Strategic Planning Model For Apple Marketing Essay

Apple Corporation was founded in 1976 in a garage in Santa Clara, California. The two laminitiss of Apple, viz. , Steve Wozniak and Steve Jobs who were bead outs of college wanted at that clip to supply computing machine users with something new and user-friendly to the market. The two Steves work together to bring forth some of the celebrated computing machines at times, viz. the Apple 1, so after its launch, they came up with the Apple II, so Apple III.

During their computing machine epoch, Steve Jobs and Wozniak came up with the computing machine called Lisa in 1983, Apple continued to its revolution in the computing machine universe during the 1980 ‘s.In 1983, Steve Wozniak left the company and John Scully was hired by Steve Jobs as the President of the company.

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Apple continued to introduce and convey into the market new merchandises, such as the Macintosh with the Graphic user interface ( GUI ) in 1984. In 1985, Steve Jobs left the company and John Scully was appointed as the new CEO. By the late 1980 ‘s, Apple faced large competitions from Microsoft, Which made Apple ‘s portion to diminish drastically and forced John Scully out.

In 1997, Gilbert Amelio was appointed as the new CEO and under his direction, Apple, bought NextStep, and with its operating system, Apple made immense betterment and got back on the path.

Steve Jobs was taken back in Apple in 1996, when the trade was officialised to purchase NextStep Company. Jobs was reappointed as the current Chief executive officer when stockholders lost assurance in Mr Amelio. Jobs brought back many alterations in Apple which has alteration its hereafter in the company. Some illustrations are,

In 2000, Apple presented the ibook, iMac and came up with the Ipod 2003 and recently, the iPhone was launched followed by the Mac book in 2009 and in 2010, the iPad was created.

Apple is an American transnational corporation that designs and industries consumer electronics, computing machines package, personal computing machines. The company ‘s best known hardware merchandises include the Macintosh computing machines, the iPod, the iphone and the ipad. Apple package includes the Mac OSX runing system, the itunes media browser amongst others.

Apple operates in around 284 retail shops and has an online shop where, hardware and package merchandises are sold.

In 2010, Apple was recognised as the most technological company in the universe.

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Apple [ 1 ]

Apple ‘s slogan, “ Think Differently, ” is a construct that the company is making really good by invariably introducing that continues to specify the universe of computing machine design. Other computing machine makers have attempted for decennaries to retroflex the icon authoritative entreaty of Apple design, but none have succeeded in the mode of Apple.

Apple mission is “ to bring forth high quality, low cost, easy to utilize merchandises that incorporate high engineering for the person. We are turn outing that high engineering does non hold to be intimidating for the non computing machine experts ”

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The writers ‘ primary research was done by go toing a series of Strategic Planning and execution, which were given by Mr Bruno Alba, lector, London School of Management and Science

The secondary research has been undertaken in order to derive extended cognition, from scope of publications and intelligence documents and by facts available on the cyberspace.

Chapter 1


The comparative importance of a strategic program for APPLE Corporation.

The general thought of the strategic planning is based on the scheme development processes which are described below:

1. Intended Strategy Development:

The intended scheme development comprises of some tool or models that are being used by the directors of an administration for the preparation of strategic analysis and rating and these factors are being used as good by directors for strategic planning intents.

2. Strategic Planning Systems

A strategic program is set out to develop or organize the administration ‘s scheme. Harmonizing to some surveies conducted by Rob Grant, the strategic planning is done in conformity to some procedure which is as follows:

2.1 Initial guidelines

The strategic program will depend upon some guidelines about the external environment.

2.2 Business degree Planning

This is where the concern units or divisions draw up strategic programs to show to the corporate Centre who will in bend discuss with the concern directors and so determinations will be agreed at a certain point in clip.

2.3 Corporate planning degree

The corporate program will be the collection of the concern programs. This coordination may be undertaken by a corporate planning section and so the corporate board will O.K. the corporate program.

2.4 Financial and strategic marks

These are facets about the footing for public presentation monitoring of concerns cardinal strategic precedences based on the program. ( Gerry Johnson et al.. , 2009 )

Apple has come up with many new merchandises during its being and is go oning to introduce within the computing machine and engineering industry. The ipad is the latest merchandise that Apple has launched and it has done this to prolong growing and maintain gait with the invention universe. Therefore, we can infer, that the Ipad is portion of the engineering push, i.e, Apple, establishing the merchandise and partially, market pull whereby, establishing a merchandise harmonizing to market demand.

The scheme for Apple was foremost, to be able to convey a new merchandise, which was the new version of the merchandise iphone in order to achieve clients needs specifically the business communities and journalists. However, there is an unfastened demand, for the pupils and retired workers. Apple ‘s chief rival such as has brought into the market, the Kindle, with which now users can purchase and entree online books for reading alternatively of purchasing them physically.

On the other manus, the scheme of Apple was to accommodate the same construct of Amazon and utilize it in a different manner to make another version which was the ibooks and which led Apple to make every bit good its online bookshop.


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The iPad is regarded as a high value merchandise that Apple is offering to their users. Apple vision was to win over the market of Smartphone ‘s users and laptops. The ipad, is a tablet computing machine, designed and made by Apple for cyberspace browse, media ingestion, gambling and light content creative activity amongst many others. The ipad was launched in April 2010 and has the option of utilizing the WIFI system of 3G day of the month connexion to shop the cyberspace, burden and watercourse media amongst many others.

Apple developed the ipad with an improved functionality of the iphone. It besides come with several applications such as the campaign, mail, exposure, picture, you tube, iPods and itunes amongst many others. ( http: //, hypertext transfer protocol: // )

Below are some images of the latest IPADS:

220px-Steve_Jobs_with_the_Apple_iPad_no_logo [ 1 ] 220px-Apple_iPad_Event02 [ 1 ]

Chapter 2



The critical success factors are those factors which determine the success or failure of a company.

Harmonizing to Steve Jobs the CEO of Apple Inc, the company needs nine success factors out of which six are already in topographic point as felt by the company that is what they already mastered and the other three as what they are still working on.

Mastered Factors

Concept. Apple ‘s is selling one million millions of dollars of merchandise and they ‘re widening into the digital hub.

New Product Pipeline. Apple is an advanced company. They have over 2,000 employees in their technology groups who work towards developing high quality new merchandises such as the iPods, iphone and now the ipad.

Financing. Apple has the necessary funding with over $ 4 billion in the bank to transport out their operations.

Marketing/Brand Names. Apple spends hundred million a twelvemonth on advertisement and has one of the most recognizable name trade names in the universe.

Supply Chain Management. Apple is one of the best companies in the universe at supply concatenation direction and logistics, and they know how to widen into retail. Their retail shops are viewed as excess warehouses in the current system, so there is one supply concatenation group for the whole company.

Information Systems. Apple has already built an IS system for its shops on top of its planetary ISP system.

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Less Experience factors

However, there were three “ success factors ” at which Apple had no or less old experience: existent estate, shop design, and shop operation.

Sing existent estate, Apple knew that the old proverb of “ location, location, location ” was on mark and the company realized that “ finish ” locations such as Best Buy and Office Depot wo n’t work for the 95 % of non-Mac computing machine users.

They ‘ve got to ‘ambush ‘ that 95 % by being where they ‘re already at, by turn uping in high-traffic assemblage topographic points, such as promenades, hip streets, and the new lifestyle Centres, such as java stores, ” Jobs said. “ We ‘re traveling to set our Apple shops in top grade locations. ”

As for Store Design, Apple wanted a construct that would suit the demands of its clients and would showcase its merchandises, but which would besides be flexible adequate for alteration and growing. To come up with the best construct, Apple really built a paradigm in a

Warehouse. The consequence, harmonizing to Jobs is a solutions-focused shop.

When it comes to Store Operations, Apple realized it had to present a “ antic experience, ” the CEO said. That meant the “ right shops at the right topographic point with great ware, unbelievable employees, and operational excellence, ” harmonizing to Ron Johnson, Apple ‘s new senior frailty president of retailing. ( )

Chapter 3


Strategic planning is an of import factor in finding success and many methods can be used, such as the SWOT analysis, the PESTEL analysis, and the STEER analysis amongst many others. Some of the external factors will be discussed this chapter, Our analysis is based on the Porters Five forces and SWOT analysis.

The SWOT analysis will find the strength, failings, chances and menaces of APPLE.

First, some of the strengths of Apple are:

Apple is one of the oldest hardware makers and this give Apple a competitory border over its rivals.

It has control over the merchandise it is doing and their quality is optimal.

It has merchandises such as the iphones, iPods, laptops, which are easy to transport.

It has a trueness trade name, i.e. , users are still loyal to its merchandises.

Finally, Apple has a really strong R & A ; D section, which spend clip and resources in the development of new and existing merchandises.

Second, some of the failings of Apple are:

Apple market portion is far behind rival Microsoft.

The merchandises are rather expensive

Apple has besides ailments from clients. Therefore, doing the company ‘s repute and image to be spoiled.

Third, we can look at the different chances of Apple which are:

Apple is looking to acquire into new and less expensive merchandises lines and produce quality merchandises.

It has a flexibleness to its users

Apple ‘s iPods merchandises are now being used in new designed auto theoretical accounts, hence increasing the demand of the iPod

Finally, the online gross revenues are increasing and Apple are aiming new sections of the market.

Last, we can look at the different menaces of Apple which are:

There is the force per unit area from rivals and the users are traveling for other merchandises from other makers.

Technology is altering at a rapid rate therefore Apple has to make merchandises that will maintain gait with the engineering growing, such as the ipads.

Rivals establishing merchandises such as Microsoft with view and windows 7, all this doing Apple to convey new merchandises to prolong growing.

Porter Five Forces Analysis on Apple i-pad

Dickering power of Buyers

Apple is good known as an advanced company and there is a high demand for their merchandises. Though purchasers find many replacements in the market for Apple merchandises, they still attract to it because of the trade name name and the singularity of its merchandises which makes Apple a really profitable company.

However sing i-pad the purchasers are slightly more powerful. Somehow there will be options for the i-pad in close hereafter. Because of the comparatively high monetary value of the i-pad, it is a inquiry whether the purchasers will pay a premium for the trade name repute of Apple and its engineering when their demands may be every bit met by cheaper options.

Dickering power of Suppliers

Apple is chiefly concentrated on design and selling and they outsource the fabrication of most of their merchandises. Therefore it can be affected by the pricing of providers and costs because of the handiness of natural stuffs. And besides alterations in lower limit pay for labor can hold effects on Apple. But due to the strong demand for apple merchandises it has more power over its providers.

Sing i-pad even Apple outsource the parts which use to fabricate the i-pad, the package is the alone factor that brings all those parts together. Therefore the parts themselves are non that of import as they as are readily available signifier many beginnings. Therefore in that instance besides Apple has more power over its providers.

Menace of New Entrants

Apple had many barriers to entry in the development of the i-pad but at the same clip they must worry about the possible rivals like Google and Microsoft who are suppressing every bit good.

Economies of scale- As Apple already had experience in fabricating mass market consumer electronic devices which besides portion constituents of the i-pad ; Apple is non severely affected by this barrier.

Product Differentiation- As the i-pad is significantly different than its rivals ; overall this feature has positive effects on Apple. And besides Apple has a certain sum of protection through the strength of its trade name individuality. But this merchandise distinction can be imitated to a certain sum by its rivals.

Capital Requirement- sing capital demand, Apple enjoys a little advantage. To vie with the i-pad efficaciously, rivals will hold to put vastly in certain countries.

Cost disadvantages- Apple is able to cut down the impact of this menace as it has a figure of fabrication resources and channels available. But the new entrants may happen these barriers as they have non got these resources. And besides apple has invested a batch in cognition and experience which will take clip for its rivals to make.

Government policies- Apple was granted the ownership of patent for the i-phone and i-pad, which will give them, short term monopoly rights on some of its engineering. It will halt their rivals copying the merchandise excessively closely.

Menace of Substitutes

Apple has been granted patent to the i-pad and its engineering. However it is still likely that rivals in the market will shortly present similar merchandises. Most of the menaces are traveling to come from the established participants in the engineering industry like HP and Sony and from possible rivals like Google and Microsoft.

Competitive Competition

Apple is chiefly concentrated on design and selling and is reasonably vertically incorporate towards clients. They do most of their concern in their retail locations and on line shops. Because of this concentration on the clients and besides as it is better equipt, Apple is able to vie with horizontal participants like HP or Sony who are non as vertically incorporate towards the consumers. It gives Apple an chance to make client focused merchandises which many of none vertically incorporate participants are non so good at.

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Chapter 4



Apple has a peculiar position ; it does n’t hold a listed set of aims. All through our research, our group acknowledges that Apple ever struggle to establish a new merchandise in the market. Based on the executive overview of Apple ‘s study 2010 we can come out with a strategic aims for their merchandise named I pad.

-To be the male monarch of high-tech of Wall-Street

-Increase their market value ( acquire on over Microsoft ) , have over ?151 billion of market value.

– I pad is designed as a new coevals of engineering which to take over e-book and personal computing machine.

That is to dethrone Microsoft at the male monarch of high-tech

By introducing in hardware which come evidently with its package, Apple compete with Microsoft who have a urge laterality on personal computing machine package, the launch of the Ipad announce the diminution of the lap top computing machine.

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Strategic options

For an organisation to hold good success there is a demand of holding good strategic options. Strategic options are originative action-oriented responses to the external state of affairs that an organisation faces. Strategic options take advantage of facts and histrions, tendencies, chances and menace of the outside universe. It helps to place and do a preliminary showing of alternate strategic options or positions.

Strategic options for Apple – iPad is to supply their clients with thorough and dependable information that may assist heighten even the cognition and accomplishments. By making so clients are able to page through web sites, write electronic mails, and flick through exposures or ticker film, all on a large attractively multi-touch screen. Another scheme is to hold a uninterrupted spring in technological promotions and a new or upgraded offering on mean every six months.

In order to hold good schemes the apple company idea of what might give a continued competitory advantage and what markets should they come in and how. Which strategic options optimally fit the demands of the mark group, the institutional options and aspiration of the interest holders, what supportive intercessions are required to win in that option and menaces?

Apple on its merchandise iPad focused on client experience, they made a merchandise which has no demand of mouse, a keyboard constellation screens, and other advanced options such as touch screen. Strategic options help to do the vision into world. SWOT analysis helps to acquire a better apprehension of the strategic picks that company demand. Strategy is the art of finding how one will win in concern and life. It helps to do the most of company ‘s strength circumvent their failings, Capitalize on your chances and pull off their menaces.


Though Apple ‘s strategic theoretical account can non be said, to be distinguishable, they are poised on taking Amazon and Microsoft caput on. Their new merchandises for illustration, ipad, suggests to be a existent one in all merchandise for the consumers. Apple success factors suggest that they have the ability and capableness to go the market leaders. The major success factor being invention.

Behind their ability to introduce its strong research and development section.

The latest merchandise of Apple, the Ipad, nevertheless targeted on, the retired people and journalists, has received credence from the young person, pupils and the remainder of the population giving Apple, a grab of the market.


Researching corporate scheme, 8th edition, Gerry Johnson et al..

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