Apple case

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Apple case

  1. 1. Apple Case Study
  2. 2.  Aditi Karnik  Prajakta Bhandare  Bharti Sonar  Swapnil Pawar  Lalit Singh
  3. 3. • Steve Jobs & Steve Wozniak started a company with its product Apple I on 1st April 1976 • Limitations of Apple I-no case,keyboard,power supply,hours of assembly by hands • Apple II – 1978 Macintosh – 1984 • Apple II came out with a critical innovation to insert a disk drive • By 1980 1,00,000 Apple II were sold making them leader in embryonic market
  4. 4.  Apple III was launched in 1980-failure  Market Share fluctuated from 7% -9%-4%  In 1985 Steve Jobs was fired  By 2006 Apple bounced back & did record breaking sales  iPod music player, music downloading from iTunes, MacBook laptop
  5. 5. • IBM had a huge and very profitable mainframe computer business, but it had so far failed to develop a PC. • 3rd PC project of IBM – Adopted an “Open Architecture.” • 1891- IBM PC was instant success. • Next 2 years IBM would sell more than 500000 PCs, seizing market leadership from Apple. • As a sale of IBM PC mounted 2 things happened – 1. Independent software developers started to write programs to run on the IBM PC. 2. The success of IBM gave birth to clone manufacturers . • Clone Maker-  1983 – Compaq , 1st and successful.  Tandy, Zenith, Leading Edge, Dell.
  6. 6. • 1980 – Important projects underway at apple 1. Lisa – High end business machine. 2. Macintosh – Low end portable. • Jobs was astounded by what he saw at PARC (Palo Alto Research Center) and decided that these innovations had to be incorporated into Apples machines. • Pushed the Lisa tem to implement PARC’s innovations.
  7. 7.  Sculley shut down the Lisa Line.  Apple’s domination of desktop publishing market.  1985-Apple licensed PostScript.  Apple allowed customers to “Plug and Play.”  1990 – Apple was the most profitable PC manufacturer in the world.
  8. 8.  In 1990 Microsoft introduced Windows 3.1 and Apple’s differential appeal of GUI began to erode.  Windows OS became dominant in the market and Mac OS turned to niche player  The Company was on a glide path to history.
  9. 9.  Appointed himself Chief Technology Officer in addition to CEO.  To bring out low cost version of the Macintosh (Mac Classic) and cut prices by 30% of Apple II .  Cut Costs by reducing workforce  Maintain technological lead by introducing new products in every 6-12 months.  Alliance with IBM Result:  The game plan helped to boost top line but bottom line reduced .In 1994 Sculley left Apple.
  10. 10.  To license the Mac OS to other computer makers.  Committed for Next generation OS for Macintosh.  Suggested to cut 23% workforce. Result:  Gross margin slide to 15 % down from 29% in 1994.  Apple lost $68 million.
  11. 11.  Followed through Spindler’s plan  Apple purchased NeXT , the computer company founded by Steve Job’s. Result:  The Company booked a loss of $742 million in 1996 and was on track to loose another $400 million in 1997.  Amelio was fired in July 1997.
  12. 12.  Steve Job was appointed as CEO after Amelio.  Ended licensing deal with clone makers.  Killed slow selling Products  Pushed company into online distribution  Came out with new offerings Result:  This brought favorable reaction from stock market.  New offerings from Apple created the history.
  13. 13.  New product design came i.e. combination of monitor and CPU unit  And Apple company name it as “ iBook ” & a New “ i Mac” .  Made attractive & exciting design of machine also with different colors in iMac  Apple invested more in development of new Operating system  Came with new OS i.e. OS X ( a
  14. 14. i Mac i Book
  15. 15.  Apple OS were facing problem of compatibility with windows and Intel chips  Apple introduced its Intel compatible version of OS.  Also invent a software program “Rosetta” and utility program called “Boot camp ”  Apple’s Intel based machines were more faster in operations and portable to handle.
  16. 16.  Company opened their retail store in 2001  Uses strategy of third party retailers or direct sales  Apple company design its retail stores more stylish ,clean & also with attractive displays to impress customers  Steve jobs was also the part of such design process
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