Using The Company Research Conducted In Unit 6 ✓ Solved

Using the company research you conducted in your Unit 6 sub

Using the company research you conducted in your Unit 6 submission, write a paper about the company you chose that describes the firm and its strategy. Using information from AIU’s Library, IBIS World, and the Internet and feedback from your instructor on your PowerPoint slideshow from Unit 6, address the following points in a 6-page paper:

For this assignment, suppose that you work for a consulting firm, and that you have been asked to research a company and write a paper for your client. For the paper:

  1. Choose a large U.S. company;
  2. Research the company and the market(s) in which it competes;

Prepare a six-page paper for your client, not including the title page and reference page. Using information from the business press, AIU’s Library, IBIS World (through AIU’s library) and the Internet, address the following in your paper:

  • Describe the firm, including such information as its products or services, annual sales, and market share.
  • Describe the product market(s) in which it operates.
  • Explain the type of market structure (oligopoly, monopolistically competitive, perfectly competitive, monopoly).
  • Discuss whether it operates in only one region of the U.S., nationally, or internationally.
  • Identify competitors and provide a brief overview of other businesses in the market.
  • Identify and explain at least 2 economic concepts that this firm seems to use to its advantage.
  • Provide an explanation of how recent events or changes in the market have affected this firm.
  • Evaluate how this firm might better respond to the challenges it faces.

Utilize at least 2 credible sources to support the arguments presented in the paper. Make sure you cite appropriately within your paper and list the reference(s) in APA format on your Reference page. Your paper should be 6 pages in length, not counting the Title page and Reference page. In accordance with APA formatting requirements, it should be double-spaced and include a running head and page numbers.

Paper For Above Instructions

Introduction

For this paper, we delve into the operations and strategic positioning of Apple Inc., a leading technology giant based in the United States. Established in 1976, Apple has transformed from a computer company into a force in consumer electronics, software, and digital services. This paper will evaluate Apple’s market strategy, its position in various markets, and the economic concepts that underpin its success.

Company Overview

Apple Inc. specializes in the design and manufacture of consumer electronics, software, and online services. Its flagship products include the iPhone, iPad, Mac computers, Apple Watch, and Apple TV. The company generates significant annual sales, reporting approximately $365 billion in revenue for the fiscal year 2021 (Apple, 2022). As a market leader, Apple holds a substantial market share, particularly in the smartphone industry, where it commands around 29% of the U.S. market (Statista, 2022).

Market Structure

Apple operates primarily in an oligopolistic market structure, characterized by a few dominant players: Samsung, Google, and Microsoft. These companies compete vigorously in various product categories, including smartphones and personal computing. While competition exists, Apple maintains its edge through brand loyalty, innovative technology, and a cohesive ecosystem of products and services.

The firm's operations span nationally and internationally, with a significant presence in North America, Europe, and Asia. With a vast network of authorized resellers and online platforms, Apple caters to a global audience, expanding its market reach continually.

Competitors

In the technology sector, Apple faces stiff competition from various firms, including Samsung, Google, and Huawei, each offering unique products that challenge Apple's market dominance. Samsung, for instance, provides a wide range of smartphones and electronics equipped with cutting-edge technology. Google competes vigorously in software and hardware with its Pixel devices and Android operating system, which is prevalent across numerous devices globally (Gartner, 2022).

Economic Concepts in Apple’s Strategy

Two critical economic concepts employed by Apple are product differentiation and economies of scale. Apple distinguishes itself through innovative product design, proprietary technology, and a premium pricing strategy, leading to high brand equity. This differentiation fosters customer loyalty, encouraging repeat purchases and brand advocacy among consumers. Furthermore, the company benefits from economies of scale due to its large production volumes and supply chain efficiencies, reducing per-unit costs and maximizing profit margins.

Recent Market Changes Affecting Apple

In recent years, Apple has faced various challenges, including supply chain disruptions due to the COVID-19 pandemic, semiconductor shortages, and geopolitical tensions affecting its manufacturing processes. These events have led to fluctuations in production capabilities and cost structures, directly impacting the firm's profitability (Reuters, 2022). Furthermore, intensified antitrust scrutiny in several countries poses a potential hindrance to Apple’s market operations and strategies moving forward.

Strategic Recommendations for Apple

To navigate these challenges, Apple must bolster its supply chain resilience by diversifying its supplier base and investing in domestic manufacturing. Additionally, focusing on emerging markets will help Apple tap into new consumer bases and mitigate the risks of saturation in developed markets.

Moreover, continuing to innovate and deliver unique features that resonate with consumer demands will enhance Apple's competitive advantage. By addressing privacy concerns transparently and continuing to enhance its ecosystem through services like Apple TV+, Apple Music, and cloud offerings, Apple can further solidify its market position.

Conclusion

In conclusion, Apple Inc. epitomizes a successful company that leverages strategic differentiation and economies of scale to dominate the technology market. Despite facing challenges due to market dynamics and recent external factors, Apple’s proactive strategies and commitment to innovation position it well for sustained growth. By continually adapting to changing market conditions and consumer preferences, Apple can maintain its status as a leading player in the global technology landscape.

References

  • Apple. (2022). Annual report 2021. Retrieved from [Apple Financials](https://www.apple.com/investor/static/pdf/10-K_2021.pdf)
  • Gartner. (2022). Smartphone sales by vendor worldwide. Retrieved from [Gartner](https://www.gartner.com/en/newsroom/press-releases/2022-01-20-gartner-forecasts-worldwide-smartphone-sales-to-decline-7-2-percent-in-2022)
  • Reuters. (2022). Apple faces supply chain issues due to COVID-19. Retrieved from [Reuters News](https://www.reuters.com/technology/apple-faces-supply-chain-issues-due-covid-19-2022)
  • Statista. (2022). Market share of smartphone vendors in the United States. Retrieved from [Statista](https://www.statista.com/statistics/271720/market-share-held-by-smartphone-vendors-in-the-us/)
  • McKinsey & Company. (2022). The future of tech in the post-pandemic era. Retrieved from [McKinsey](https://www.mckinsey.com/business-functions/mckinsey-digital/our-insights/future-of-tech-in-post-pandemic)
  • Pew Research. (2021). The state of technology adoption in the U.S. Retrieved from [Pew Research Center](https://www.pewresearch.org/fact-tank/2021/04/09/the-state-of-technology-adoption-in-the-u-s/)
  • Forbes. (2022). Apple’s competitive advantages in 2022. Retrieved from [Forbes](https://www.forbes.com/sites/marketshare/2022/apple-competitive-advantages)
  • Business Insider. (2022). Apple and the changing market dynamics. Retrieved from [Business Insider](https://www.businessinsider.com/apple-changing-market-dynamics-2022)
  • Bloomberg. (2021). Apple’s evolution over 45 years. Retrieved from [Bloomberg](https://www.bloomberg.com/graphics/2021-apple-45-years-evolution/)
  • CNBC. (2022). How Apple is negotiating new global challenges. Retrieved from [CNBC](https://www.cnbc.com/2022/01/28/apple-global-challenges.html)

Related Assignments