MGT498 University of Phoenix Apple Strategic Management Plan Paper Weeks 3, 4 and 5 Individual Assignments are integrated to generate a Strategic Managemen

MGT498 University of Phoenix Apple Strategic Management Plan Paper Weeks 3, 4 and 5 Individual Assignments are integrated to generate a Strategic Management Plan. This is part three of the three part Strategic Management Plan addressing strategy implementation, evaluation and control. The purpose of the Week 5 individual assignment is to allow the student to discuss and explain how the strategies discussed in prior weeks are converted into implementation activities both domestically and internationally, in alignment with legal, social and ethical considerations. Furthermore, the student has an opportunity to explain and discuss how the strategic plan and implementation activities will be monitored.

Weeks 3, 4, and 5 Individual Assignments are integrated to generate a Strategic Management Plan. This is Part 3 of the three part Strategic Management Plan.

Assignment Steps

Write a 1,050-word report on the company you selected in Week 3, following up on the Individual Assignment of Week 3 (Environmental Scanning), and address the following:

Strategy Implementation
Discuss International Strategy.
Discuss Strategic Implementation.
Explain the influence of Governance and Ethics.
Discuss the Company Social Value.
Discuss Innovation and Diversification.
Discuss Legal limitations.
Evaluation and Control
Explain Strategic Metrics.
Discuss Key Financial Ratios.

Cite at least 3 scholarly references.

Format your paper consistent with APA guidelines. Running head: [SHORTENED TITLE UP TO 50 CHARACTERS]
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Strategic Management Plan: Apple Company
Paul A. Bouges
MGT/498
May 28, 2018
Introduction
Environmental scanning is a process that surveys pertinent data to recognize the probable
external opportunities and threats. With the help of such scans, the company can accumulate
external details on its competitors and of its own operations, helping the company
adjust its strategies. In the vibrant computer industry, Apple is regarded as one of the most
competitive and precise innovative companies. (Cusumano, 2010).
Objectives and long-term goals establishments
Strategy formulation
Apple currently faces threats from companies like HP and Dell. Apple takes great pride in the
formulation of its business strategies.
Price products to customer segments. – Due to anticipation by customers when launching, Apple
reduces prices of their products, establishing a market aimed at additional customer segments.
Keep your eye on the future, explains Apples’ continuity in launching products innovatively
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which raises the customers expectation. This is an advantage to Apple. Listen to your customers.
With the help of the various social media platforms, Apple customers are able to outline
problems with Apple products making it easy for Apple to satisfy customer wants.
Markets that Apple Company pursues
With the help of market penetration, that entails gaining a huge market share with more sales of
current products by the company and its improvement in software, Apple pursues markets in
education going “head-to-head” with Google.
Unique values that the Apple Company offers in selected markets
There are unique values that the Apple Company offers in selected markets.
The values mostly originate from Apple’s origination. They are:
•
Focus – unimportant opportunities must be eradicated to do excellent jobs from the decisions
made.
•
Empathy – Apple understands consumer needs.
•
Impute – By presenting products professionally we’ll attribute the qualities desired.
Resources and capabilities required
For Apple to gain a huge market share there must be a “hire of empathetic employees”. As
(Steve Jobs) emphasizes there must be a creation of products that turns on the customers. This
provides the employees options to think beyond the box. “Interactive customer involvement
makes formal research in markets less relevant. Apple incorporates consumer experience into the
development and design process to get to know their customers. Building compatible
experiences by offering entertainment and digital hardware make it easy for compatibility of
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products for their customers, but incompatible to other company’s products. Enabling customer
discovery and differentiation through Apple stores give Apple an alternative forum to improve
their designs and display their expertise.
How to capture value and sustain competitive advantage over time
Apple enjoys an ideal reputation and strong brand in the market it produces. Customers do a lot
of the work to refer other customers leaving Apple with less work to market their products. Due
to its diverse and innovative style, Apple Company is extremely respected globally. From only
the iPod, iPad, iPhone and Macintosh computers Apple Company has achieved most of its
incomes. The products remain appropriate in the “dynamic technology industry” due to their
investment in diversity and innovation. All these are achieved by the company patenting its
brand names. Apple’s investment in creativeness and innovation ensure products are different in
the market and difficult to imitate by the competitors. Apple Company recruit’s employees based
on skills, competence, and focus thus having the “best workforce”. The employees are then
provided with ethical policies that help build a good reputation (Moorman, 2012).
Business Management Strategy
Cost and Differentiation Advantages
This is defined as strategies undertaken to achieve the ideal business management for; mediumsized, corporation and small-scale business. With Apple policies concerning diversity and
innovation, the company’s growth is actively progressing in a way other company’s marvel at.
With its employees focusing, and innovatively helping produce products that are mind blowing
the competitors find it hard to fight it in the market.
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Corporate Strategy
The corporate strategy for Apple is strongly based on its drive of innovativeness and creativity.
Steve Jobs it’s popular CEO created and left an openness and since of family that continues to be
practiced by employees. The strategies strongly reveal that the company indulge in a creative and
well-focused work-force that improves the products day-in-day-out. This strategy cumulatively
improves the products to compete with other products from companies like HP and Dell.
Vertical integration
Vertical integration commands that simply one company panels its component fragments as well
as the product. For 35yrs apple has advocated a vertical model featuring a combined software
and hardware approach. For example, iPad and iPhone have software and hardware designed by
Apple and incompatible with no other device, hence allowing Apple to regulate speed for
“mobile computing”. This enables the devices to be well secure for use by the customers with no
external threats since everything is controlled under one roof.
Strategic alliances
Strategic alliances come to light when two organizations come together in order to attain an
agreed objective but remain independent. This alliance would be made to get their needs which
are not in form of acquisition or merger. In our case, Apple has allied with IBM, a hardware
producing company. This alliance came with its own benefits such as; the allotment of expert
knowledge that allows them to have operations done with a collective expertise knowledge,
another is that the two companies can access markets easily offering services and products to
consumers, “last but not least” is that they share their capabilities technologically thus
strengthening the two firms (Karl Stark and Bill Stewart, 2012).
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Company Competitive Advantage
Manufacturing and marketing multiple electronic products and computers, including music
players, smartphones, and tablets, Apple have key factors contributing to their advantage. They
consist of; premium pricing strategy, Innovative products, a “strong integrated supply chain” and
brand strength. Brand strength gives such companies as Apple huge perceptibility in the market
hence building consumer loyalty. Innovative products help make the customers want the
products more due to the new products provided by the company. “Strong integrated supply
chain” is brought to light by the business partners, developers, and ecosystem of suppliers.
Premium pricing is done by the Apple Company by setting discounts to wholesalers in minimal
weighs helping keep the consistency of prices crosswise the market.
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Apple Organizational chart
References
Cusumano, M. A. (2010). Staying power: Six enduring principles for managing strategy and innovation
in an uncertain world (lessons from Microsoft, Apple, Intel, Google, Toyota and more). Oxford
University Press.
Karl Stark and Bill Stewart. (2012, April 12). 3 Strategies to Adopt From Apple. Retrieved from
https://www.inc.com/karl-and-bill/3-strategies-to-adopt-from-apple.html
Moorman, C. (2012, July 24). Why Apple Is a Great Marketer. Retrieved from
https://www.forbes.com/sites/christinemoorman/2012/07/10/why-apple-is-a-great-marketer/
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Covin, J. G., & Slevin, D. P. (1988). The influence of organization structure on the utility of an
entrepreneurial top management style. Journal of management studies, 25(3), 217-23
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Running head: [SHORTENED TITLE UP TO 50 CHARACTERS]
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Strategic Management Plan: Apple Company
Paul A. Bouges
MGT/498
Thomas Bowman
May 21, 2018
Introduction
Environment scan involves thorough examination and clarification of the relevant
information to identify the potential external threats and opportunities. In this regard, the
company collects external details on its operations and those of the competitors which help it to
make strategic adjustments. Apple is one of the very innovative and competitive companies in
the dynamic computer industry. The company is keen on differentiating its products by focusing
on quality, design and the customers’ preferences (Peppers & Rogers, 2016). Further, the
company outsources the actual manufacturing from the original manufacturers. However, despite
the effort, Apple has put in differentiating its self to gain the competitive advantage in the
market; several external factors pose a challenge to its operations. In this context, the discussion
below seeks to explore the internal and external environment of Apple Company which has been
achieved through research, strategy formulation, implementation, and sustenance. These
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practices are summarized in the management functions including environmental scanning,
strategy formulation, strategy implementation and evaluation and control.
Internal Environment
The internal environment of Apple Company covers the resources and capabilities, which
accounts for its strengths and weaknesses. The funds include the assets and workforce which is
owned by the company. Skills refer to the process through which the resources are coordinated to
achieve the goals of the company. Apple recognizes the workforce as one of the critical factors in
its performance (Ahmad & Mohamed, 2018). In this regard, the company hires skilled and
focused employees who can deliver. The company has decentralized its recruitment to maximize
the tapping of talented employees who come in with new ideas on realizing its goals. Further, the
company has enhanced the employees’ motivation package by providing good welfare services
which reduce the rate of turnover. Additionally, the company has modern, efficient resources
used in its work. It is important to recognize that the company enjoys the huge pool of financial
resources from the accumulated profit and the shareholders’ equity. The company also owns
several patents.
Apple Company has a policy which enhances proper interaction between the
management and the general employees. This has been entrenched as a culture in the company
which has created a friendly working environment where ideas are shared freely. Regarding the
capability, Apple has adopted high technology which has enhanced communication among the
employees and the customers (Ferrari, 2015). There is a responsive system where customers and
recommendations are responded to adequately. Further, the company has invested heavily in
innovation and creativity which has enabled it to design its products to suit the customers’
interests.
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The key strengths of the company are that it offers a variety of products which includes,
mobile phones, computers, and tablets which have an impressive user experience. Apple also
boasts of a good reputation and reliable brand in the market (Goldman, 2013). On the
opportunities is that Apple must engage in market research as it expands its fair to make products
which are tailored to meet the specifications of a particular market. However, it is good to
recognize the Apple is facing a threat from its competitors in the market such as Dell and HP
which are likely to take its market share.
External factors
Regarding the political considerations, Apple was established in the US where is a stable
government with laws which creates a conducive environment for the business. Even though the
company is expanding its operations in other countries, the political factors in those areas have
not affected its good performance (Ahmad & Mohamed, 2018). On the economic factors, most of
the countries where Apple has expanded its operations have had their GDP increasing. This
translates to the improved standard of living which has increased the demand for the Apple
products as many people can afford. Apple is respected for its diversity and innovativeness in the
technology industry. It has been able to assemble new products and improve them to remain
relevant in the market. Many social-cultural factors favor Apple. This includes the demography,
level of education, lifestyle, and level of knowledge of its target customers. Apple is more of a
global company hence it has no demographic limitations. The changing lifestyles and improving
the level of education makes people seek to own a computer, tablet or mobile phone.
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Competitive Advantage
Apple Inc. enjoys a strong market brand and an excellent reputation for its products. Most
of its customers are by referral, and the company does not require doing a lot of marketing. The
other competitive advantage is the Apple Company is highly respected globally because of its
diversity and innovative (Goldman, 2013). It has managed to make more of its revenues from
only the iPhone, iPad, iPod and Macintosh computers. It has invested in innovation and
diversification to be able to make these products remain relevant in the dynamic technology
industry.
Strategies used in gaining competitive advantages
To obtain the competitive advantage, the company has patented all its brand names. This
has leveled the level of imitation by its competitors. The company has also invested heavily in
innovation and creativity to ensure that its products are differentiated in the market and make it
difficult for the competitors to imitate (Prahl, 2013). The company also has the best workforce as
its recruitment is based on focus, skills, and competence. This makes Apple enhance its
performance and remain ahead of its competitors. Finally, the company has an ethical policy for
all its employees which have built a good reputation. The employees can engage well among
themselves and with the customers.
The effectiveness of measurements guidelines by Apple
There are several ways through which the efficacy of the instructions can be assessed.
First, the investment in innovation and creativity has helped the products of Apple Company
remain relevant in the market. Secondly, with the change and patenting there is the little
imitation of its products in the market (Prahl, 2013). The other way is the recruitment of
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competent and focused staff. This has made Apple Company have satisfied and happy
employees with a very low turnover. Finally, Apple Company has continued to grow its profit.
For instance, the company was able to generate in income totaling to $47,567 in 2017 up from
$46,666 in 2016. This is an indication of a company whose guidelines are working (Apple Inc.)
Conclusion
Apple Company has a favorable internal environment which is characterized by
competent staff, big pool of financial resources and innovation and technological capability. The
company has opportunities to be exploited. Apple is surrounded by technological, political,
economic and social-cultural factors that support its excellent performance. On the competitive
advantage, the company enjoys competent workforce and established market brand.
References
Ahmad, N. A., & Mohamed, R. (2018). Management Control System and Firm performanceResource Based View Perspective. MAYFEB Journal of Business and Management, 1.
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APPLE INC (Filer) CIK: 0000320193. Retrieved from https://www.sec.gov/cgibin/viewer?action=view&cik=320193&accession_number=0000320193-17000070&xbrl_type=v#
Ferrari B. (2015) Apple is Once Again Practicing Supply Chain Segmentation and Risk
Mitigation. Retrieved from https://www.theferrarigroup.com/supply-chainmatters/2015/04/apple-is-once-again-practicing-supply-chain-segmentation-and-riskmitigation/
Goldman, D. (2013). Apple’s innovation problem. CNN tech. Retrieved from
http://money.cnn.com/2013/06/09/technology/new-apple-products/index.html
Peppers, D., & Rogers, M. (2016). Managing Customer Experience and Relationships: A
Strategic Framework. John Wiley & Sons.
Prahl, D. (2013). Strategy Guideline: Partnering for High-Performance Homes (No. DOE/GO102013-3593). National Renewable Energy Laboratory (NREL), Golden, CO.
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