Swot Analysis Of Apple

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In this highly competitive world, Apple has always followed distinct strategies to succeed. Apple’s primary focus is to make high-quality, user-friendly with high aesthetic value products. Innovation is Apple’s magic wand. Apple targets customers that are oriented towards high quality, durable, user friendly, sleek devices. Apple not only focusses on one domain but has developed hardware, software and associated digital services making it best in innovative product development. Apple has outsourced its manufacturing facilities. It keeps it suppliers in tight control and gets huge discounts because of the volumes. The Top Competitive Priorities of Apple: Premium Pricing Strategy (Cost): Apple sets premium prices for its products and minimizes …show more content…

Ease of use and sleek design to give an aesthetic appeal is Apple’s primary focus. Low volume & High Margin are the key principles. Innovative Products/ Focus on R&D Apple has always been keen on producing innovative products, which marks their brand and reputation. Their ability to develop innovative products that share OS, software & applications to minimize the timescale, costs, risks. Apple’s innovation strategy of developing products that complement each other strengthens customer loyalty and helps build a barrier to competition. Fast Product Life Cycle (Time) Apple keeps a relatively shorter new product development cycle comparing with a traditional product lifecycle. Traditional product lifecycle is 4-5 years while the lifecycle of Apple products such as iPhone is close to 1 year only. It can let Apple keep its company name fresh in its customer’s mind. Besides, Apple invests heavily in R&D in order to ensure that it would have innovative products in its pipeline. Variety Hardware Products - iPhone, iPad, iPod, Mac, Apple Watch, and Apple TV Desktops: Mac mini, iMac, Mac …show more content…

Brand strength gives companies like Apple great visibility in the marketplace and helps build consumer loyalty. The company’s strong branding encourages customers who buy one Apple product to try another. Manufacturing and Distribution Techniques All R&D activities of Apple Inc. are performed in its headquarter- Apple Campus. As Apple emphasizes the importance of innovative, it centralizes its R&D department in California to boost R&D efficiency. For the assembly operations, Apple locates its assembly line in China to enjoy the abundant human resources and low labor cost. Manufacturing: Apple has outsourced its manufacturing process. Apple does little customization and focuses on few product lines which gives it a huge advantage in terms of manufacturing capabilities and cost reduction. Demand forecast thus plays a vital role for Apple’s operations and it is able to forecast demand at each store

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