Apple Inc: Keeping the I in "Innovation"

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Running Head: Apple Inc.: Keeping the “i” in “Innovation” 1 Assignment #2 – Apple Inc.: Keeping the “i” in “Innovation” Tammy Cochran Professor Michael Bijani BUS 499-Capstone July 31, 2012 Apple Inc.: Keeping the “i” In “Innovation” Apple Inc is one of the most well-known and respected companies in today’s world of business. It emerged stronger than ever from the recent recession and with its new innovations, released an array of impressive consumer electronic products that took the industry by storm. Apple has been named the “World’s Most Admired Company” by Fortune magazine four years in a row (Chapman, Christian, & Hoskisson, 2013, p.16). We will examine Apple Inc. general environment, forces of competition, threats and opportunities, strengths and weaknesses, the company’s resources, capabilities, and core competencies as well as the company’s value chain to determine how its maintains the title of the World’s Most Admired and Innovative Company for 2011. The general environment is composed of elements in the broader society that influence an industry and the firms within it. These elements can be grouped into seven environmental segments: demographic, economic, political/legal, sociocultural, technological, global and physical. Firms cannot directly control the general environment’s segments and elements (Hitt, Ireland, & Hoskisson, 2013, p.38). One segment of the general environment that ranks high in Apple is the demographic segment, specifically, the population density, which significantly affects the profitability of Apple. Microsoft is Apples biggest competitor and maintains a clear advantage in the computer industry. Population size is key influence in Apples strategy as they try to overcome potential disadvantages. Another demographic factor in the Apple

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