Dynamic Capabilities Of Apple

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Dynamic capabilities refer to the ability of an organization for addressing the rapidly changing business environment by integrating, developing and reconfiguring the internal as well as external competencies. The concept of dynamic capabilities is based on the purpose of developing long-term competitive advantage. Apple is considered as one of the most innovative companies of the world due to the creation of differentiated products such as iPod, iPhone and iMac (D’Aveni, Dagnino & Smith, 2010). It is the dynamic capabilities of Apple that made the company one of the most recognized companies of the world. The dynamic capabilities of Apple have enabled the company to cope up with the changes evolved rapidly in the business environment. Justifications …show more content…

Such dynamic capabilities have been contributed to a large extent in achieving competitive advantage. Apple is a very strong company from the financial point of view. This factor helps the company to spend huge amount on the highly qualified personnel in the department of research and development in creating highly innovative and technology products. Therefore, Apple products are characterized by innovative nature, smart appearance and faster processing speed and large data storage. These dynamic capabilities of Apple are considered as robust which cannot be imitated by rivalry companies (Peng, 2008). Due to its dynamic capabilities such as innovation and consistent product portfolio, Apple has DYNAMIC CAPABILITIES 3 become one of the strongest companies and successfully achieved a competitive advantage. Apple has always been active in responding to the changes that are brought by the rivalry companies. The major competitors of Apple are Dell and Samsung out of which Samsung is the biggest competition in terms of mobile technology. When Dell launched the tablet on the global market, Apple developed its iPad 2 for giving strong competition. At the time, …show more content…

It can be seen that with this pace, Apple would be able to retain its competitive advantage in the face of technological changes with the utilization of dynamic capabilities. The company would be able to retain competitive advantage when it would perform significant activities in the strategic way better than the rivalry firms (Lüsted, 2012). It is important for Apple to remain stronger from its competitors which can be achieved through robust dynamic capabilities. The innovation of the company leads to the difficulty for rivalry firms to replicate or imitate the products as well as processes of the Apple Company. The dynamic capabilities mainly focus on dealing with the technological changes evolved in the global market environment. The companies would retain their competitive advantage by performing significant managerial activities for making a dynamic capability that is sensed, seizing and transformation. Dynamic capabilities are considered as the ability of a firm to attain new forms of competitive advantage (Müller, 2011). It is due to these capabilities that companies are enabled to respond to the changing environment more

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