Ademilola Adedeji |
Apple Inc. |
Research paper/MG101 |
Professor Jerome |
Since its inception, Apple has had major changes at the top of the organization. In, as little as, ten years four CEO’s were giving the position and then dismissed because of inabilities to bring the company to profitability and an increase in market share. Apple had no clear business strategy, no statement of direction that could be used as a plan for deciding for which businesses the company should be in and which not In the beginning, of the computer era when personal computers were in development Apple became the industry leader during the mid 1970s. In 1981. With the production of Apple’s IPhone and IPad, Apple has returned to a strategy of vertical integration. Vertical integration is developing the ability to produce goods or services previously purchased, or to actually purchase a supplier or distributer (Heizer &ump; Render, 2011). When Apple developed their own A4 processor for the IPad they were practicing the vertical integration supply-chain strategy. Prior to Apple’s development of the A4 processor, Apple purchased their processors from companies including Samsung and Intel. In addition to the processors, Apple also developed the operating system to be used in the iPad. Vertical integration allowed Apple to have full control over their iPad and iPhones.
When it comes to the production of Apple’s computers and other parts that they do not produce, apple uses the many suppliers supply-chain strategy. Under the many suppliers strategy, a supplier responds to the demands and specifications of a request for a quote and the orders going to the lowest bidder (Heizer& ump; Render, 2011). This allows Apple the ability to keep costs low, which in turn increases profits. Product development starts with the development team at Apple. Then, the developers spend many months at manufacturing facilities taking the prototype into...