Apple Strategic Direction

Apple Inc. is one of the globally known technology companies that have made significant technological strides in producing consumer electronics and gadgets. Apple specializes in the production of personal computers, watches, entertainment, and smartphones. With the changing consumer preferences in digitized electronic devices, Apple is working tirelessly to improve its products to continue commanding the digital electronics sector.

Apple creates its own chips that are used in all its products, therefore, eliminating the need for a supplier altogether. In recent years there have been efforts applied toward manufacturing their components. The strategy is to cut costs and perhaps even change the narrative of severely underpaying workers in the Chinese factories. The implementation of this strategy is yet to be seen, and if implemented, it would significantly reduce the bargaining power of the suppliers

According to Yie, Zhi, and Ping (2021), an internal factor evaluation matrix analyzes the strengths and weaknesses of a company. Currently, Apple stands out as one of the many electronic companies with unique products and excellent customer service. Additionally, the company has a strong brand and sustainable marketing skills that have enabled Apple to build one of the best brands in the world.

The external factor evaluation matrix shows that Apple is expanding internationally to capture a large segment of potential customers (Yie, Zhi, and Ping, 2021). Apple has a strong online presence that helps it build its reputation among consumers. Besides, Apple is facing stiff competition from phone competitors, such as Samsung and Huawei. Apple is competing with the two companies in the form of aesthetics in the production of smartphones (Yie, Zhi, and Ping, 2021).

Apple has become a go-to company for consumer electronics for a majority of consumers due to the core competencies that guide the company to achieve its organizational mission and objectives. One of the core competencies guiding Apple is innovative products and excellent marketing of Apple products. According to Zhang (2018), Apple’s product strategy focuses on introducing powerful innovations coupled with an expansion of its product lines. Apple always updates its product lines every year to appeal to the changing consumer preferences. The company pays a lot of attention to consumers to remain technologically relevant to their needs. Besides, the marketing competency of Apple is to build a dominating global brand in all markets (Zhang, 2018). Apple consistently pushes to expand its customer base while still retaining its existing customers. Apple also recognizes and maximizes emerging markets like China (Zhang, 2018). China is already a significant market region for Apple products.

Petit and Teece (2020) define dynamic capability as the ability of a company to react quickly by re-strategizing and innovating new products by partnering with other companies to gain a competitive advantage. Collaborative business strategies are useful drivers of competition and market dominance. One of Apple’s dynamic capabilities is its new partnership with Intel. By partnering with Intel, Apple will now have access to Windows consumers who might like Apple products due to their adoption of Intel processors. Additionally, the collaborative partnership between Apple and Intel could make the two have a market share of customers in the gaming industry. This new dynamic capability also allows Apple to sell its operating software (Mac OSX) to customers utilizing Intel-powered computers (Petit and Teece, 2020).

From the analysis above, the overall strategic intent of Apple is user experience. In all the company’s innovations, the main goal was to change how consumers interacted with their previous gadgets, such as personal computers, smartphones, and entertainment. Apple improves the products and amplifies the user experience to ensure customer satisfaction, retention, and loyalty.


Petit, N., & Teece, D. (2020). Taking Ecosystems Competition Seriously in the Digital Economy: A (Preliminary) Dynamic Competition/Capabilities Perspective. Capabilities Perspective (December 9, 2020).

Yie, C. E., Zhi, C. E., & Ping, N. (2021). A Critical Analysis of Internal and External Environment: Case Study of Apple Inc. Journal of International Business and Management 4(10): 01-14.

Zhang, Q. (2017). Research on Apple Inc’s Current Developing Conditions. Open Journal of Business and Management6(01), 39.


Calculate your order
Pages (275 words)
Standard price: $0.00
Open chat
Hello 👋
Thank you for choosing our assignment help service!
How can I help you?