Apple Innovation at Apple Inc. Apple Inc.

Apple Innovation Innovation at Apple Inc. Apple Inc. is widely regarded today as an innovator in both the computing and digital media fields with its research and development efforts rippling across all dimensions of the private sector. As the discussion below will demonstrate, Apple's success can largely be traced to the internal sourcing of its research and development department and further can be connected to the orientation of Apple's visionary CEO, Steve Jobs. Still, this internally driven innovation has benefited from some outside influence.

The text by Croslin (2011) demonstrates the manner in which innovation can be fed both by External forces and Internal features. Proceeding from interviews with Steve Jobs and others at Apple, the text by Croslin tells the narrative of Jobs and Apple in a way that demonstrates both the primacy of the CEO's vision and the centrality of experiences Jobs had with forces external to his company. Croslin notes that "in 1979, Jobs saw an early and crude graphical user interface being demonstrated at the Xerox research facility in Palo Alto, California.

He knew immediately that the technology would make computers appealing to 'everyday people.' That technology eventually became The Macintosh, which changed everything about the way we interact with computers. Xerox scientists didn't realize its potential because their 'vision' was limited to making new copiers." (Croslin, p.

1) An article from 2004 underscores the basic realities at Apple as it contrasts many other computing companies, indicating that in the years of budgetary crisis experienced by companies during the unfolding recession, Apple's unwillingness to sacrifice a dynamic R&D department has proved a financial boon. As VOI (2004) reports, "by combining technical knowhow with a new concept for how to sell music online, Apple's iPod music player has become the most influential new tech product in years.

At the same time, Apple has maintained its reputation for making the most elegant, easy-to-use desktop computers as well." (VOI, 1) This describes the core of innovation, denoting a willingness to perfect existing technologies while imaging new and exciting uses for them.

The iPod would segue into the iPhone and the iPad, proving not just that Apple could adapt external developments such as the advent of the compressed digital music file known as the MP3 in order to spearhead new markets but that it could sustain its grip on these markets by continuing to forge ahead. Dalal (2011) reports that this has not simply made Apple into a darling of technophiles and affluent consumers. Instead, it has rendered Apple an absolute powerhouse in its field and beyond.

As an investment property, Apple remains even at this advanced stage in its life-cycle to be a worthy buy. According to Dalal, "Apple is set to announce record quarterly earnings this month on the heels of the hot launch of the iPad 2 and iPhone 4 on Verizon. The average quarterly estimate is $5.33 EPS on $23.18 billion of quarterly sales - a spectacular growth of 60.10% in earnings, and 71.70% in sales. Compare this to the quarterly earnings growth of 20.80% for the average S&P 500 company.

Thus, Apple earnings growth is poised to be more than three times that of the average S&P.