The intensive growth strategies and the general policy relates to the plan of the company concerning marketing, pricing or any other form of business. As the leading company in the industry, its main approach is to stay ahead of the competition. The other strategic plan Apple company is deploying is to ensure that it commands a broader market reach. The company aims to achieve business growth and expand to the untapped area. There is a plan that the company intends to follow in to realize the full potential of these strateges. That is the reason the company continues to invest in ventures that will facilitate the desired business expansion.
Apple's Intensive Business Strategies
First of all, Apple uses the product management idea as its main intensive plan for business expansion. a product management strategy involves several strategies including product development. Apple's product development demands, the company is compelled to produce attractive products that are unique to others in the industry. The main benefit that accrues from product development is increased market share and excellent performance. Through innovation and extensive research, the company has been able to implement this broad growth strategy. Apple views innovation as the clear path to success. Products like iPhones, iPads and Apple Watch have continued to exhibit dynamic innovations with each passing release. The company intends to focus on unique Apple products that will increase profits. These innovative ideas have enabled Apple incorporation to remain top of the electronics manufacture market despite comparatively fewer sales compared to its rivals
The second most crucial intensive growth strategy for Apple is market penetration. Penetrating a market involves gaining a considerable market share by selling more of your products. Apple plans to outsell its competitors. Apple plans to sell more iPhones and IPads to its target market every year. The company will gain more revenue by having more authorized sellers in target markets. Under, market promotion, Apple has been successful in applying the use of advertising in various websites and other media outlets. This strategy agrees with the main differentiation strategy since it addresses the need for capturing a more significant market share.
To Apple, this is the least significant strategy among its strategies of business growth. this strategy is focussed on creating new markets for the products. This strategy consists of authorizing sellers in areas where the company didn't have a market before. It is due to this that the company started to venture into the production of some new products like Apple Watch. Introducing new products has enabled the company to penetrate new markets realizing various levels of success in the process.
Apple's Future Profitability and Competitive Performance
The market for the Apple's products is highly competitive and faces aggressive competition from other companies. The competitors in the market have cut the price of their devices and services have reduced prices and lowered their profit margin. These downward pressure on profit margin can adversely affect the operating and financial situation of the company. The competitive factors that are available to the company include; innovation, product features, product quality, robust third-party software and excellent service and support. According to recent research, Apple is the most profitable company in the world. The company is expected to maintain this high level in a long time to come due to the business strategies that they have put in place.
Cite this page
Apple's Generic Strategy and Growth Strategies. (2022, Jun 19). Retrieved from https://proessays.net/essays/apples-generic-strategy-and-growth-strategies
If you are the original author of this essay and no longer wish to have it published on the ProEssays website, please click below to request its removal:
- Hamilton Ponzi Scheme: Discussion of the Case
- Virgin Mobile Pricing Strategies
- HR Management Essay Example - Interview Supervisor
- Course Work on Risk Management and Organizational Change
- Paper Example on Communication During Project Management
- Paper Example on Gender and Leadership in Healthcare Administration
- Questions and Answers on Company's Strategic Management