Introduction
A firm may elect to utilize a certain sort of corporate or business level strategy, which is critical since it establishes the needed tone for the organization’s successes or failures. Several companies may engage a manager to determine what form of the plan would work best. Others may already have the tactics, but they need to be tweaked. To be certain that the plans will succeed, a firm must be informed of the degree and nature of competition in the market. A rival has a good probability of prescribing the business strategy that will best suit the Company. Once a company has identified which tactics are most appropriate for them, they may develop a prosperous business. This paper will explore corporate and business level strategy in Apple Inc.
The business-level strategies for the corporation in the long-term success of the firm
Apple Inc. is the firm I’ve selected to investigate. This Company is well-known as a tech giant in laps, Mac, iPhone, watches, and other high-end products. Apple Company was started by S. Jobs, R. Wayne, and S. Wozniak in 1976 (Thao & Tsanthaiwo, 2017). The Apple Company began selling products with a sleek differentiated design characterized by massive innovations. The target customers by the Company were geared towards people who fancy expensive and quality products in the market. The Company’s desire to create a high-end business was fueled by brand loyalty and entrepreneurial spirit. The best business strategy for Apple company products would be the product differentiation approach.
The product differentiation approach entails a company gaining market share by focusing on simplicity, multinational technology, advancement in functionality, and attractiveness. This is achieved by setting high prices in the target market in the competitive business environment. This is a sort of approach that is critical to Apple’s success. Technological companies and wealthy houses are the primary focus of the Apple business. They have attempted to make their products accessible to their customers. It’s very important to acknowledge the presence of many electronic and information technology businesses that normally sell and do well in the market (Thao & Tsanthaiwo, 2017).
Nevertheless, Samsung, which provides comparable electronic and information technology, is one of the main rivals. On the other hand, Samsung sells lead panels, phones, televisions, digital cameras, and laptops for nearly the same price as Apple Inc. Compared to its competitors, Apple’s product differentiation approach has proven to be exceptionally effective. Apple has given customers the ability to choose their different sleek design products full of innovation and absolute attractiveness.
I believe that this sort of technique is one that Apple Company should continue to take advantage of to succeed in the future. The electronic and information technology industry is a type of business that will never be varnished. The product differentiation approach has certain drawbacks, such as the possibility of a competitor advancing and offering more unique quality products than yours. The decision to increase your pricing higher than those of your competitors might be extremely determined by your products’ technology and marketing strategies. On the other side, a benefit of this method is those high-end buyers may obtain high-quality items which satisfy their needs, which is something Apple is proud of and the reason for its long-term and consistent success.
The corporate-level strategies for the corporation in the long-term success
It normally takes some time for a company’s business strategy to come together. The Company will require knowledge of attitude toward stability and expansion. Organizations must also have a thorough understanding of the market they operate. With a better understanding of the market, the organization will maximize the resources and capabilities at its disposal to achieve its goal. In general, Apple Company has done an outstanding job making its items available worldwide. They have built new stores worldwide, from China to the United States, and this has made them incredibly successful in the long term. Their goal is to let the world know that they make high-quality, satisfying products. Thus, the phrase for the method they utilize is close-related diversification of its moderate and high-level products.
The sort of action that enhances the worth of commodities, businesses, and services is known as value creation at moderate and high-end levels (Mulumba, 2020). Apple’s mission is to make people’s lives better every day through various technological innovations. Their goal is built on the belief that every capable individual should purchase expensive products that meet their routine needs. This is precisely where the value generation approach fits in. The business provides good design and functionality at a high cost.
For a long time, the Company has been manufacturing high-quality design items at costs that are tough to match. They were able to maximize the use of various technologies to suit the demands and tastes of consumers. The firm has attracted manufacturers that are continually looking for new ways to produce high-quality electronics. Apple’s choice to use this method is extremely important. Apple has been pursuing a value-creation strategy for quite some time. This approach is critical to keeping the Company competitively relevant in the market in terms of Apple’s future. As a result, they will stay focused and endeavor to create expensive items for everybody who wants to buy them.
The competitive environment and competitor
Fundamentally, the nature of every business’s competitive environment may either break or make it unprepared for competition. Electronic and information technology is a global business with many companies involved. The type of product design and brand loyalty are important factors in deciding on a business. This is precisely what separates Apple from its rivals. Apple sells high-quality goods to consumers who afford their high prices. Samsung Company is Apple’s major rival in high quality, sleek design, attractiveness, and market strategy.
When compared to Apple’s items, Samsung’s are cheaper. They are, nevertheless, thought to be performing well in the market. They make their items by outsourcing using a joint venture from different countries, which appeals to many customers. Multiple, integrated sales channels that improve customer convenience, strengthen brand awareness, improve customer knowledge of the types of products the Company produces, and provide operational benefits that will enhance returns on capital and market penetration are the foundations of Samsung’s business strategy. This is a good tactic in locations where customers emphasize high-quality design patterns. Samsung also creates a range of items, which increases distinction and allows customers to choose from several products before purchasing.
The difference with Apple is that they provide a comparable level of diversity in their products and services to their wealthy customers. Apple outsources materials using the same joint venture from different countries that Samsung does, but their end products have their unique interface, providing them a competitive advantage. Apple and Samsung have very identical company strategies. They’re both pursuing a value-creation agenda. On the other hand, Apple appears to have a better grasp of what the plan comprises and how it should be implemented successfully. Samsung focuses on supplying high-class clients with modern-looking electronic products to customers interested in upgrading to luxury electronics.
On the other hand, Apple aims to provide high-quality products only to those who can afford them, not to mention that its pricing is extremely expensive to people of the highest economic levels. They are not just interested in a specific demographic for the business but also in the globe as a whole. Apple’s market share has risen dramatically as a result of this. This is a long-term success plan since they have the proper idea and make daily improvements depending on the tastes and preferences of their customers.
Competition in slow-cycle and fast-cycle markets
As long as there are rivals in a market, there will be fierce competition. Market competition keeps companies healthy and keeps the organizations engaged on their toes to be competitively relevant. The competition also adds to the appeal of starting a business and the desire to succeed. There are two sorts of marketplaces that determine the amount of success of your Company: The first is a long market cycle. This occurs when the market fails to provide innovative items promptly, and changes take a long time to develop (Mulumba, 2020). On the other hand, the quick cycle market is characterized by frequent product changes and the rapid production of new inventive items.
In a slow cycle market, my choice of Samsung would change. Customers do not need to acquire their newest items since the market does not want something fresh to emerge. They would prefer to remain with the one they are most familiar with. Due to their high costs, Apple may welcome new innovative rivals such as net-zero environmental impact or Target (Raketić & Rašević, 2017). Furthermore, people have traditionally purchased high-quality and expensive goods from their retail establishments. Another advantage of these establishments is their familiarity, making it easier for high-end customers to choose them.
It’s important to remember that the Samsung decision can suddenly alter in a fast-cycle industry. Samsung is, in general, a highly innovative company when it comes to electronic and information technology goods. As a result, they qualify as direct and formidable competitors to Apple. Samsung and Apple both develop more inventive and appropriate things for this generation. For both companies, the contemporary style of electronics is a big business boost. A corporation should consider innovation and produce new and improved goods for its clients to remain competitively relevant in the market. The quick cycle market governs today’s world. Apple and Samsung are both keeping up with the fast-changing marketing landscape.
Conclusion
To summarize, the process of organizing a firm to become the greatest in a competitive market is not a chicken’s feed. To begin, one must first comprehend the organization’s goals and objectives and strive toward accomplishing them. To be successful in the long run, this necessitates an excellent and well-planned Company and corporate-level strategy. Knowing what the firm wants and needs to accomplish is a perfect strategy to set up a business for success. After that, the organization may begin adopting the methods that would help them gain a competitive edge.
References
Thao, T., & Tsanthaiwo, S. (2017). Apple Inc. In the Years to Come. SSRN Electronic Journal. https://doi.org/10.2139/ssrn.2993019
Mulumba, B. K. (2020). Knowledge Management: A Crucial Asset toward a Sustainable Competitive Advantage: Apple Inc. and Samsung Ltd. Teaching Examples. The International Journal of Business & Management, 8(8). https://doi.org/10.24940/theijbm/2020/v8/i8/bm2008-045
Raketić, O., & Rašević, I. (2017). The comparative analysis of competitiveness between Samsung and Apple. Serbian Journal of Engineering Management, 2(2), 48–55. https://doi.org/10.5937/sjem1702048r
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