Jaipuria Institute of

Management,
Vineet Khand, Gomti Nagar
Lucknow – 226010

Academic Year 2023-24

Batch 2022-24
Trimester IV
Programme PGDM
(PGDM / PGDM-FS / PGDM-RM)
Name of Course SMGT
Section E
Name of Faculty Prof. Urooj Ahmad

Nature of Submission Group Assignment

(Group Assignment / Group Project
Report)
Topic of Group Assignment / Group Article Presentation & report
Project

Deadline for Submission 13/09/2023

Group/ Learning Team Number LT-01
Maximum Marks Allotted
Tick on appropriate
We hereby declare that this project/assignment does not contain any AI generated
content (e.g. ChatGPT etc.)
I We hereby declare that this project/assignment has used AI generated content (e.g.
ChatGPT etc.) as supporting resource for the completion of project/assignment.
Contribution of Group/LT members in the Assignment/Project

Sl. Name & Enrollment Contribution Signature

No. Number of Student

1 Tanya Dandotiya 100%

JL22PG220

2 Tahreem Ali 100%

JL22PG219

3 Suraj Singh Bisariya 100%

JL22PG211

4 Yash Pal Singh Tomar 100%

JL22PG239

5 Nandita Jaiswal 100%

 JL22PG120

6 Harsh Vikram Singh 100%

JL22PG249

Date of receiving at PMC: Signature of PMC Staff:

Penalty [Marks to be deducted (if any)]:
THE GREATEST COMEBACK STORY OF ALL TIME: HOW APPLE WENT FROM
NEAR BANKRUPTCY TO BILLIONS IN 13 YEARS

SUMMARY OF ARTICLE
Introduction: Thirteen years ago, Apple faced bankruptcy, but it staged a historic corporate
comeback under the leadership of Steve Jobs. This article explores key milestones and
lessons from Apple's resurgence.

Jobs' Return and Microsoft Partnership (1997): Steve Jobs returned as Apple's savior in
1997, initiating a partnership with Microsoft and making tough decisions, like discontinuing
the costly Newton project. The lesson here is Jobs' willingness to make difficult choices for
the company's survival.
The iMac Revival (1998): Apple's iconic iMac, designed by Jonathan Ive, revitalized the
company with its innovative design and strong sales. Apple's return to profitability
highlighted the importance of focusing on successful product lines.
iTunes and iPod (2001): Apple introduced iTunes and the iPod in 2001, revolutionizing the
music industry and embracing the "buy and own" model over piracy. These product launches
demonstrated Apple's ability to dominate diverse markets beyond computers.
Apple Stores (2001): Apple's retail stores provided a unique consumer experience and gave
products the spotlight they deserved, solving a distribution problem. The stores' success
marked the importance of creating immersive brand experiences.
Expanding Product Line (2003-2004): Apple diversified its product portfolio with the
introduction of the iPod Mini and expanded into smaller markets with mini stores. This
lesson emphasizes simplicity and identity in product design.
Transition to Intel Chips (2005): Apple's transition to Intel processors in 2005 showed its
commitment to continuous improvement and faster systems.
Market Capitalization Surpassing Dell (2006): Apple's soaring stock prices and market cap
demonstrated the value of selling dreams and innovative products that customers didn't even
know they wanted.
iPhone and Beyond (2007): Apple's change to Apple Inc., the introduction of the iPhone,
and Apple TV in 2007 signaled the company's transformation into a multifaceted tech giant.
The lesson is relentless innovation and thinking differently.
Touch Technology and App Store (2008): Apple's introduction of multi-touch technology
and the App Store for iPhone and iPod Touch showcased its talent for connecting separate
products and creating ecosystems.
Jobs' Health Challenges (2009): Despite Steve Jobs' health struggles, Apple thrived,
highlighting the importance of trust in a capable team.
iPad and iPhone 4 (2010): Apple's launch of the iPad and iPhone 4 in 2010 demonstrated
that innovation doesn't always require customer opinions. Apple's deep understanding of its
customers allowed it to develop products ahead of demand.
In summary, Apple's incredible comeback was marked by bold decisions, innovative
products, immersive retail experiences, and a relentless focus on customer needs. Steve Jobs'
leadership and the company's ability to adapt and innovate were at the core of its resurgence,
providing valuable lessons for businesses in any industry.
Article link- https://www.businessinsider.com/apple-comeback-story-2010-10?IR=T
APPLE'S STRATEGIC MANAGEMENT FRAMEWORK: A TRANSFORMATION
UNDER STEVE JOBS
Apple's strategic management was a masterclass in innovation, design excellence, and
creating a seamless user experience. Under Steve Jobs' visionary leadership, the company
adopted a product-centric approach, prioritizing the development of groundbreaking
technologies and a culture that celebrated thinking differently.

1. Simplification and Focus: Apple's strategic shift began with simplification. It reduced the
complexity of its product lines, focusing on a core set of offerings. This involved shelving
redundant projects and honing in on key areas like personal computers.
2. Innovation and Product Development: The cornerstone of Apple's strategy was
innovation. Steve Jobs instilled a culture of creativity, pushing for products that were not just
functional but also aesthetically pleasing and user-friendly. Innovation became synonymous
with Apple's identity.
3. User-Centered Design: User experience and design took center stage. Apple's strategy
aimed to create products that were intuitive and accessible, making technology more
approachable. The "Think Different" campaign embodied this ethos.
4. Vertical Integration: Apple strategically embraced vertical integration, controlling
hardware and software. This approach ensured tighter integration, elevating the user
experience and product quality.
5. Branding and Marketing: Branding and marketing were pivotal. Apple positioned itself
as a premium, innovative brand, justifying its premium pricing. Campaigns like "Get a Mac"
highlighted Apple's superiority.
6. Partnerships and Alliances: Strategic alliances expanded Apple's ecosystem.
Collaborations with software developers enriched the range of applications available for Mac
computers.
7. International Expansion: Recognizing the global potential, Apple expanded
internationally. Retail stores were central to this strategy, establishing a global presence.
8. Financial Prudence: Financial discipline and cost control were crucial. Apple managed its
supply chain efficiently, ensuring financial stability and profitability.
9. Innovation Pipeline: A robust innovation pipeline was integral. Apple is committed to
research and development to maintain a steady flow of groundbreaking products.
10. Customer Loyalty and Ecosystem Building: Apple aimed to foster customer loyalty
through a seamless product ecosystem. Once users were ensconced in the Apple ecosystem,
they were more likely to remain loyal.
11. Risk-Taking and Bold Decisions: Bold decisions were paramount, often defying
industry norms. Steve Jobs' willingness to take risks was a cornerstone of Apple's strategy.
In summary, Apple's strategic management framework during Steve Jobs' return was a
testament to innovation, design, user-centricity, branding, and ecosystem building. This
framework, spearheaded by Jobs, not only revived the company but also positioned it for
unprecedented success. Apple's relentless pursuit of excellence and its willingness to
challenge conventions have left an indelible mark on the tech industry.
MACRO ENVIRONMENT PESTDN ANALYSIS

Political
1. Concerned about Microsoft's monopoly dominance in the tech industry, the US
government filed an antitrust suit against the company. This allowed Apple to form a
partnership with Microsoft and obtain access to its resources.
2. In addition, the United States government passed the Digital Millennium Copyright Act
(DMCA), which made circumventing copyright protection measures unlawful. This
enabled Apple to safeguard its intellectual property, including the iTunes Store.
Economical
1. In the late 1990s and early 2000s, the global economy was expanding, creating favorable
conditions for businesses.
2. The expansion of the Internet has also created new business opportunities, such as Apple's
iTunes Store.
Social
1. Apple was able to meet the expanding demand for stylish and user-friendly technology
products with its iMac and iPod products.
2. This generation was more likely to be early adopters of new technology, which created
new opportunities for Apple.
Technological
1. New technologies, such as the internet and MP3 devices, created new opportunities for
companies such as Apple.
2. Apple was also capable of innovation and the development of its own new technologies,
including the iPhone and iPad.
Demographical
1. The global population increase created new business opportunities.
2. The aging population in developed nations has also created new business opportunities,
such as for Apple's health products.
Natural
1. During this time period, there were no notable natural disasters or other environmental
events that had a significant impact on Apple.
SWOT ANALYSIS
STRENGTHS
 Apple is a well-known and well-respected brand, and it has a high brand value. The
business has a long history of innovation and superior design, which has helped it develop
a devoted following of clients.

 High-quality products with a focus on design and simplicity: Apple products are known
for their sleek and elegant appearance, and they are often very easy to use. This makes
them appealing to a wide range of consumers, from tech-savvy users to those who are not
as familiar with technology.

 Innovative products that are often ahead of the curve: Apple has a long history of
developing products that are ahead of the curve, such as the iPod, iPhone, and iPad. This
has helped Apple to stay ahead of its competitors.

WEAKNESSES
 High cost: Apple products are frequently criticized for being overpriced. This may reduce
certain customers' attraction, particularly budget-conscious ones.

 Some goods are perceived as being overly complicated or challenging to use: The Mac
Pro and the Apple Watch are two examples of Apple goods that are criticized for being
overly complicated or challenging to use. For some customers, especially those who are
not tech-savvy, this may be a barrier to admission.

 Dependence on a small number of crucial markets and products: Apple's company is

mostly dependent on a small number of crucial goods, including the iPhone and the iPad.
The company's revenue might suffer significantly if something happened to these
products.
OPPORTUNITIES
 Apple may diversify its business by entering new markets like China and India. There is a
sizable potential customer base for Apple products in these markets, which are expanding
quickly.

 Creating new goods and services: Apple may create new vehicles and accessories, such as
augmented reality goggles and self-driving vehicles. These goods could bring in
additional cash for the business and keep it one step ahead of its rivals.
 Apple may decide to purchase additional businesses in order to diversify its product line.
This can aid the business in expanding into new markets and creating fresh goods and
services.

 Increasing its retail footprint: Apple might increase its retail footprint by opening new
outlets in other nations. This would enable the business to access a larger market and
boost sales.

THREATS
 Competition from other tech firms: Google and Samsung are two of the other tech firms
that Apple must contend with. Additionally, these businesses are creating new goods and
services and investing in innovation.

 Consumer preference changes: Consumer tastes can alter over time. If Apple does not
adapt to these changes, its rivals may gain market share.

 Economic slowdown: Apple's sales could be harmed by a downturn in the economy. This
is because, during a recession, customers are less likely to spend money on luxury items.

 Technological developments that render Apple's products outdated: Apple's products can
become obsolete due to technological advancements. The business must therefore keep
coming up with fresh ideas and goods.
Overall, Apple is a strong company with a bright future. However, it faces some challenges
that it will need to overcome in order to maintain its success. The company needs to continue
to innovate and develop new products and services that appeal to consumers. It also needs to
be prepared to adapt to changes in the market and the regulatory environment.

PORTER'S 5 FORCES ON APPLE

Apple's position in the technology sector is subject to the influence of various marketplace
forces, with industry competition and the bargaining power of buyers emerging as the most
potent factors impacting its profitability. While the bargaining power of suppliers, the threat
of substitute products, and the potential for new entrants exist, they are comparatively weaker
in their effects.
1.) Industry Competition:
The technology sector is fiercely competitive, with major players like Google, HP, Samsung,
and Amazon vying for dominance alongside Apple. These companies allocate significant
resources to research, development, and marketing, intensifying competition. Importantly, the
low switching cost for consumers to switch between brands underscores the strength of this
competitive force. To counter this, Apple continuously innovates, introducing unique
products like AirPods and the Apple Watch to solidify its market share.
2.) Bargaining Power of Buyers:
The ease of switching from Apple products to alternatives enhances the bargaining power of
buyers. While individual customers possess limited bargaining power, collectively, they can
influence market dynamics significantly. Apple mitigates this risk by investing heavily in
R&D to develop novel products and cultivate strong brand loyalty. Consequently, it has
fostered a large, loyal customer base that remains loyal to its iPhones, reducing the likelihood
of mass defections.
3.) Threat of New Entrants:
The threat of new entrants disrupting Apple's market share is low due to substantial barriers.
Establishing a tech company requires enormous capital for R&D, manufacturing, and brand
recognition. The existing intense competition between well-established firms like Apple,
Google, and Amazon further discourages newcomers. While it's possible for a well-funded
entity to challenge Apple in the future, the immediate likelihood remains remote. Apple must
continue strengthening its competitive edge through innovation and brand loyalty.
4.) Bargaining Power of Suppliers:
Suppliers' bargaining power in Apple's market is weak. Apple can choose from numerous
potential suppliers, benefiting from a plentiful supply. The competitive nature of the
suppliers' industries, such as computer processor manufacturing, further weakens their
bargaining position. Switching suppliers is relatively uncomplicated, and given Apple's
significance as a customer, suppliers are hesitant to risk losing their business. This reinforces
Apple's negotiation power while diminishing that of its suppliers.
5.) Threat of Buyers Opting for Substitute Products:
Substitute products pose a relatively low threat to Apple. These are not direct competitors but
alternatives to Apple's offerings. For instance, a landline telephone can be seen as a substitute
for an iPhone, but it lacks the diverse capabilities of the latter. Apple's products typically
outshine substitutes in terms of functionality, reducing the appeal of alternative options.
In conclusion, Apple's profitability hinges on its ability to navigate these Five Forces
effectively. It must continue innovating, fostering customer loyalty, and maintaining its strong
brand presence to remain a dominant force in the competitive technology sector.

COMPETITOR ANALYSIS
Apple engaged in dynamic competition through continuous innovation and strategic product
launches. The company's secrecy around new product development and its ability to create
"must-have" devices contributed to its competitive advantage. Competitor analysis involved
monitoring the strategies and product offerings of key rivals, particularly in the smartphone
and tablet markets.
Apple faces stiff competition from prominent rivals in the technology and consumer
electronics sector. Key competitors include Samsung, Google, Amazon, Microsoft, Huawei,
Xiaomi, Sony, Dell, Lenovo, OnePlus, and ASUS. Samsung and Apple fiercely compete in
the smartphone market, while Google challenges Apple in software and services. Amazon and
Microsoft contend with Apple in various segments, including smart speakers, tablets, and
personal computers. Chinese companies Huawei and Xiaomi compete vigorously, particularly
in the smartphone arena. Sony, OnePlus, and ASUS are formidable competitors in different
product categories. Apple's strength lies in its brand loyalty, product ecosystem, and premium
quality. It maintains a strong global presence through innovation and marketing.
VRIO FRAMEWORK
Apple's Partnership with Microsoft (1997):
 Value: The partnership with Microsoft brought in $150 million in investment and helped
Apple recover from financial losses.
 Rarity: Such partnerships were rare in the industry, and this collaboration was unique.
 Inimitability: While partnerships can be imitated, the specific terms and conditions were
not easy to replicate.
 Organization: Apple effectively managed this partnership under Steve Jobs' leadership.
 VRIO Conclusion: This partnership provided Apple with a temporary competitive
advantage due to its uniqueness and ability to exploit Microsoft's resources.

iMac Introduction (1998):

 Value: The iMac's unique design and sales success contributed to Apple's profitability.
 Rarity: The design was unique and differentiated from other products in the market.
 Inimitability: Apple's design and innovation capabilities were not easily replicated.
 Organization: Apple effectively marketed and managed the iMac.
 VRIO Conclusion: The iMac design and success provided Apple with a sustained
competitive advantage.

iTunes and iPod (2001):

 Value: The introduction of iTunes and the iPod revolutionized the music industry and
created a strong ecosystem.
 Rarity: At the time, this combination of hardware and software was unique.
 Inimitability: Apple's seamless integration of hardware and software was difficult to
replicate.
 Organization: Apple effectively marketed and managed its music ecosystem.
 VRIO Conclusion: iTunes and iPod created a sustainable competitive advantage through
a unique ecosystem.

iPhone (2007):
 Value: The iPhone revolutionized the mobile industry and created a new category of
smartphones.
 Rarity: The iPhone was a revolutionary product.
 Inimitability: Apple's design and innovation capabilities were unmatched.
 Organization: Apple effectively launched and managed the iPhone.
 VRIO Conclusion: The iPhone provided a sustained competitive advantage due to its
revolutionary nature and Apple's unique capabilities.

App Store (2008):

 Value: The App Store enhanced the iPhone and created a new revenue stream.
 Rarity: The App Store was unique and well-integrated.
 Inimitability: Creating a successful app ecosystem was challenging.
 Organization: Apple effectively managed the App Store.
 VRIO Conclusion: The App Store created a sustainable competitive advantage by
enhancing the iPhone ecosystem.

VALUE CHAIN ANALYSIS

 Inbound Logistics: Apple's supply chain management ensures timely delivery of
components, contributing to product quality and innovation.

 Operations: Apple's manufacturing processes are efficient, and its design and
engineering teams create innovative products.

 Outbound Logistics: Apple's retail stores and online sales provide excellent customer
access and service.

 Marketing and Sales: Apple's marketing strategies, product launches, and brand image
contribute significantly to its success.

 Service: Apple's customer service and support reinforce customer loyalty.

RED & BLUE OCEAN STRATEGY