Cook stepped in as the CEO of Apple following the sudden death of Steve Jobs who was also a co-founder of the company. Cook was significantly involved in the transformation of the company. He was introduced in the company as a procurement and sales manager to try and fix the department which was underperforming. At the time, the supply chain was in a total mess compared to Apple's competitors, Dell. Therefore, Cook was required to revive the already struggling department and bring it back to life. Realizing that the supply chain was too slow and complicated, he decided to slash down the number of suppliers from 100 up to 24 and also reduced the number of warehouses from 19 to 9.Cook also had a hard time in managing the inventory of the organization which was unpromising at the time. He also cut down the production process of the computers. All of this was aimed at reducing the cost of production and also ensure that the computers had the latest features available.
Cook took over a company that was already well established under Jobs, who indeed saved the company from the brink of extinction. Hence, Cook had to work hard to maintain the company's successful growth pattern thus, a lot was expected of him. In an effort to ensure that the company still remained the world's most valuable company, Cook played a major role in the invention of new products such as the iPhone 8, and 8 Plus, iPhone X as well as Apple TV. All these increased the total net sales of the organization both domestically and internationally. Some of his new products are however yet to attract massive revenues and profits such as the new apple watch. It, therefore, implies that he has to develop a proper strategy to promote the sales of the product.
The organization has mainly been following the broad differentiation strategy which differentiates Apple and its products from its competitors such as Amazon, Samsung, Dell, Microsoft, and Google. Apple attempts to capture its customer demand by being different and innovative which entails making its products unique and attractive to its consumers ( Hettiarachchi ) Apple aims at being unique in every aspect through the innovation of products that are specially designed and are user- friendly. The company is able to attract more customers not only through the prices of its products but also ensuring that it remains competitive by means of product design. To maintain this competitive advantage the organization engages in a lot of innovation which is in turn facilitated by massive investment in research and development which is a key strategy that Cook mainly explores. Under Cook, the company is continually able to come up with more innovative products thus being able to maintain business growth. These products are designed for everyone ensuring that the company has a broad market reach globally.
Product development is key to maintaining Apple's growth. The company has made significant achievements since the invention of its first personal computer, Apple 1. Hence, the company continues to design more attractive and revenue-oriented technological products. It is achieved through continued innovation. Through the sale of these products, the company generates more revenue. Such innovative products include new iPhone models which indeed maximize business growth.
Apple also uses a market development strategy whereby it introduces its technological products into new markets where it is not yet established. The company has been able to expand and sell its products in India and other countries. Such a strategy ensures that the demand for its products does not stagnate at any one point. By moving beyond its key markets of the USA, Europe, and China, the company has made its existence felt around the world.
The organization also highly values the aspect of market penetration as a means of ensuring continued growth. It does this by selling its already produced products in its current markets mainly around the USA and Europe. It is a strategy that ensures that it gets a larger market share. The company implements this strategy by making iPhones available for purchase in various platforms such as Apple stores, and telecommunications companies such as Vodafone, and BT. It uses its own website to penetrate even deeper into its markets. Such advertisements encourage more people to purchase the products.
There exists a clear opportunity for the company to increase its distribution network. An expanded distribution network will enable Apple to reach out to many more consumers of its products. Expanded distribution network encourages brand building as more customers are more aware of the product at hand. Furthermore, the company has the opportunity to explore new product lines. It has seen major transformation through its current product line but through persistent efforts in innovation, it can develop more attractive products beyond the Apple watch. This will highly enhance market growth beyond its current markets. The company can also opt to upgrade some of its existing products so as to make sure they are more effective and ensure that the consumer needs are fully satisfied. All this will not only increase the revenues for the company but also increase its market share.
The technological company should now focus on developing a new model of an iPhone that is characterized by a long battery life compared to the current one. It should also work on inventing new means of charging devices. A means that is wireless. A wireless charging system will reduce the bulkiness associated with carrying chargers everywhere. The company should also aim at lowering the prices of its major products in the future. This will make these products more available to the low-income class thus ensuring the full transition from the analogue era to the digital era. It is also important that the company establishes more warehouses across the different continents so that it can easily reach out to many more individuals who are not aware of its products. Tim Cook should also look for means to venture into the car business to promote business growth. It will serve as a means of diversifying the company's products.
Hettiarachchi, H. A. H. Apple's Supply Chain Strategy. Retrieved from https://www.researchgate.net/profile/Hettiarachchi_Hah/publication/313240886_Apple's_Supply_Chain_Strategy/links/58937298a6fdcc45530c2b13/Apples-Supply-Chain-Strategy.pdf
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Essay Example on Apple's Revival: The Making of Tim Cook as CEO. (2023, Mar 26). Retrieved from https://proessays.net/essays/essay-example-on-apples-revival-the-making-of-tim-cook-as-ceo
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