer the company for decades at the top of
the rest in this competitive market. Apple has proven reliability, durability and sustainability in
their devices and services. It explains why the company is a giant even in the future.

Reference List
Adıgüzel, S., 2020. Market and brand positioning and sustainability strategies in international
marketing. International Journal of Scientific Research and Management, 8(9), pp.9-24.
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Budiono, S., Purba, J.T., Adirinekso, G.P. and Rajagukguk, W., 2021. Market Growth Strategy
through Consumers’ Satisfaction, Product Quality and Brand Image: Evidence from
Jakarta Indonesia.

Ferrell, O.C., Hartline, M. and Hochstein, B.W., 2021. Marketing strategy. Cengage Learning.

Gladka, O. and Fedorova, V., 2019. Defining personnel marketing strategies. Business: Theory
and Practice, 20, pp.146-157.

Kostelijk, E. and Alsem, K.J., 2020. Brand positioning: Connecting marketing strategy and
communications. Routledge.

Laestadius, L.I., Wahl, M.M., Pokhrel, P. and Cho, Y.I., 2019. From Apple to Werewolf: A
content analysis of marketing for e-liquids on Instagram. Addictive behaviors, 91,
pp.119-127.

Tien, N.H., 2019. International distribution policy comparative analysis between samsung and
apple. International journal of research in marketing management and sales, 2020(1),
p.2.

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