Choose A Public Corporation You're Familiar With ✓ Solved

Choose a public corporation, with which you are familiar, from

Choose a public corporation from one of the following industries: 1. Travel. 2. Technology. 3. Food. Research the company on its own website, public filings on the Securities and Exchange Commission's Filings & Forms. Write a 4-6 page paper in which you address the following: Assess how globalization and technology changes have impacted the corporation you researched. Apply the industrial organization model and the resource-based model to determine how your corporation could earn above-average returns. Assess how the vision statement and mission statement of the corporation influence its overall success. Evaluate how each category of stakeholder impacts the overall success of this corporation.

Paper For Above Instructions

Introduction

This paper discusses the impact of globalization and technology on the public corporation, Apple Inc., focusing on its strategic frameworks and stakeholder influences. The paper will analyze how Apple’s vision and mission statements contribute to its success while applying the industrial organization model and resource-based model to evaluate potential for above-average returns.

Globalization

Globalization has profoundly impacted Apple Inc., a leader in technology and consumer electronics. As a multinational corporation, Apple has expanded its operations globally, establishing supply chains and production facilities in various countries, including China, India, and Vietnam. These strategic decisions have allowed Apple to leverage lower labor costs and gain access to emerging markets, driving substantial revenue growth (Hitt, 2020). The company's global reach has also enabled it to foster innovation through diverse market insights, enhance customer engagement, and capitalize on competitive advantages stemming from economies of scale.

Furthermore, global competition has forced Apple to continually innovate and refine its product offerings. The company's engagement in the global economy allows it to respond to changing consumer preferences and technological advancements rapidly. As a result, Apple invests heavily in research and development, ensuring that it remains a market leader (Hitt, 2020). Globalization has also led to regulatory challenges; compliance with varying international laws requires Apple to adapt its business strategies, which can create operational complexities and increase costs (Hitt, 2020). Overall, globalization has been a double-edged sword for Apple, creating opportunities for growth and innovation while presenting challenges that necessitate agile strategies.

Technology

The rapid advancement of technology has significantly influenced Apple Inc.'s operations and market strategies. Apple's integration of cloud computing, right from its launch of iCloud, has revolutionized how users access and store data, promoting seamless connectivity across devices (Hitt, 2020). The emergence of mobile technology and applications has further reshaped consumer engagement. Apple's App Store has become a robust ecosystem, allowing developers to create applications that enhance the functionality of Apple's products while contributing to its revenue through app sales and subscriptions.

Moreover, the rise of automation and artificial intelligence (AI) has enabled Apple to improve efficiency in production and supply chain management. Automation not only reduces labor costs but also improves product quality through precise manufacturing processes (Hitt, 2020). However, the reliance on technological advancements poses risks, such as data security breaches and the need for constant updates to maintain competitive advantage. Apple's commitment to cybersecurity and continuous innovation in technology provides a framework for navigating these challenges while capitalizing on the benefits that technological advancements offer.

Industrial Organization Model

The industrial organization (IO) model emphasizes the external environment's impact on a corporation's performance. For Apple Inc., the model can help identify how to achieve above-average returns based on external factors such as competition, market structure, and regulatory environment (Hitt, 2020). Apple's strong brand loyalty and premium pricing strategy differentiate it from competitors like Samsung and Microsoft, enhancing its competitive position. The model suggests that by focusing on market positioning, Apple can use its innovative capabilities to capture market share and drive sales, resulting in above-average returns.

Additionally, Apple can continue expanding into new markets, particularly in regions where smartphone penetration is low. By adapting its marketing strategies to local preferences and investing in localized content, Apple can further establish itself in untapped consumer segments. The IO model emphasizes that understanding competitive dynamics and market trends is crucial for Apple to sustain its competitive advantage and increase revenues.

Resource-Based Model

The resource-based model focuses on a corporation's unique resources and capabilities as drivers of competitive advantage and profitability (Hitt, 2020). Apple Inc. possesses valuable resources, such as its strong brand reputation, proprietary technologies, and loyal customer base. The company’s design philosophy, innovation culture, and strategic partnerships with developers enhance its product offerings and create a competitive edge (Hitt, 2020). Apple's extensive ecosystem, characterized by seamless integration across devices, adds significant value to its products, encouraging consumer retention.

To capitalize on this model, Apple must continue to invest in research and development, cultivate talent, and protect its intellectual property. Through continuous innovation and leveraging its brand equity, Apple can maintain its position as a market leader and secure above-average returns. These strategies will allow Apple to sustain growth and navigate an increasingly competitive landscape.

Vision Statement

Apple's vision statement emphasizes innovation, exceptional user experience, and commitment to sustainability. The current vision is: "We believe that we are on the face of the earth to make great products, and that's not changing" (Apple Inc., 2023). This statement influences Apple's overall success by reinforcing a culture of innovation and customer-centricity. By focusing on creating outstanding products, Apple can attract and retain customers, ultimately driving market success (Hitt, 2020).

Mission Statement

Apple's mission statement underscores its dedication to delivering innovative technology that enriches people's lives. The mission reads: "To bring the best user experience to its customers through its innovative hardware, software, and services" (Apple Inc., 2023). This mission statement ensures employees are aligned with the company’s goals while guiding product development and customer engagement strategies. Apple’s commitment to excellence not only impacts customer satisfaction but also enhances the brand's reputation and market position (Hitt, 2020).

Stakeholders

Apple’s success relies heavily on its various stakeholders, each influencing different aspects of the corporation. Customers are vital; their preferences shape product development and marketing strategies. Employees drive innovation and operational efficiency, making talent acquisition and retention critical. Investors expect strong financial performance, compelling Apple to maintain profitability and market share. Suppliers must be managed effectively to reduce risks in the supply chain, especially given Apple's global reach.

Furthermore, regulatory stakeholders shape Apple's operational landscape through laws and regulations impacting business practices. The company must engage with governments and regulatory bodies to ensure compliance and sustain its operations globally. Evaluating these stakeholder categories reveals how each impacts Apple's overall success, underscoring the importance of strategic stakeholder management in fostering corporate growth (Hitt, 2020).

References

  • Apple Inc. (2023). Retrieved from https://www.apple.com
  • Hitt, M. A. (2020). Strategic Management: Concepts and Cases: Competitiveness and Globalization. Cengage Learning.
  • Grant, R. M. (2019). Contemporary Strategy Analysis: Text and Cases Edition. Wiley.
  • Barney, J. B., & Hesterly, W. S. (2019). Strategic Management and Competitive Advantage: Concepts and Cases. Pearson Education.
  • Teece, D. J. (2018). Dynamic Capabilities and Strategic Management. Oxford University Press.
  • Pfeffer, J., & Salancik, G. R. (2003). The External Control of Organizations: A Resource Dependence Perspective. Stanford University Press.
  • Kotler, P., & Keller, K. L. (2016). Marketing Management. Pearson.
  • Michael, P., & Tushman, M. L. (2021). Technological Change and Organizational Evolution. Organizations in the New Economy. Sage Publications.
  • Christensen, C. M. (1997). The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail. Harvard Business Review Press.
  • Wernerfelt, B. (1984). A Resource-Based View of the Firm. Strategic Management Journal, 5(2), 171-180.

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