Questions and Answers Essay on Apple's Problems

Describe Apple's problems.

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Apple Inc. business has shown a decline after being termed as the 1st trillion-dollar American company mainly because of the decline of its iPhone shipment which is the core product of Apple's business. Apple's company critical business lies on its iPhone product which peaked at its shipment some years back, and since then it has shown a trail down (Mickle, 2019). How has Apple Inc. managed to stay in the top of the smartphone market and make money given its declination in iPhone shipment? Over-reliance on the sales of iPhone (price inflation)

Another problem that Apple is facing is the lack of innovation in its iPhone product, yet its price tag continues to increase.

And also, the slight decline in the smartphone market which is expected to decline more as the market is matured thus posing major issue to Apple Inc.

What steps is the company taking to maintain growth? What are some of the challenges and risks associated with those steps?

One of the steps taken by the company in maintaining growth is the restructuring of its leadership and rearranging company's priorities across its other services, hardware, artificial intelligence, and retail divisions to reduce its reliance on the sales of iPhone. The challenges and risk associated with the leadership shaking up are that various Apple's projects have been put on hold as the new leaders are given an opportunity to see the light of the new priorities from the people familiar with the matter (Mickle, 2019).

It is redirecting focus from its core product, iPhone to other company services where growth flows.

Trimming of staffers, for example, the trim of 200 staffers from the project of autonomous-vehicle and redirecting the resources (engineering) to its services business (Mickle, 2019)

Why would change require shaking up management and the organization? Why can that be difficult?

The main reasons of shaking up management and the organization vary from one division to another but wholly for Apple Inc. is to show a transition of efforts from its core product (iPhone) to services and transformative technologies here growth flows. The changing of management and organizational culture can be difficult because the culture consists of an interlocking set of roles, goals, communication practices, processes, assumptions, and values thus a lot o readjustment time is needed.

Assess the issues a company like Apple has to consider and resolve when it decides to make changes to its business model and organization.

To effectively manage the changing of its business model and organization, Apple Inc. has to take into consideration the following factors;

Defining change and its alignment to the company business goals

Determining the impacts of the change and those affected

Development of a communication strategy within the organization about the change

Measuring the change process.

Apple invented the iPhone, but it is not working on projects for services and products with rivals. How does this change a company's strategy?

iPhone failure to meet all the company objectified goals changes the company's strategy entirely mainly because it is its core product and overreliance on the product open more ways of diminishing the company marketing strategy and more importantly affects its top competitive advantage in the tech industry. Thus, the implementation of new ideas of how to remain on top is necessitated (changing the company's strategy). In this case for Apple Inc., its shifting focus from iPhone to other company services (Mickle, 2019).

References

Mickle, T. (2019). Apple's Executive Shake-Up Readies Company for Life After iPhone. Retrieved from; https://www.wsj.com/articles/apple-executive-shake-up-readies-it-for-life-after-iphone-11550503767.