Upload
whitt49
View
2.507
Download
5
Tags:
Embed Size (px)
DESCRIPTION
The presentation was designed by myself, while the bullets and information were pooled collaboratively from my three teammates and I. This project was built around a recommendation for a company of choice, Apple, and was my team\'s final project in our Introduction to Management class at the Wharton School.
Citation preview
Lizzie LoweDan MaslowAlex Cesan
Whitney TagliaviniMichael Mitchell
___ _ ______ ____ ________ ____
From “iCulture” Stems “A Healthier Apple”
Thesis:
1) New Products– Analyze through Porter’s Five Forces
2) Go Green– Analyze through stakeholder management theory
Apple should continue to leverage its “iCulture” to horizontally integrate through
focus differentiation
Two Future Endeavors:
History of Apple
• 1976 – Apple was founded 1976 • 1991 – Smooth Success until competition from
Microsoft Windows – Instead of continuing to innovate Apple sued Microsoft
(unsuccessfully) and sat back on it’s old lines
• 1998 – After a 7 year low stock streak, iMac released– iMac saved the company and Apple aggressively
innovated • Today – New products, such as, iPod and iPhone
"At the end of day, the whole concept of people experiencing Apple products and buying more of them is actually happening."
- Gene Munster, an analyst at Piper Jaffray Cos.
- Apple products define an entire generation - iPod, iPhone serve as status symbols- “i” prefix has been attached to many words- Newly nicknamed iGeneration refers to
Generation Y- New industry has sprung up around
accessories for iPod- Nike, BMW, Gucci integrating the iPod into
their products
“iCulture” Continued
Five Forces:
PDA and Smartphone Industry
Industry-Competition is
on Service Provider level
Potential Entrants-Takes high Funding
Buyers-Low transferability with
penalties-Benefits for Long Term
Commitment-Few Options
Suppliers-Components Standard-Established Relations
because of iPod
Substitutes-Possible but Inconvenient
“iCulture” Phenomenon Apple’s three synergetic industries:
Computers – Mac sales are up 34% from a year earlier Portable Music Players – iPod sales are up 17% from a year earlier Smartphone – iPhone’s overperformance already
iPhone Customer Base
15-24, 31%
25-34, 32%
35-49, 31%
50+, 6%
15-24
25-34
35-49
50+
Apple’s September Quarter Revenue and Earnings was Highest Ever
iPhone Success • Sold 1 million iPhones on September 9th
– 21 days before projected date
8
Inbound logistics
Purchases small electronic components
Operations
Specializes in efficiently mass-producing consumer electronics
Outbound logistics
Distributes large shipments of products to retail stores
Marketing and sales
Strong marketing division and heightened brand loyalty
Service
Strong customer service department, but not accustomed to automobile industry
Firm infrastructure
Human resource management
Technology development
Procurement
SupportActivities
PrimaryActivities
Value Chain:
iCar – Attractive Industry or not?
Making of “A Healthier Apple”
• Green History• Utilized Accommodative Stakeholder Management Approach
» Many environmental “milestones” actually mandated by law» Ranked 12th amongst 14 largest electronics manufacturers by Greenpeace
• Three Major Green Issues» Prevalent use of toxic chemicals (i.e. PVCs/BFRs)» Large amounts of e-waste (20-50 million tons yearly)» Overall apathy and lack of innovation in green product design
• Steve Jobs- “A Greener Apple”» “…I was surprised to learn that in many cases Apple is ahead of, or will soon be
ahead of, most of its competitors in these areas.” » Full of fluff and illogical comparisons to competitors» Few notable promises- phase-out of PVCs and BFRs by 2008/strenghten recycling
efforts, etc.
Going Green• “iCulture” is trendy
- Trend right now is to go green- Consumers becoming environmentally conscious
• Going green is a new market- Demand for environmentally friendly houses, cars, food- Companies with environmentally friendly products can profit- Green products enable businesses to expand in saturated
markets
– Progress Underway – Leverage the “iCulture”– Strategic partnerships with:
• Join Conservation International• Advertise the iTune’s Song of the Week
in Starbucks stores• PepsiCo’s Products
– free iTunes Songs on Package
08 March 2005 –Guiyu ChinaA migrant worker strips plastic from wires to extract useful metals. However, this PVC plastic is toxic and when burned, a huge pollutant.www.greenpeace.org/international
.
“A Healthier Apple”
The Steps to a Proactive Positioning
“A Healthier Apple”• “Greener Apple” Product Initiatives
– Granny Smith® Color added to each iPod line– “Greener Apple” Song of the Week on iTunes
• Joint Ventures – Starbucks
– Have the Song of the Week “Green Cards” – Agreement with Artists that purchase of song on
iTunes goes directly to Starbucks foundations
– PepsiCo - “Performance with Purpose” – Already a member of Conservation International– Co-brand list of products
» Quaker Oats Oatmeal, Gatorade– Free iTunes Song with purchase
and 10% of proceeds go to Conservation International