BUSINESS MANAGEMENT- CUEGIS
CUEGIS
at Apple Inc.
Apple Inc. uses the Apple brand to compete across several highly competitive markets. Apple's brand has evolved as it has expanded its range of products and services.
In the early decades, Apple's brand was very much that of a challenger, bringing easy to use
computers to consumers and small businesses in a way that focused on the needs, individuality, and style of ordinary people, rather than the conformity and technical mandates of big business.
Change
Practically since its inception back on April 1, 1976, Apple has repeatedly captured the world's attentio n thanks in large part to its rebellious underdog attitude and continuous efforts to reset expectations of what's possible from consumer electronics
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Culture
They want every person who joins their team, every customer visiting their stores or calling for support to feel welcome. They believe in equality for everyone, regardless of race, age, gender, gender identity, ethnicity, religion, or sexual orientation. That applies throughout their company, around the world with no exceptions.
I
n the past year they hired:
11000 women globally, 65% more than in the previous year.
In the united states, they hired over 2200 black employees: 50% increase over the last
year, and
2600 hispanic employees: 66% increase.
In total, this represents the largest group of employees they’ve ever hired from underrepresented
groups in a single year. Additionally, in the first 6 months of this year, nearly 50% of the people
they hired in the US are women, black, Hispanic or native American.
-Tim Cook, CEO apple.
How do you offer a $500 USD phone to a country(india) where most the population won’t make that annually? In order to compete with the primary Indian phone leader (BlackBerry), Apple has rolled out a pricing plan for phones that allows customers to purchase phones over a longer-term payment plan. They have also reduced the sale price of the phone itself to approximately $93USD when converted from rupees. This is a respectable move by the company but not yet enough to give them any kind of significant advantage. It is instead interesting because Apple has developed a reputation for resisting adaption of their business model to other places in the world. In more developed, western economies Apple has been known as the high priced alternative to phones and created itself a position of dominance to command that price from. Now we are seeing that they are willing to adapt their product quite a bit more to enter a market as large as India. It represents a powerful exception to Apple’s norm, and a good one at that.
The secret of any global brand success is cultural understanding. Apple has stores all around the world. For each of these stores, Apple follows a strict customer service protocol, which is tailored to each region. That creates insane loyalty and attachment, because the local staff uses a personalized approach to communicate with customers.
Even the type of building matches the culture. For example, the Paris Apple Store is housed in a Haussmann-type building that is ideally suited to Parisians’ tastes in architecture. Or at least, what they have grown accustomed to. Bob Bridger, vice president of Apple Retail Development explains what makes Apple Stores so popular. “Once a location is picked, it’s all a matter of working towards making sure the store has an inviting appeal that matches its surrounding culture and environment. It’s about ‘getting out into the street’ and feeling what the local feels.”
The concept of evangelism is an important component of Apple’s culture. Corporate evangelists
refer to people who extensively promote a corporation’s products. Apple even had a chief
evangelist whose job was to spread the message about Apple and gain support for its products.
However, as the name evangelism implies, the role of evangelist takes on greater meaning.
Evangelists believe strongly in the company and will spread that belief to others, who in turn will
convince other people. Therefore, evangelists are not only employees but loyal customers as
well. In this way, Apple was able to form what it refers to as a “Mac cult”—customers who are
very loyal to Apple’s Mac computers and who will spread a positive message about Macs to their
friends and families. Successful evangelism can only occur with dedicated, enthusiastic
employees who are willing to spread the word about Apple. When Jobs returned to Apple, he
instituted two cultural changes: he encouraged debate on ideas, and he created a vision that
employees could believe in. By implementing these two changes, employees felt that their input
was important and that they were a part of something bigger than themselves. Such feelings have
created a sense of loyalty among many at Apple. Apple prides itself on its unique corporate
culture. On its job site for corporate employees, it ensures potential applicants that the
organization has a flat structure, lacking the layers of bureaucracy of other corporations. Apple
also emphasizes that it does not adhere to normal work environments in which employees are at
their stations from 9:00 a.m. to 5:00 p.m. Instead, Apple markets itself as a fast-paced,
innovative, and collaborative environment committed toward doing 3 things “the right way.” By
offering both challenges and benefits to applicants, Apple hopes to attract those who fit best with
its corporate culture.
Ethics
Around the globe, Apple employees are united in bringing equality, human rights, and respect for the e nvironment to the deepest layers of our supply chain. They demand that suppliers treat workers fairly a nd ethically at all times.
Apple has tried to ensure that its employees and those with which they work display appropriate conduct in all situations. It bases its success on “creating innovative, high-quality products and services and on demonstrating integrity in every business interaction.” According to Apple, four main principles contribute to integrity: honesty, respect, confidentiality, and compliance. To more thoroughly detail these principles, Apple has drafted a code of business conduct that applies to all its operations, including those overseas. It has also made available on its website more specific policies regarding corporate
governance, director conflict of interest, and guidelines on reporting questionable conduct. Additionally, Apple provides employees with a Business Conduct Helpline that they can use to report misconduct to Apple’s Audit and Finance Committee. Many of Apple’s product components are manufactured in countries with low labor costs. The potential for misconduct is high due to differing labor standards and less direct oversight. As a result, Apple makes each of its suppliers sign its “Supplier Code of Conduct” and performs factory audits to ensure compliance. Apple may refuse to do additional business with suppliers who refuse to comply with Apple’s standards. To emphasize its commitment toward responsible supplier conduct, Apple releases an annual Apple Supplier Responsibility Report that
explains its supplier expectations as well as its audit conclusions and corrective actions the company will take against factories where violations have occurred.
One issue requiring consistent oversight is product quality. Apple’s brand hinges upon product quality, so mistakes can create serious ethical dilemmas.
Privacy is another major concern for Apple Inc. In 2011 Apple and Google disclosed that certain features on the cell phones they sell collect data on the phones’ locations. Consumers and government officials saw this as an infringement on user privacy. The government is considering passing legislation on mobile privacy, actions which could have profound effects on Apple and other electronics companies.
Apple has taken steps to become a greener company, such as reducing its environmental impact at its facilities. However, the company admits that the majority of its emissions come from its products.
pushing people to replace or upgrade their technology whenever Apple comes out with an updated version. Since Apple is constantly releases upgraded products, this could result in older technology being tossed aside. Apple has undertaken different approaches to this problem. The company builds its products with materials that are suitable for recycling, it builds its products to last, and it recycles 5 responsibly. To encourage its customers to recycle, Apple has created a recycling program at its stores for old iPods, mobile phones, and Macs. Consumers that trade in their old iPods can receive a ten percent discount on a newer version.
Tim cook’s ethics come from his parents, and the people he’s surrounded himself
with. He relates ethics with leaving things better than how he found them- that
extends from environmentally, to how one works with labourand treats one’s
employees, to the things one chooses to support, and basically one’s whole
persona.
Globalisation
First of July 2013, Apple has developed 417 retail stores in 13 countries and an online store avail
able in 38 countries with global sales of $16billion dollars in merchandise in 2011. As a multi‐
national corporation, Apple Inc has realized the significance of globalization by spreading all ov
er the world
Innovation
Apple has always ben different as they have had a different perspective of the world, they aspire to do more things and to have the opportunity to create the best products in earth, products that change live s and help shape the future.
What is Apple’s fundamental soul? The company’s motto, “Think Different,” provides a hint. Apple main tain an introspective, self‐
contained operating style that is capable of confounding competitors and shaking up entire industries Apple innovation leaders think in terms of platforms and pipelines and relentlessly push the pace of innovation. Competitors that chase Apple's latest release find themselves behind when just a few months later Apple introduces its latest and greatest offering.
Apple has built an effective innovation system to harnesses creativity in its people, stimulate new ideas, streamline the design process, and launch successful, profitable new innovations.
Strategy
‐ Apple Brand Personality ‐Customer Experience ‐Apple Brand Architecture ‐ Apple Halo Effect ‐Corporate Market ‐Apple Watch ‐Original Mac Marketing StrategySTRATEGY
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The company's product strategy is based around this, with the iPhone (with it's touch screen "gestures" that are re-used on the iPad), Mac, iCloud, iTunes, and the Apps Store all playing key roles. THE distinctive feature of each of Apple Pay and Apple Watch remains the customer experience of an elegant user interface and simplicity of use.
Starting with a major re-vitalisation of the Apple brand when the iPod was launched in 2001, Apple worked hard to harmonize and migrate its brand and its product strategy closer together, to achieve today's position.
Steve Jobs, Apple's co-Founder, described Apple as a "mobile devices company" - the largest one in the world. The company renamed itself Apple Inc. rather than Apple Computer. At the time, this was a significant move, signifying Apple's move beyond being more than a computer company.
The company is now defining itself more broadly than being just a devices company. It has blended its digital content services (eg Apple Music, iTunes, iBooks and App Store) to be a key part of the value proposition to Apple device owners, and (with iCloud and Siri in the background) Apple is making many services and functionality which consumers use accessible on whatever (Apple) device they happen to be using at the time, be it on their desk, lap, fingertips or wrist.
The Apple Brand Personality
Apple has a branding strategy that focuses on the emotions. The starting point is how an Apple product experience makes you feel. The Apple brand personality is about lifestyle; imagination; liberty regained; innovation; passion; hopes, dreams and aspirations; and power-to-the-people through technology.
The Apple brand personality is also about simplicity and the removal of complexity from people's lives; people-driven product design; and about being a really humanistic company with a heartfelt connection with its customers. Through these qualities, Apple is positioned as being extremely helpful to people (and businesses) as they strive to achieve their goals.
HALO EFFECT: In a so-called iPod halo effect, Apple hoped that the popularity of iPod and iTunes
among these new groups of customers would cause these segments to be interested in Apple's computer products. This does seem to have happened. Since the take-off of the iPod there has been a dramatic rise in Apple's computer sales and market share. The success of the iPod has drawn even more people to Apple’s Mac Computer products.
SIRI- Siri's natural language speech processing and interactivity capabilities were introduced in
October 2011 on the iPhone 4S. Siri highlights the marketing genius of Apple: speech control and interactivity are not new features on computers or phones. For example, smartphones running Microsoft's Windows Mobile operating system had very similar functionality to Siri for quite some time. When Apple created the Siri "personal assistant" which gives these otherwise rather hard to describe voice interaction features a character, consumers were given a hook around which they could finally understand what voice interactivity was all about.
One aspect of Apple's strategy seems clear: to use the popularity of the iPhone and iPad to break back into large corporations, sell lots of those devices, and have Apple Mac back on the desks of large businesses
Did you know that Apple isn’t on social media? In fact, Apple customers constitute Apple’s advertising – Apple isn’t even involved. How and where do they get their customer pulse? By
being silent. They let others do all the talking for them. Maybe that seeming lack of social
marketing strategy is, in fact, the strategy. Customers come to Apple. Apple creates the want and solidifies the brand in that way. Customers adapt to Apple, Apple does not adapt to customers.
