- In this assignment, you are to use the same corporation you selected and focused on for Assignments 1, 2, and 3.
Consider the corporation you have selected to use in your first three assignments.
Research the company on its own website, the public filings on the Securities and Exchange Commission EDGAR database, the University’s online databases, the Nexis Uni database, and any other sources you can find. The annual report will often provide insights that can help address some of these questions.
You will do a 15-minute presentation to the Board of Directors of the corporation. Develop an eight- to twelve-slide PowerPoint presentation with speaker notes or record a video based upon Assignments 1 through 3. You may choose to compare your chosen corporation to a major competitor with whom you would like to work. You will make recommendations to the Board of Directors based upon your analysis and decision on why the corporation remains or is not a good fit for you.
Requirements
Determine the impact of the company’s mission, vision, and primary stakeholders on its overall success as a competitive employer in the industry.
Don't use plagiarized sources. Get Your Custom Essay on
Capstone
Just from $13/Page
Create a SWOT analysis for the company to determine its major strengths, weaknesses, opportunities, and threats.
Based on the SWOT analysis, outline a strategy for the company to capitalize on its strengths and opportunities, and minimize its weaknesses and threats.
Discuss the various levels and types of strategies the firm may use to maximize its competitiveness and profitability.
Outline a communications plan the company could use to make the strategies you recommend above known to all stakeholders.
Assess efforts by this corporation to be a responsible (ethical) corporate citizen and determine the impact these efforts (or lack thereof) have on the company’s bottom line. Provide specific examples to support your response.
Develop an executive-level PowerPoint presentation with 8–12 slides with speaker notes and appropriate graphics or professional video.
Go to Basic Search: Strayer University Online Library and locate at least three quality references. Note: Wikipedia and similar Websites do not quality as academic resources.
References must be submitted on a Works Cited page using SWS format.
Use the Assignment 4 Template [PPTX] to ensure that your assignment meets the above requirements.
The specific course learning outcome associated with this assignment is as follows:
Develop a corporate presentation based on a SWOT analysis, strategies for maximizing competitiveness and profitability, a communications plan, and an assessment of efforts related to ethics.
Grading for this assignment will be based on answer quality, logic and organization of the paper, and language and writing skills, using the scoring rubric.
Amazon Company is an organization that was started by Jeff Bezos in 1994 and operated in many industries. Some of the industries served by the organization include e-commerce, cloud computing, digital distribution, and many others. The organization started as an American company but has increased its operations to serve customers all over the world because of online shopping.
Globalization
and technology have played a great role in ensuring that the products and the services of the company reach all customers in the world regardless of their physical locations. Industrial organization, resource-based models and the stakeholders have shaped up the service delivery to the customers globally.
Globalization
Amazon has increased from strength to strength by increasing the number of services and products it offers to an increased number of customers in the world today. The effect of globalization on the organization has come courtesy of a large number of employees who ensure that the customers get their products within the stipulated period. The number of employees of the organization currently stands at 750,000, which show that the company is one of the largest single employers in the world. Through globalization, the international revenue of the company has increased from $15 billion in 2010 to $35 billion in 2014 an indication of the positive influence of globalization on the company.
The expansion of the organization has stiffened competition in various industries to the favor of the customers. Companies in various industries are forced to offer products at lower prices to compete for the giant firm which enjoys a competitive advantage in many sectors across the globe. Amazon Company has opened up many sectors in the world that has helped in boosting the growth of the world economy (DePillis & Sarlin, 2). The company has also offered employment opportunities to many people that have contributed to the reduction of unemployment rates and increasing the revenue of various nations where the organization is based.
Technology
Technology is the second factor that has revolutionized the operations of Amazon Company and the quality of services and products it offers to the customers. One of the greatest technologies that have been introduced in the organization is the use of robots. The robots were introduced in 2016, supported by over 50 IT professionals and engineers to make work easier and increase the movement of goods from one place to another within the stores (Curtis, 1). Robots reduce the movement of the employees from one shelf to another by moving the shelves to the employees. The second technology that has boosted the operations of Amazon is 1-Click. 1-Click is a technology that was developed to speed up the ordering process by the customers in a bid to serve time and data for the customers.
Cloud computing is the third technological idea that has been used by the organization to meet the needs of the customers and the organization. The company developed Amazon Cloud drive that helps customers to store their digital documents and access them through a web browser from any location around the globe. The Amazon Cloud drive is secure for all the clients and has a large capacity to store larger documents (Curtis, 1). The last technology that has helped in the growth of the company is e-commerce. Ecommerce has enabled customers to get goods from the company from all over the world without delays because of the digital link.
Industrial Organization Model
The industrial organization model constitutes factors that affect the operations of the organization in the market. Several external factors affect the operations of the organization. The external factors can be used by the organization to favor its operations. The factor global factor is product differentiation. The company operates in a competitive industry that requires clear product differentiation to help the customers recognize the products from the company. Easy identification of the Amazon product will increase the revenue generated by the company. The second factor that could be used to boost the revenue of the company is price discrimination. The company can research to establish the economic power of the customers. The economic power of the customers will help the company to charge higher prices to higher-income earners and lower prices to lower-income earners to increase the revenue generated by the company (Hitt, Ireland & Hoskisson, 3).
Resource-Based Model
Resource-Based Model is an analysis that examines the internal strength of a firm that can be used to increase the revenue and meet the needs of the customers. The resource may be physical or non-physical depending on the nature of the organizational operations. Amazon has an extensive delivery network that includes, an international, local and regional partnership that ensures that the products reach the customers within the stipulated time. The company partners with several service delivery such as DHL Express and TNT Express to deliver its products to the customers. The company has warehouses and distribution hubs which are strategically located globally to speed up the delivery of goods to customers. The company has a large number of experts that have helped in developing highly rated products to beat the stiff competition in the market (White, 4). The two factors, coupled with high market capitalization, can be used to attract more customers and increase the revenue of the organization.
Vision and mission
The vision of the organization is “to be Earth’s most customer-centric company, where customers can find and discover anything they might want to buy online.” The vision of the organization has shape up the operations of the organization by ensuring that it a stock variety of products used by customers all over the world. The company has over 160 million products which ensure that the customers can get goods and services they need from the same company. The mission of the organization is “to strive to offer the customers the lowest possible prices, best available selection, and the utmost convenience.” The mission of the organization has pushed the company to buy products from companies and individuals who offer lower prices to sell the products to customers at relatively lower prices. The organization stock a variety of products closer to the customers to meet the need of the customers under short notices.
Stakeholders
The stakeholders of the organization include customers, employees, the board of directors, investors and suppliers. The board of directors ensures that the organization complies with the rules of trade in various countries. Employees of the organization are responsible for the implementation of the ideas and execution of the daily duties in the company. Investors play a major role in funding the company as well as making leadership and management decisions in the organization. Customers are the most important stakeholders in the organization as far as the revenue of the organization is concerned. The customers buy the products from the firm, thus offering financial support to the company. The suppliers play the role of sustaining the operations of the firm through regular and timely supplies ((Hitt, Ireland & Hoskisson, 3). All the stakeholders contribute to the success of the firm by actively playing their distinguished roles in the company.
References
Curtis, S. (2013, October 15). Amazon at 15: the technology behind Amazon UK’s success. Retrieved from https://www.telegraph.co.uk/technology/amazon/10377834/Amazon-at-15-the-technology-behind-Amazon-UKs-success.html
DePillis, L., & Sarlin, J. (2018, October 4). It’s Amazon’s world. We just live in it. Retrieved from https://edition.cnn.com/2018/10/03/tech/amazon-effect-us-economy/index.html
Hitt, M. A., Ireland, R. D., & Hoskisson, R. E. (2013). Strategic management: Concepts and Cases: Competitiveness and globalization (10th ed.). Mason, OH: South-Western Cengage Learning.
White, L. (2019, November 24). Amazon VRIO Analysis – Competitive Advantages, Core Competencies. Retrieved from https://www.rancord.org/amazon-vrio-analysis-competitive-advantages-core-competencies
Introduction
Apple Inc. is based in USA Multinational Corporation, which manufactures and electronic market merchandises like tablets, smartphones, mobile phones, laptops, music players, etc. The corporation besides constructs its software which offers users with an exclusive and user-friendly interface, for instance, Face time, iTunes, Mac OS, etc. Apple, in expressions of revenue, is the other major information technology business after Samsung. The corporation functions in about 14 nations at present. Apple Inc. was after one of the major popular manufactured microcomputers commercially. (Apple, 2020) The introduction of the desktop computer Apple II in 1977 essentially marked the beginning of personal computing for mass consumption, as well as the foray of the company into consumer electronics.
Business strategy
Crucial to the Apple business strategy is a specific product and innovation strategy focused on reactive and practical innovation constructed on the necessity to endorse easiness. The business does this using signals from at present prevailing products and refining them additionally by eliminating unwanted qualities and assimilating distinguishing features, mainly by familiarising new functionalities and reinventing the whole user experience.
The proactive and reactive method to product growth and advancement has allowed Apple to leave long-lasting influence above diverse sectors and industries. For instance, the institution of the iPod and iTunes transformed the music business over the advancement of digital music. Moreover, the company was likewise influential in escorting in the age of smartphones and tablet computers with the introduction in 2007 of iPhone and 2010 of iPad.
It is likewise worth stating that the general product and innovation viewpoint of Apple are conveyed crosswise the complete product and service outlines over complementation. Fundamentally, the widespread nonetheless controlled portfolio of the product of the company generates and preserves a consistent user experience. For instance, the user interfaces of the iPad, Mac computers, and the iPhone have alike useful and design principles. As a result, generating a sense of acquaintance. Additionally, a specific user of various Apple devices can take benefit of complementation over the Apple ID. This all-access version lets users accomplish their files, digital identity, and preferences crosswise several devices, as a result allowing a continuous transition. (Lynch, 2011)
One more extraordinary Apple business strategy is outsourcing. The business does not possess and function production or manufacturing facilities. As an alternative, hardware parts for instance display panels are either fetched from manufacturers of third-party and propriety hardware, for instance, the processor’s institute in the iPads and the iPhones are mass-produced by outsourced businesses. Even the iPhones and MacBook are assembled in diverse outsourced accommodations.
The point that manufacturing abilities are outsourced must not be taken in contradiction to Apple. Outsourcing lets the business to be both operative and well-organized. It can save cost owing to decreased operating expenditures that would originate from running and sustaining production amenities despite the fact also letting it focus more on product design research and growth, and marketing. (Lynch, 2011)
Apple similarly substitutes among a lean and agile supply chain strategy and supply chain strategy dependent on existing market necessities and industry courses. Over the lean strategy, the business efforts on the addition of value for customers and removing recognised wastes or everything that does not add worth. Conversely, through an agile strategy, it trails a wait-and-see method by waiting for market trends and consumer demand before requiring to and introduction of a final product. (Lynch, 2011)
Corporate strategies
Generic strategy and intensive growth strategies of Apple Inc.’s relate directly to the company’s strategies in marketing, pricing, and additional parts of the business. generic strategies of Michael E. Porter’s model describes strategic options that the business can use to grow its competitive benefits in the information technology and consumer electronics and services industries. (Hill, & Jones, 2013) As one of the utmost valued companies in the world, Apple displays that its generic strategy is the main factor of competitive benefit against additional firms like Microsoft, Samsung, Amazon, Google, HP, Dell, Sony, Lenovo, BlackBerry, IBM, LG, Huawei, and also Walmart with Vudu its content distribution service, In contrast, Igor Ansoff’s Matrix of growth strategies boons ways for the technology trade to grow intensively in existing or novel industries and markets. Apple’s intensive growth strategies, in this case, back the capacity to preserve a robust place in the worldwide market. With a higher rate of innovation and stress on fineness in product design, the innovativeness succeeds despite its comparatively high selling prices. This effective positioning specifies Apple’s efficiency in using its generic strategy for the competitive benefit and intensive strategies for corporate development. (Lynch, 2011)
Generic strategy of Apple’s aligns with the intensive growth strategies of companies, particularly in exploiting the usage of the competitive advantages of organizations. The intensive growth plan of product growth in specific is vital to accomplishing this generic strategy and associating the long-standing growth and achievement of the company’s high-tech goods and services. This arrangement between the intensive growth strategies and generic competitive strategy deliver sustenance for pleasing Apple Inc.’s corporate vision and mission statements
I feel Apple Inc.’s generic strategy is more effective as it based on broad differentiation. This generic strategy emphasis on key structures that distinguish the business and its information technology goods from competitors. Over the wide-ranging differentiation generic strategy, Apple stands out in the marketplace. For instance, stylish design and user-friendliness of merchandises, combined with high-tech branding, efficiently distinguish the technology industry. This generic strategy denotes that always Apple purposes to apart set itself from rivals not by price on the other hand by competitive benefits founded on product design that appeals to customers. Such design consists of seamless connectivity amongst devices and leading-edge aesthetics. (Lynch, 2011)
Competition
Though Apple and Samsung specialize in diverse aspects of software and hardware manufacturing, there has been a robust competition among the two technological corporations. Both corporations have understood higher success levels in diverse product portfolios; on the other hand, no company has implemented a limit on manufacturing products that infringe on the additional core product of companies. Apple and Samsung share a shared business strategy, which is founded on manufacturing innovative products.
The competition among Samsung and Apple has exceeded the functionality and design features of their products; it has likewise as well arrived the advertising filed. Samsung and Apple have turn out to be additional aggressive in following diverse tactics to advance an upper hand in the Smartphone and tablet markets. A fresh observation on one of Samsung’s ads displays that the South Korean corporation used a similar advertising trick to marketplace the Samsung galaxy tablet
The pricing strategy of Samsung company’s and its enormous worldwide incidence is likewise supposed by certain observers as the foremost competencies that the corporation expects to take benefit of, as it fights for the Apple top spot (Jason, 2011). Nevertheless, it is well-known that Samsung and Apple command an enormous market in the Smartphone and tablet markets.
Collectively, the two companies are supposed to stake claim to around 95% of the profits in the Smartphone marketplace. Apple’s and Samsung business strategies have been capable of bearing diverse ideas we hold of particular technological devices in the present day. For example, it is perceived that despite the fact many people (and small companies) do not comprehend the particular mechanisms of the Smartphone, Apple has been competent to market the Smartphone (in the course of the iPhone) as a significant constituent of contemporary lifestyle.
Selected of the most noticeable changes on Apple’s business strategy has been the emphasis on new and developing markets, the growth of novel products (for instance Apple televisions), development of Apple’s cash and increasing the business’s operations to meet the improved worldwide demand for Apple’s products. (Hill, & Jones, 2013)
On the other hand, Samsung has an advantage above Apple in this market segment as it supplies some of these accessories to its rivals, thereby having the upper hand beyond them. Also Samsung’s prosperous pricing strategy is mostly accredited to its expertise and supremacy in the display and chip market. It is projected that the price of chips and displays accounts for around 90% of the price of manufacturing novel technological gadgets.
To Samsung, volunteering into the high-tech market advances the product quality and profit margins of companies. A constructive brand image (categorized by better-quality and better pricing) works for the business and customers alike since the company enjoys better profitability while the consumers like better-quality product. (Wingfield, and Chen, 2012)
Technology business relies additional on the fast-cycle marketplace. On the other hand, certain merchandises have stirred to slow-cycle market (for instance the Personal computers) despite the fact others endure in the fast-cycle marketplace. tablets and Smartphones have perceived the fastest advancement ever witnessed beforehand with new gadgets striking the marketplace and being substituted almost directly even before customers have been completely leaning to them. (Hill, & Jones, 2013)
Samsung and Apple, the two foremost competitors, appear to be very hard pushing to exceed one other in the smartphone marketplace. For instance, Samsung hosted the Galaxy S4 smartphone, directly which smash the market with composure, on the other hand even beforehand it had dashed to the consumers’ minds, Apple smash back with additional refined iPhone, the 5S. (Wingfield, and Chen, 2012)
With this tendency, in the future, there will be a giant fight for both corporations, and neither can be assured of being the leading firm in the marketplace and yet continue cost-effective. Apple In the slow-cycle market, appears to have an upbeat future in comparison to Samsung.
Conclusion
It can be concluded that being a merchandise differentiator and exclusive has assisted Apple to develop its business in the American and European nations. Generic strategy of Apple’s broad differentiation enhances competitive benefit by constructing the business stand out. In product Differentiation function and design supports the firm’s objective of leading the marketplace through technological advancement. Innovation is at the core of the business of Apple Inc.’s. On the other hand, to advance its application of this business and corporate strategy for competitive advantage, the corporation must belligerently infiltrate markets.
References
Apple (2020). Apple and the Environment Retrieved from apple.com
Hill, C. W., & Jones, G. R. (2013). Strategic Management: An integrated approach (10th ed.). Mason, OH: South-Western, Cengage.
Kahney, L. (2002). Apple: It’s All About the Brand. Wired.com.
Lynch, R. L. (2011). Apple’s Profitable but Risky Strategy, Global Strategy. Middlesex University, London, England.
Wingfield, N. and Chen, B. (June 10, 2012). Apple keeps the loyalty of mobile app developers. New York Times.
General Environment
,
Forces of Competition
, Future Improvement, Opportunities, Strength and Weaknesses of Apple Inc.
Introduction
Apple Inc. is a multinational company that was found by Steve Jobs and Steve Wozniak in the year 1976. Since then, the company has able to produce mobile phones, iPads, personal computers and operating systems (Finkle, & Mallin, 2010). The company is successful under the current leadership of Timothy Donald. This paper will discuss the general environment, opportunities, threat, strength and capabilities of the company.
General Environment
The main segments of the general environment that affect Apple is the technology and social-cultural aspects. Technology has enabled the company to produce innovative and attractive products which attract customers. The socio-cultural segment of general environment involves values and attitude of people about products of the organization.
Technological Segment of the Environment
The technological segment of the environment influences how business operations are conducted—the segment use of advanced techs to design new and innovative products. Apple is ever-growing due to adoption of new and advanced technology. Advancement in technology has stiffened competition in the market. Apple uses better technologies such as wireless technology, cloud services and software to stay ahead in the competition.
Socio-Cultural Segment of the Environment
Social-Cultural segment refers to values and beliefs of people towards products and services of the organization. The positive interest and beliefs of people towards communication and entertainment results in the development of industries that deal with ICT. As a result, Apple incorporation continues to grow due to the interest of society towards its products and services. Similarly, the popularity of internet ad mobile phones leads to the success of the company. The company has prioritized to meet the demands of its customers by producing goods that are innovative and attractive.
Forces of Competition
The forces of competition are five. They include rivalry among competitors, threats of new entrants, threats of substitute commodities, bargaining power of suppliers and bargaining power of customers. In this assignment, rivalry among competitors and the bargaining power of suppliers is discussed.
Rivalry Among Competitors
Apple uses advanced technology and innovation to produce goods that are uniquely designed. The company make use of brand management to ensure its products are unique and innovative. The company has introduced produced products with a new feature, designs and performance to maintain market distinctness. All these changes have enabled Apple to stay ahead of the competition.
Apple should launch more products with unique design and features to stand out in the market. The company should also products other products and software to maintain market distinctness. The products should have new and updated features, version and high performance to maintain leadership in the market segment.
Bargaining Power of suppliers
The company has less bargaining power to its suppliers. For instance, the company cannot fully influence Samsung, which is the main supplier of the company. Samsung is not only the main supplier of Apple but also the main competitor of the company. Samsung supplies quality screens and other fundamental components to Apple. Apple depends on the supplier for its components.
Apple should negotiate with other suppliers, such as LG to minimize overdependence on Samsung. Similarly, the company should reduce the supplies of essential components such as micro-processors and screens from Samsung to reduce its influence and control. Apple should establish a production site of its own to manufacture quality and fundamental components. This will reduce the powers of suppliers and ensure the production of quality components.
Future Improvements
Apple Inc. should adopt advanced technology to stay ahead in the competition. This will ensure that the company will produce better goods and services that will attract more customers. The company should introduce new features, design and high-performance devices to stand out in the market. The company need to invest in diverse products and software to increase its market. Apple should not switch its suppliers to different competitors; rather, it should set up its production site to reduce the powers of its suppliers.
Threats to Apple Inc.
Rapid advancement in technology favor competitors of Apple. As a result, it is a major threat facing the company. Secondly, the increase in taxation reduces the profits of the company. Additionally, the rise in the cost of labor in different countries reduces the profits of the company.
Opportunities of Apple Inc.
Customer loyalty to the products of the company is one of the opportunities that Apple can use to expand its market and sales. The company also has a good reputation for producing quality and attractive goods which are embraced by the market positively. The company should take advantages of this opportunities to stay ahead in the competition (TAN, 2013).
Strengths and Weaknesses of the Company
Apple has various strengths which enable it to enjoy a competitive edge. It has successful brand management and strong customer loyalty who remain the ecosystem for a very long time. The company also have an effective marketing technique which enables it to penetrate deeply into the market and strengthen its brand. Apple is creative and innovative; hence many people wait for the launch of its products and services.
Even though Apple has various strength, the company also have weaknesses. Firstly, they produce software and hardware that are incompatible with devices of their competitors. Therefore, some people may not prefer to buy products from Apple. Secondly, the products and services of Apple are exorbitantly high and are not affordable. Moreover, stiff competition has led to a reduction in shares of the company. Finally, the company is overdependent of its competitors for most of its components.
Capabilities and Core Competencies of Apple Inc.
The company is well known for its quality and unique products and services. They products come with new features and version which is attractive to customers. Apple is a leading brand in the market and has effective marketing strategies and successful brand management which strengthen their brand (Montgomerie, & Roscoe, 2013). The company is popular for prioritizing the concerns of its customers. The competencies of the company include research and development that is useful in producing quality and unique products and software that attract customers. Apple adopts advanced and innovative technology, as well as effective strategies in marketing its products (Smith, 2008).
Sources
TAN, J. (2013). A strategic analysis of Apple computer Inc. & Recommendations for the Future direction. Management Science and Engineering, 7(2), 94-103.
Finkle, T. A., & Mallin, M. L. (2010). Steve Jobs and Apple, Inc. Journal of the International Academy for Case Studies, 16(7), 31.
Smith, R. (2008). Harnessing competencies, capabilities and resources. Research-Technology Management, 51(5), 47-53.
Montgomerie, J., & Roscoe, S. (2013, December). Owning the consumer—Getting to the core of the Apple business model. In Accounting Forum (Vol. 37, No. 4, pp. 290-299). Taylor & Francis.
