Analysis of Apple Essay Example
Analysis of Apple Essay Example

Analysis of Apple Essay Example

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  • Pages: 3 (692 words)
  • Published: October 29, 2018
  • Type: Case Study
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Apple Inc. is a US-based multinational Corporation that focuses on consumer electronic products. These include personal computers (PCs), computer software, media players, mobile phones, computer hardware, and accessories. Originally established as Apple Computer Inc. in April 1976 by Steve Wozniak and Steve Jobs, the company operates from Cupertino, California.

Apple Computer Inc. was founded by two college dropouts, aged 26 and 21, initially focusing on developing communication boxes for free long distance calls. Eventually, Apple Computer Inc. emerged as the leading producer of high-quality consumer electronics.

The company focuses on manufacturing and designing electronics and other related consumer software products (Abilla 98).

Growth Patterns

Since inception in 1976, despite the stiff market, the company has made a tremendous growth in offering world class software, Internet settings, and hardware across the world. This is in line with the company’s persp


ectives of offering best computing experience to students, creative professionals, educators, and consumers. At the start, they only concentrated on making personal computers, but the name Apple Computers Inc. in 2007 was dropped from the corporate name.

Apple has achieved substantial growth by diversifying into the consumer electronics industry, alongside its usual emphasis on personal computers. The company enjoys a large and devoted customer base in the United States. Noteworthy hardware offerings include the Macintosh line of personal computers and popular portable devices such as iPod and iPhone. In terms of software, Apple provides Mac OS X operating system and a multimedia suite called Life Suite.

Furthermore, Apple has utilized debentures to enhance its financial position, enabling it to enter a competitive market.


Emphasizing the notable accomplishments of the company, Apple initially targeted American consumers as a result of being headquartere

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in California. However, it has now achieved global expansion by implementing online sales methods, leading to a 60% increase in its customer base over the last five years.

The company's dominance in the digital technology industry has had a profound global impact. It has outperformed its competitors and emerged as a leading player, attracting numerous customers. In 2009, it partnered with more than 200,000 manufacturers to develop products that are compatible with Apple devices, showing a significant rise of 26% compared to the previous year. Additionally, the company's annual revenues have surged due to the increasing sales of its popular consumer electronics worldwide.

The company's revenue in the fourth quarter reached 9.87 Billion U.S. dollars, showing a growth of 24.9% compared to previous revenues. Furthermore, the net profit for the quarter increased by US $0.53 Billion compared to earnings of 1.14 Billion U.S. dollars in 2008.

Apple Inc. has achieved unprecedented profits, primarily driven by the exceptional sales of the iPhone and Mac. Additionally, the company reached a significant milestone with the introduction and release of the iPad, selling over three million tablets. Notably, this product's sales have continued to surge in Q3 of this year, reaching approximately 3.27 million tablets sold (Hujin 64). Presently, Apple Inc.'s position is flourishing.

With its foray into the consumer electronics market, Apple witnessed a substantial growth in its sales volume.

Despite focusing on other areas, the company dominated personal computer sales in both the American and European continents in 2009, accounting for over 90% of all sales (John 48). The following tables compare the sales volumes of the company in 2009 and 2010:

  • Sales volume of Macintosh computers, iPods, iPhones, and iPads in 2010.
  • Sales

volume of Macintosh computers, iPods, iPads, and iPhones in 2009.

The table below shows the percentage differences in sales volumes between the two years. Please note that figures in brackets indicate the percentage decrease from the previous year.

The company experienced a significant increase in sales during 2010. Over 3.35 million Macintosh computers were sold, which marked a 32% growth from the previous year. This positive trend is consistent with most of the company's products. In particular, the third generation category ofthe3G iPhone was launchedinthe thirdquarter,resultinginasalesvolumeofapproximately5.2millionunits.Thisrepresenteda625%unitgrowthcomparedtothepreviousyear'slaunchofthe2GiPhonein2008(Erick92).

In the third quarter of 2010, Apple experienced a major breakthrough with the launch of the iPad. The sales of iPads during this time totaled an impressive 3,270,000 units, leading to a significant increase in Mac purchases and surpassing profit projections. This success resulted in a remarkable 15% rise in profits, amounting to $4 billion US dollars (Gardiner 26).

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