Case Analysis for Hbs Apple .Inc

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•How has Apple performed in the PC industry? What is your evaluation of its performance in the PC business? Apple Computer, founded in 1976, quickly became the leading PC vendor with its release of the Apple second. In 1981, since Apple insisted its chain activity integration while IBM’s PC is based on more “open” system (later know as Wintel), IBM entered the PC market and eventually gained more market share with its huge competitive advantage over Apple. Apple failed to properly respond to the success of IBM PC with its release of the Macintosh in 1984 and ended up with net income falling 62% in only 3 years. Under the leadership of Sculley, Apple’s PC Mac is expanded into other PC market segments like desktop and education market and stabilized its market share at about 8% all over the world. Apple was then the most profitable PC Company in the world by 1990. Despite all the efforts made during the Sculley time, like low-priced Mac Classic and alliances with IBM, Apple’s gross margin dropped by 14 points below its 10-year average which is a strong indicator of Apple getting worse off in profitability. During the Spindler and Amelio year, despite all the efforts, Apple failed to produce a new operating system and meanwhile Mac sales continued falling. Apple lost $1.6 billion during the Amelio year and its worldwide market share shrink to about 3%. During the Jobs year, with Jobs’ restructuring efforts like outsourcing core products development to Microsoft, hiring Taiwanese for Mac manufacturer and the release of iMac, Apple’s sales outpaced the industry’s average for the first time in years with $309 million profit in 1998, in contrast to $1 billion loss in previous year. By 2009, Apple became the 4th largest PC vendor in USA with market share of about 8%. •Assess Apple’s iPod, iTunes and iPhone and iPad strategies and performance. How would you compare

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