1.蘋果電腦公司最早是成立在史蒂文喬布斯和斯蒂芬的車庫里,兩人在1976年就離開了大學。他們致力于生產簡單的電腦設備,例如,顯示器,鍵盤,和其他一些配件。不久他們繼續生產其它模型,但是最終以失敗告終,直到他們成功制造了蘋果的第一種型號的微機,蘋果電腦才快速普及,很快,蘋果在計算機的產業中不斷擴張。電腦就好像把人類規定為“其余的人。
2.蘋果公司不是只有電腦,也是對文化的一種發展。它從車庫出生,工作、成型,他們有屬于他們自己的獨特的計算機文化的個性,以至于他們的意義持續的時間還要長。這種文化包括自己做的事情以及制定的條款。這導致反對派的一個獨特的文化工作,到上面的海盜船國旗總部總是揮舞著,嘲笑著,裝規范。蘋果獨特的文化創建了成功的電腦操作系統和一些成功的產品。
3.這種文化確實導致一些公司內部的沖突,他們把喬布斯的經理作為創新的齒輪頭(工程師)和向導(程序員)。這導致了公司內部權力斗爭。要是史高麗接管了統治的員工他會不滿,因為他知道他想代表大企業的利益。他覺得獨特的文化不要修改太多,但他不想美化技術人員,因為他們難以監督。史高麗的這種感覺良好的態度會導致公司的正常運行,主要原因是缺少共識,很難達成最終的決定。
4.他最終還是放手了,取而代之的是斯賓德勒。斯賓德勒努力推進業務和解決問題。工作了一段時間,但最終還是不成功,他記得一個內幕曾經說過,“正常工作一段時間后你也將會融進這個系統里。”
于是斯賓德勒也放手了,取而代之的是最初的創始人之一史蒂夫·喬布斯,他是另一個公司的CEO管理。這個公司所需要的就是一個公司的CEO,并且有極大的興趣,和如何正確的理解這個工作。蘋果是唯一受到公眾的認可,并且他們知道他們在做什么,認為他們做的是正確的。沒有人愿意積極領先一步來促進真正的變化,因為他們害怕失去他們需要的人,但是這些人可能會阻礙公司的發展。
Apple Computers was formed in a garage by Steven Jobs and Stephan Wozniac, two men who dropped out of college in 1976. They worked to produce simple computers that did not come with monitors, keyboards, and a few other accessories. They continued to produce other models that ultimately flopped until they reached market success with the Apple Macintosh. The Mac’s rapid popularity soon established Apple as a leader in the expanding computer industry. The computer was stated as “For the rest of us.”
Apple Corporation wasn’t only about computers, it was also about culture. From its garage birth, Jobs and Wozniac engraved their personalities on the Computers culture, so much that their significance lasted longer then they did. This culture included a do-your-own thing as well as an ignore-establishment clause. This leads the way to a unique culture of rebels at work, right down to the pirate ship flag waving above headquarters. Scorning dress codes and formal meetings, Apples unique culture led to a few successful computer operating systems and a number of successful products.
The do-it-your-own-way culture did lead to some strife within the company, putting the inventive gear heads (engineers) and wizards (programmers) against the managers that Jobs had imported. This led to a power struggle within the firm. Scully took over the reigns he knew the employees would resent because of the big business he wanted to represent. He needed not to tinker too much with the unique culture, but he didn’t want to glorify technical personnel because they would be too difficult to supervise. This combined with Scully’s feel good attitudes that lead to a company run largely by consensus and decisions that were rarely final.
He was eventually let go and replaced by Spindler. Spindler worked to get the business back on track and address issues that had brought down the company. This worked for a while but eventually the culture got to him too, an insider once said, “it works fine for a while, but the system converts you.”
Spindler was let go only to be replaced by one of the original founders, Steven Jobs, with only one other CEO managing in between. What this company needed was a CEO who had a great interest in the company and a great understanding of how it worked. Apple was bombarded with too many people who only thought they knew what they were doing and thought they were doing it right. No one was aggressive enough to step ahead and make some real positive changes, they were afraid of losing people they thought they needed, when in reality these same people may have been the ones who were holding the company back.
After Apple’s initial inception, executives were hesitant to implement new strategies until other competitors began taking market share away from Apple. In response, Apple moved from high end products and tried to gain market share and improve efficiency by producing lower priced applications. However, the executives did not give this transition ample time to work and decided to implement another strategy in hopes to regain market share.
Apple began considering the license of their operating system to other computer manufacturers, such as Pioneer, Power Computing, Unmax and Daystar in 1995. This tactic was unsuccessful, resulting in the sale of a miniscule 200,000 Mac clones, seeing that they manufactured 4.5 million. After similar licensing agreements with a variety of manufacturers, Apple ceased licensing agreements in 1997 except for with Power Computing Corp., the largest clone of Macs.
The primary threat to Apple Computers and their applications has been the existence of Microsoft and their Windows platform. The introduction of Microsoft Windows in 1990 was a primary factor negatively affecting Apple’s market share. In response, Apple filed a lawsuit against Microsoft and Hewlett Packard because their graphical user interface possessed strong similarities to Apple’s Macintosh interface. Apple lost this suit in 1992, and was forced to implement other strategies to remain competitive in the tough market.
Under Job’s renewed management, Apple began to focus its strategy on enhancing existing products and technologies to remain competitive. By focusing on a narrow, specialized product line, Apple was able to better serve the needs of their consumer and professional customers. Apple also revised production and distribution strategies by reducing the amount of inventory. They began to base production schedules on a weekly sales projection basis, but could also be adjusted daily.
In late 1997, Apple engaged in a cross-licensing agreement with Microsoft. For a period of 5 years, Microsoft agreed to put their future versions of Microsoft Office and Internet Explorer in Apple operating systems. This strategic move has helped Apple compete in a volatile market.
Power struggles between the non-establishment “technical wizards” and management created a high management turnover. New strategies were halfway implemented before management changed and implemented a different strategy causing turmoil in the company. Overall, the single most costly error made by Apple executives was the lack of a strategic leadership role until recently when Job’s returned to Apple as CEO in 1997.
In conjunction with a lacking leadership position, Apple was also hesitant when it came to developing new products and technologies. Their lack of innovation and behind schedule competition negatively impacted the performance of the company and its overall operations.
Apple would have been more successful if they adopted a strong leadership position where the senior executives made assertive decisions and moved quickly when implementing new strategy. Apple’s past demonstrates a dissonance between employees regarding change in the organization and strategic improvements.
The current marketing strategies focus on the consumer and the professional. The consumer segment is geared towards individuals and education such as institutions and students. The professional segment is clearly defined as those who have computing needs for publishing and graphic arts. To remain competitive in these two segments Apple continues to introduce new products and technologies to enhance its product mix. One of the more recent products they have produced is their new ipod. The ipod is can store over 400 CD’s worth of songs in one mp3 player. The mp3 player is part of there overall strategy of gaining product differentiation.
Product Differentiation is a key aspect in this market because of the highly unstable nature of the personal computer industry. In order to become competitive and offer a superior product Apple had to cut its product line. They reduced their product line from nineteen to four different types of computers. The four computers they saw as their backbone for the future were the iMac, PowerMac G4, and their new PowerBooks and eMac. The iMac and eMac are developed to fit the needs of the household consumers and college students. The PowerMac G4 and PowerBooks are designed to meet the needs of the professional market. To differentiate themselves they offer the eMac, which is an all in one computer that is available in several different colors. They have priced their eMac under a thousand dollars to try and gain market share. From the year1999 to 2001, they gained 9% of the market share because of the growth with their iMac. The iMac now offers the same type of all in one setup with a new look. One of its key features is a flat 17” flat panel monitor and a 10.6-inch footprint making for an easy fit anywhere. In addition many improvements were made to the PowerBook with the expansion of the monitor size. They now offer the product with three different size monitors ranging from twelve inches to seventeen. Apple has also made changes in its operating system software to stay in competition with its main competitor Microsoft. OSX was launched in 2001 with its visual appealing graphics interface aqua to help generate more sales.
When looking forward Apple found it necessary to upgrade their distribution system in order to deliver the right product to the right people. Their ending year inventory in 1997 was 437,000,000 in one month supply. The following year they were able to reduce this number to 78,000,000 about six day’s worth of inventory. Apple focused on increasing their turnover rate by changing to a more real time inventory. Previously in 1997 Apple turnover was a minimal 10 times. In 1999, they were able to increase their turnover rate by over a 100% to 180. With the reduction of inventory Apple cut costs of goods and increase the quality of their product.
In an effort to gain more market share apple looked to gain an acquisition with CompUSA, one of the largest computer retailers. Apple felt that by expanding their distribution channels they would be able to reach more consumers. Through their new found partnership with CompUSA Apple wanted to deliver the same service to their customers in a retail sense as they do through online sales. In trying to stay competitive apple would not reveal how many stores they were opening. Currently though they have broken away from their partnership with CompUSA and have opened 53 Apple direct retail stores in 24 different states. All these stores are managed and trained by Apple specialists to provide the highest quality information to their consumers. Their main focus seems to be in the Northeast and Southern California. They have almost half of their stores located in these regions. They have opened these stores in response to competition from Gateway who had been opening their own stores in over 45 states.
The four current Strategies that Apple is implementing are essential in their industry. In the beginning they had reduced their product line from 19 different computers to 4. They are now expanding their product mix by adding new software to compete with Microsoft windows, the iPod which is their newest mp3 player, and their unbelievable 23” HD cinema display monitors. One of their strongest improvements has been in the way they distribute their computers. They have opened their own Apple operated retail outlets in over 24 states. They have expanded through their web page into the international market. Apple has made a new name for themselves and will continue to provide its customer with a far superior product at a fair price.
We need to focus on building relationships with our customers in order to improve Apple’s company image and increase sales at this point in time. One third of our iMac purchasers in 1998 were first-time PC buyers. As a result, we need to ensure that our new customers continue to purchase Apple products and spread the word that Apple products are of a high quality, user-friendly, and visually appealing.
We should keep our focus on the four main PCs, a notebook and desktop geared towards consumers and education customers, and a notebook and desktop targeted towards professional business customers. Developing a low-end product to compete with competitors should not be pursued at this point, so that we can keep our resources focused on the above product line. We do though, need to continue improving our operating systems and innovating supporting products/software, in order to remain competitive in the ever-changing technological industry. Research and development costs, however, should remain the same, and management should keep the focus on a small number of key new products being developed at any given point in time.
A new product that has been created is our ‘Mac Man’. ‘Mac Man’ is a new creation for Apple users only. It is a personalized mini palm pilot type of system, programmed to help out people with their day-to-day busy lives. Whether a student, businessman, or in the field of arts, this program will help anyone organize and simplify their busy life (See below for information on this new creation). It is very important that we do all this while continuing to innovate new products. We should not just improve upon our competitors existing products. Apple is known for its unique company culture and its nonconformist, freethinking “technical wizards” and we should utilize such abilities, to become the successful and customer-focused corporation that we are capable of becoming.
The new ‘Mac Man’ creation is an animated icon that the consumer can choose. This personalized icon can come in the shape of a man, lady, cat, or dog. When programmed in advance, this animated icon will pop up and remind you of your meetings, classes, or anything you feel you should be reminded of. On the bottom of the PC, certain information that is needed all day will be shown. Information such as your wife’s birthday, parent’s anniversary, ordering flowers, or picking up the kids will be seen all day. When a computer user is focused on their work, time can fly by. The ‘Mac Man’ will not let anyone miss any class, meeting, appointment, or even lunch.
Our pricing should remain within the market’s threshold, but we should not use price as a competitive tool to gain customers. Customers know that we are a higher priced computer. Thus, if we were to switch the price, an inaccurate image would be demonstrated, which would in turn confuse customers, and provide an unclear picture of the company in their minds. As a result, companies should always present, or strive to present, a consistent image, because when one is not established, problems often surface (as the case proves). Also, by continuing with our high price strategy, dedication to our high quality products becomes evident. Higher prices allow us to give our “technical wizards” the funding needed to continue innovating and improving Apple products as well.
We should add retail stores to the distribution aspect of our marketing mix, and due to our significantly increased inventory turnover, we have the liquidity necessary to make this a financially viable decision. By expanding our marketing mix with Apple stores, we will increase our customer contacts, hence, making it easier to build strong relationships with them, as well as adding to our corporate image. For instance, such stores will show our customers that we care, by giving them an opportunity to see and try the products in person, prior to purchase, as to guarantee next to perfect satisfaction. For example, they will be able to actually see the color of their desired PC and note if it is the best one for them. A thorough training program must be implemented for our retail staff as well, as an increased customer service department is needed in order to convey that positive company image, which was stated above. In order to accomplish this task, we plan to start with five to ten stores and work our way up to about 100, given that they are helping us to achieve our goals.
In regards to our partnership with CompUSA and the other retail stores that are enthusiastic in selling our products, we should continue to pursue such ties. Our Internet site should also be updated regularly and improved often, since online sales have been going so well - thanks to our Internet savvy users, who in the past, made up 13% of our PC sales.
Our customers are known for vehemently supporting our products, and we should use their enthusiasm to promote them. Instead of just relying on word of mouth, which is the best form of advertising, we need to use our internal strengths to increase our company image, as well as our sales. Thus, rather than comparing our products to competitors, which would place us in an unfavorable light, we should strive to gain the faith of our customers and make them believe that it is not only our products, but also our company and consistent corporate image that makes us the best choice for their computer needs.
In order to accurately pinpoint such needs, however, it is crucial that we keep track of our consumers’ buying habits, as to keep a continual grasp on our market. By doing this, we are making sure that our market is not misread again, because misreading the market cost us an $80 million inventory write off once before. Another advantage with such tracking is that we can offer discounts to current customers to retain them, and special offers for potential groups of customers. For example, since we focus on educational uses for our computers, we can pursue relationships with schools and colleges and their students, by using special offers to entice them. Pursuing such relationships will, again, establish loyalty and camaraderie, for our customers and potential customers will know that we value their business, and that we do care.
Another example is with our twenty-four hour, seven days a week, emergency help line incase our customers have problems with their personalized ‘Mac Man’. For any reason a ‘Mac Man’ is not working correctly, someone has a question on installing and/or proper use, our trained personnel will be by the phone or through email waiting to help.
Improvements to the current marketing strategy are as follows:
Advertising campaign using current customer testimonials showing favorable company image (this will be a big focus, however, not our main one, because word-of-mouth is the best)
Comprehensive training of retail store staff
Opening of 5-10 retail stores
Develop customer surveys
Analyze data and present results
Develop advertising campaign
Modify according to survey results (if needed)
Run advertising campaign
Plan retail stores
Develop training program
Implement training program
Apple has consistently changed its strategy before it has a chance to make an impact so we will allow a significant amount of time to pass before evaluating.
Within the first 6 months of opening, 25% of retail sales occur in-store*
Within the first year of opening, 33% of retail sales occur in-store*
*retail sales in the area in which the store is opened
Within the first 6 months, increase in customer awareness by 20%
Within the first 6 months, increase in Apple’s image by 15%
Within the first 6 months, increase in sales by 7.5%
Within the first year, increase in sales by 15%
Due to the amount of other factors that influence a market as unpredictable as technology, we will need to carefully evaluate the implementation of our marketing strategy changes and the percentages. The time frame may need to be adjusted due to significant occurrences in the external environment as well.
If retail stores are doing well at the six-month point, we should proceed to open approximately 30 more stores throughout the country. Six months after opening the second batch of stores, all stores will be evaluated and a decision will be made to open more stores. If stores are not doing well at the six-month point, we need to evaluate our training program as well as the external environment and market. A hundred retail stores providing 40% of all retail sales is our end goal.
If awareness, views of Apple, and sales are increasing, we need to decide how much longer to continue the campaign and if we can scale it down and keep it effective. If views of the company and sales are not increasing with our advertising campaign within the first six months, we need to determine why it is ineffective. Is it a bad campaign? Has the external environment changed so it is no longer effective? Has the market’s needs/wants changed unexpectedly?
In order for Apple to truly succeed now and in the future, it needs to establish itself as an astounding and reliable company. With the help of promotion by its zealously supportive customers, it should be able to better its company figure. Also, by sticking with its current price and product strategy, Apple will add to a consistent image. Opening retail stores will help build relationships with customers and ensure future sales as well… hence, establishing Apple as the great company it is!