Impact of Strategy on Successful Innovation

A brief description of your chosen business, including the organization’s name, mission, and vision
Apple Incorporated is a US multinational company which designs and makes computer software and consumer electronics. Its most popular hardware products are the iPod, the iPhone and its Macintosh computers. Software developed by the company include its operating system, ‘Mac OS X’, ‘iLife’ creativity and multimedia software suite, ‘iWork’ productivity software suite, ‘iTunes’ media browser, ‘Logic Studio’ audio tools suite, and the ‘Final Cut Studio’ film-industry software and professional audio suite. Further, Apple runs over 250 retail outlets in a total of 9 nations, together with a web-based store that sells its software and hardware offerings (Mirabal et al, 2007).
With time, the company’s organizational mission has undergone a change. The company designs the world’s best PCs, its Macs, together with its operating systems and various professional software solutions. It is the industry leader in the area of digital music with its iTunes store and iPods. Its App store and innovative iPhone have reinvented cellphones, and its iPad plays a pivotal role in defining computing devices’ and mobile media’s future (Mirabal et al, 2007).
Apple’s vision statement may be summed up as follows. The company believes it exists for making great products simply, not complicatedly. It concentrates continually on innovation and believes in the need to control and retain ownership of primary technologies underlying its products, besides only participating in those markets in which it is able to contribute significantly. The company rejects many projects in order to concentrate exclusively on those which are of genuine value and significance to it. It believes in cross-pollination and close collaborations that facilitate innovation in ways other companies can’t conceive of. Also, the company doesn’t compromise on excellence, honestly accepts its mistakes, and has the mettle to effect change. Lastly, irrespective of employees’ positions in the company, the above vision is so deeply imbedded among them that it aids the company in performing exceedingly well (Mirabal et al, 2007).
How did the company capitalize on the value of the business strategy process?
The business strategy of the company may be described as functionality and design focused product differentiation. Its business strategy involves the development and expansion of its online and physical stores and third-party network of distribution for successfully reaching more clients and offering them more superior-quality purchase and post-purchase support experiences. Apple continually expands its platform for discovering and delivering third-party apps and digital content via its iTunes Store. Thus, rigorous global market expansion constitutes another key element of the business strategy of the company (Dudovskiy, 2018).
Lastly, the company’s business strategy integrates vertical integration, in the sense that Apple has superior expertise in the areas of hardware, software, and services, simultaneously. This aspect is a key contributor setting Apple apart from its rivals and the organization has been greatly benefiting from it. In particular, a key source of the company’s competitive edge is associated with its ecosystem, facilitated by this integration (Dudovskiy, 2018).
How might you utilize business strategy to further innovation within this organization?
As part of its organizational strategy, the company has adapted the more developed capabilities and features of its services and products as the foundation of its edge over rivals. Major Apple innovations include 1) the first-of-its-kind iPad, capable of storing several thousand songs and enabled with the feature of simple shuffling through songs; 2) iMac, which pulled the PC design rulebook apart and replaced beige boxes with translucent, fun, machines in cool shades like “Bondi Blue”; and 3) Macintosh, the world’s first GUI (graphical user interface) - employing computer (Dudovskiy, 2018).
What data would you leverage within a business strategy?
The Apple business approach leverages its distinctive capability of designing and developing its own application software, hardware, operating systems, and services for providing clients with novel solutions and products characterized by smooth integration, innovative design and user-friendliness. It is Apple’s view that ongoing R&D, advertising and marketing investments prove crucial to the creation and trade of innovative technologies and products. Under its business strategy, Apple continually expands its platform for discovering and delivering third-party apps and digital content via its iTunes Store. Further, its iBook and App Stores permit online buyers to find and download books and apps using a Windows or Mac PC, iPod touch, iPhone, and iPad (Davis & White, 2015).
What approaches would you recommend for this business seeking to enhance strategic innovation?
The company’s actions and commitments ought to be coordinated and integrated for making the most of its key competencies, ensuring value maximization, and reinforcing its competitive edge. An analysis of the company’s strategy indicates that for attaining strategic success, Apple needs to be necessarily and zealously protective of its brand image, in addition to making adequate investments in the areas where it enjoys a competitive edge, namely, marketing and innovation (Johnson et al, 2012). A few recommendations for accomplishing the above are as follows:
Research and Development: Continuous R&D investments can help the company remain ahead of competition and emerge as innovator of ground-breaking technologies and products. Apple’s ‘blue ocean’ approach ensures its future depends, to a great degree, on its capacity of constantly improving on its technology and products. Miscalculations or failures when it comes to producing commercially successful innovations and making a market entry as first-mover ought not to deter the company; rather, it ought to shift focus to expanding its current range of products and its intellectual property via licensing, joint development ventures, or acquiring technologies or companies (Johnson et al, 2012).
Product Line Diversification: Expanding extant products/ services in every area including computer peripherals and hardware, cellphones, consumer electronics, systems software, apps, Internet solutions and services, and communications and networking solutions and software, will maximize product life and value (Johnson et al, 2012).
Target Market: Additionally, the company must define its client base in a broader and profounder way to better reach them. Expansion of its distribution network for better reaching its target clients and offer them superior purchase and post-purchase support experiences will improve market penetration. The forging of unbreakable, long-term customer bonds using Silver and Gold memberships and similar strategies will help gain long-term client loyalty as well as perpetuate the company’s dedicated client base. Apple’s retail outlets’ success offers it a unique chance to understand buyer demands and requirements, besides offering a forum to generate attention and float ideas (Johnson et al, 2012).
Global development: Globally, the company has established itself successfully as an international player. With expansion into different areas across the globe, Apple ought to make tremendous efforts in the area of studying buyer preferences in those areas, for ensuring their marketing efforts and service offerings are targeted and adjusted to deal with the needs specific to these areas (Johnson et al, 2012).
Management team: The Company ought to develop a competent executive team and have in place a succession plan for decreasing over-reliance on one person for advancing corporate interests. Steve Jobs’ legend is currently Apple’s greatest challenge. Though the company has enjoyed increased market share and sales volume, people still raise the question of how much of its latest financial successes may be ascribed to Tim Cook’s efforts and skills, and to what extent Jobs’ legacy contributes to it (Johnson et al, 2012).









References
Davis, G., & White, C. (2015). Changing Your Company from the Inside Out: A Guide for Social Intrapreneurs.
Dudovskiy, J. (2018, January 26). Apple Business Strategy - Product Differentiation in Design and Functionality. Retrieved September 5, 2018, from https://research-methodology.net/apple-business-strategy/
Johnson, K., Li, Y., Phan, H., Singer, J., & Trinh, H. (2012). The Innovative Success that is Apple, Inc.
Mirabal, S. A., Ramirez, E., Schofield, R., & Jones, J. (2007, October 06). Introduction to Apple Inc. Retrieved September 5, 2018, from http://apple1inc.blogspot.com/2009/09/introduction.html