Apple Inc.Internationalization.

John Leyton Velásquez

May 2013

Ph. D. Professor: Pablo de Carlos Villamarín.

Discipline: International Strategic Management.

Facultad de Ciencias Empresariales y Turismo de Ourense.

Universidade de Vigo.

‘‘Simplicity is the ultimate sophistication’’.

Leonardo da Vinci.

Apple Inc.: Internationalization.

INDEX.

1. Introduction.

2. Key Features.

3. Internationalization process.

4. Conclusions.

ORDER WORTH $25,000

NOT, thanks.

1976 1976-1998 1998-2001 2001-2003 2003 -

1. INTRODUCTION.

From 2001 focused primarily in four product lines: Mac, iPod, iPhone, iPad.

Apprenticeship:

Outsourcing.

Massive layoffs.

Have cash on hand.

Boost R&D spending.

Buy on the cheap.

Aggressive advertising.

Index

2. KEY FEATURES.C

usto

mers.

Industry characterized by cost leadership, while Apple lead a differentiation strategy.

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.

Index

3. INTERNATIONALIZATION.

a) Delocalization.

b) Outsourcing.

c) Apple Store.

d) Apple Resellers.

“It is not the strongest of the species that survives, nor the most intelligent that survives. It is the one that is most adaptable to change”.

Charles Darwin.Index

3.a. DELOCALIZATION.

At this stage, before 1998, began with the delocalization of their factories in search to economize their production process.

Now, compare it to a

computer at the time.

Manufacturing.

With coming back of Steve Jobs in 1998, the company had major restructuring, among some changes, they left to manufacture.

3.b. OUTSOURCING.

Direct Indirect

70,000 1,000,000

EMPLOYERS

From 2001 begins its physical international presence in developed countries based on differentiation leadership.

3.c. APPLE STORE.

2003 2008

But.. Where are

BRICS?

3.d. APPLE RESELLERS.

Guidelines

Since 2011 enhances its international presence allowing the distribution of its products in a prudent way.

37%

23%

7%

21%

12%

Sales 2012

America Europe

Japon Asia-Pacific

Retail

Index

4. CONCLUSIONS.

a) Strategy.

b) Process.

“Because the people who are crazy enough to think they can change the world, are the ones who do”.

Apple ad "Think Different", 1997.Index

4.a. STRATEGY.

Alliances and

agreements.

Economies of

scale.

Leadership and

Apprenticeship.

Less control and

greater risks.

Less flexibility and

greater dependence.

Uncertainty, if they

change strategy.

With Tim Cook as CEO begins a new era, between some objectives to increase its global presence.

4.b. PROCESS.

The intensive distribution can improve its international presence (BRICS) but constitutes a risk for the image.

Foreign Direct Investment.

Contractual systems.

Exportation

Different

ways.

Different

selections.

Commercialization

perspective.

Respecting the core

strategy.

Uncertainty in

BRICS.

High to low

undertaking.

Index

THANKS FOR YOUR ATTENTION!

End.