Fluent Essays

For our “Final Paper” we need to write an abstract for our paper (it does not need to be long — just an “overview” on our overall paper) I was wondering if you would be open to writing it since others have completed a lot already and I need to split up the work — Let me know :) 2 An Overview of Apple Inc. Emily Kern, Ziyad Alsenaidi, Julia Mitchell, Olivia Ballard, Trinity Hartley Cedar Crest College BUA 202 00 2 / BUA 202 66 2 Dr. Zalot 10, October 2021 Abstract Table of Contents Company History 4 Size, Industry, and Market Share 5 Key Products and Offerings 6 Key Competitors 8 Customer Profile 9 Company History Apple Inc, formally known as Apple Computers, was founded on April 1, 1976, by Steve Jobs and Steve Wozniak. Their original goal was to design a new type of computer that is smaller and more personalized to fit the users needs. The start of Apple began in a garage, where both Jobs and Wozniak created the first Apple computer, named Apple 1. Initially, the Apple 1 did not include a monitor or keyboard and was estimated to cost around $666.66. The Apple 1 computer did not excel as well it hoped to, since there was already competition in the technology industry. It was not until 1977 where the Apple 2 transformed the computer industry. The Apple 2 design included colored graphics, which have never been seen before at that time. This device retailed about $4,000. Sales from the Apple 2 skyrocketed to about $117 million, and this achievement is what truly made Apple popular. Throughout the 1980s and 1990s, Apple’s sales began to increase with the introduction to new model designs like the Macintosh 128K. This computer is initially known as the first “Mac” computer that included a keyboard, a monitor, and a mouse. With the departure of Wozniak in 1983, Jobs continued to support his company until 1985 where he also decided to leave. According to Angelique Robinson from Library of Congress, “Jobs left in 1985 and went on to new and bigger things. He founded his own company named NeXT Software and also bought Pixar from George Lucas,”. Jobs helped lead to the creation of Pixar movies, like Toy Story and Finding Nemo. Steve Jobs then later returned to Apple in 1997 to continue renovating Apple products. It was not until 2007 when Apple first introduced a touch screen phone. This revolutionary aspect led to a whole production of smart phones, and even towards tablets and smart watches. Today there are a variety of different Apple devices including the Apple I-Pods, Apple Pen, Apple Pay Card, and Apple Air Tag. Despite Steve Job’s death on October 5, 2011, Apple continues to live through his legacy by innovating Apple products. Size, Industry, and Market Share Apple Company Abstract Apple Company being the largest technology company in the world in terms of revenue means that the company raises more revenue than any other company in terms of shares. The specialization of the company in different product lines has attributed to the success of the company. Size The Apple Company is a Multinational American technology company, whose specialization is on consumer electronics, online services and computer software such as the Mac OS software. It is the largest technology company in the world in terms of revenue generated. And in the year 2021, it was named the most valuable company in the world. Its stock price is $148.97 as of December 10th 2021 (Antimonova et al., 2019). The number of employees of the company was 147000 people as of the year ended 2020. The company generated revenue of $274.515 billion in the year ended 31st December 2020. It is the fourth largest vendor of PC globally as of the year 2021. It is also the fourth largest smart phone manufacturer. It is one of the six American companies that deal with information technology. Industry Apple Company operates in different specializations. The company is in the computer hardware and software specialization, cloud computing specialization and global digital distribution. The company also specializes in fabless silicon designs, Semiconductors Media Retail Financial technology and Artificial intelligence. Market share The market share for the apple company has been fell in the year 2018 and 2019 but currently, the company is regaining its market share through an increase in the sales of smartphones. The market share of apple was 49\% by the last quarter of the year 2019. By 2021, the share was 14\% over the past four quarters due to the surge in smartphone market over the corona virus hit market quarters. Key Products and Offerings Comment by Julia Mitchell: I formatted the titles of mine and Trinitys sections as headers so I could make the table of contents. I chose header 3 and then manually changed the text to times new roman, text size to 12, and text color back to black to match the rest of the text. So, when adding the other sections, just choose header 3 and then manually change the text to appear the same as the others. Comment by Emily Kern: Hi Julia! Thank you so much for making these changes! Apple Inc. provides an abundance of technology based products and services. Some of the more obvious products are the iPhone, iPad, and MacBook but, Apple also offers wearable products, that improve your experience on these aforementioned devices, and services that you may choose to use on them. The iPhone is Apple’s most popular and biggest selling device. As of May 28, 2021, it was estimated that about 1 billion people worldwide use Apple iPhones (iPhone users and Sales Stats for 2021, 2021). The iPhone is Apple’s version of a smartphone, which has gotten several upgrades throughout the years as technology has advanced. Apple hosts an event to announce the new series of iPhones once a year every September since 2011, and since 2020 twice a year in the fall and spring (Visualizing Apple Product Release Patterns, 2021). Apple has had a total of 12 series of the iPhone released, which include 29 different iPhone models (The Evolution of the iPhone: Every Model from 2007–2020, 2021). In addition to smartphones, Apple also produces iPads and computers, which they have designated as Macs or MacBooks (Apple Mac, n.d.). Throughout the history of the company, there has been 27 different models of the iPad, usually released once a year in March (Blake, 2021). Also, there are many different models of the Mac or MacBook, released once a year (Visualizing Apple Product Release Patterns, 2021). Apple also creates a variety of wearable technology, including Apple watches and AirPods. Apple watches became an accessory to iPhones in April 2015 when they were released as a smart watch that the consumer could use in conjunction with an iPhone to check messages, play games, or use as a fitness tracker (A timeline: A brief history of Apple Watch, n.d.). Today, Apple watches are also made to replace an iPhone with their own cellular plan if desired. The first version of Apple AirPods was originally released on September 7, 2016, and were the first wireless earbuds ever produced by Apple (Apple Inc., 2016). The second AirPod model was released in March 2019 and sported new rubber earbud tips and an in-ear listening experience with noise canceling technology (AirPods, 2021). Furthermore, Apple provides several online services, such as Apple TV, Apple Music, Apple Care, iCloud, App Store, and iTunes Store, that elevate the experience of owning one of Apple’s devices (Apple (AAPL), 2021). The App Store and iTunes Store gives consumers an opportunity to customize their experience with Apple products. They can download applications for games, streaming services, music, and more. Apple also offers subscription services for television, movies, and music called Apple TV and Apple Music. They also produce some Apple TV exclusive television shows and movies. To store all of this entertainment and information, Apple provides a subscription storage service called iCloud. iCloud works to free up space on the consumer’s device by backing up photos, videos, and text messages. Finally, to protect the iPhone, iPad, Macs, or MacBooks, Apple offers an insurance plan for the devices, called Apple Care. By purchasing Apple Care, the consumer can confidently use their devices anywhere without worry. To conclude, Apple Inc. has produced several technology devices throughout the history of the company including the iPhone, iPad, Mac, MacBook, Apple Watch, and Air pods, as well as services, including Apple TV and Music, App and iTunes stores, Apple Care, and iCloud storage, which has made them very popular and brought them a huge customer base. Key Competitors Apple has three main competitors in the world of technology. These three competitors are Samsung, Dell, & Microsoft. Although Apple is at the top compared to its three competitors, there are still some aspects of each that people may like or dislike more. These reasons could range from price, quality, product offerings, etc. Apple is mainly a manufacturer for smartphones, tablets, computers, accessories, and different services. Microsoft, Dell, and Samsung produce almost the same products and services. Although, what sets these four different companies apart is the range in price, quality, and services. Apple has the most product and services options out of the four. Its services range from AppleCare, Cloud services, digital content, and payment services. Apple has a much larger range of products and services compared to Samsung. Although Samsung does have some products that Apple does not have. For example Samsung offers refrigerators, washing machines, air conditioners, & speakers while Apple does not. Because Samsung has such different products, the market between Apple & Samsung differs slightly. Apple takes plenty of factors into consideration when strategizing compared to its competitors. A statement from Apple’s 10K Form states, “The Company has historically experienced higher net sales in its first quarter compared to other quarters in its fiscal year due in part to seasonal holiday demand” (Apple Inc. Form 10-K 2020). Apple tends to release its new products around the holiday season because it is perfect for people who are in the market for gifts. Microsoft & Apple have even collaborated with each other, through their cloud services, despite being competitors. Microsoft offers something called the Intelligent Cloud while Apple also offers Cloud service. From Microsofts 10-K form, “Our Intelligent Cloud segment consists of our public, private, and hybrid server products and cloud services that can power modern business and developers (Microsoft Corporation Form 10-K 2020). Apple then also states, “The Company’s cloud services store and keep customers’ content up-to-date and available across multiple Apple devices and Windows personal computers” (Apple Inc. Form 10-K 2020). This means you can use this service on both an Apple product & Microsoft, or in other words Windows. The market for electronics is always going to be very high considering the huge technology strides we have made and will make in the future. Therefore, these companies along with others will always be competing with product, price, quality, & more. Customer Profile The brand Apple targets a specific kind of consumer, Apple’s “target customer segment comprises well-off individuals who are willing to pay extra for technology products and services with advanced design, functions and capabilities” (Dudovski, 2021). Even though they target consumers that are “well off”, when they release their newer products, they lower the prices of all the older products every few months so that they can reach consumers of all financial statuses. By using that strategy, they have 1.5 billion active users around the world. 80\% of the active devices are iPhones and iPads. Apple Inc. is the highest revenue grossing company in the world (Andrew, The Strategy Watch). Because Apple provides so many different products, they market them to the age demographic that is more likely to purchase them. Therefore, their marketing strategies differ from product to product. Apple’s set age group for consumers ranges to be 22-55. But if you investigate who is buying smart, compact devices, it is reported to be used by people who are 20-24 years old. Whereas, if you look at who is buying and using iTunes, Apple pay, app store, and iTunes store, you will find that consumers in the 18-30 range and using those the most. And lastly, the apple watch, apple tv, and accessories are mainly being used by people who are 20-45+. Since the age ranges differ, so do their marketing technics and strategies, they might have a famous celebrity advertising the next iPhone because that will appeal to the 18-30 demographic better. Meanwhile, the Apple watch may be advertised by someone working out and getting healthy because that will appeal to the 20-45+ demographic. Apple has been able to control the market due to its marketing approaches and knowledge of its consumers. Bibliography A timeline: A brief history of Apple Watch. (n.d.). Retrieved from Verizon: https://www.verizon.com/articles/brief-history-of-apple-watch/ AirPods. (2021, September 8). Retrieved from MacRumors: https://www.macrumors.com/roundup/airpods/#:~:text=At\%20a\%20Glance,product\%20line\%20with\%20AirPods\%20Pro. Apple (AAPL). (2021, September 10). Retrieved from Forbes: https://www.forbes.com/companies/apple/?sh=1d72cfd25355 Apple Inc. (2016, September 7). Apple reinvents the wireless headphone with AirPods. Retrieved from Apple: https://www.apple.com/newsroom/2016/09/apple-reinvents-the-wireless-headphones-with-airpods/ Apple Mac. (n.d.). Retrieved from Apple: https://www.apple.com/mac/ Blake, A. (2021, September 9). iPad generations: Your complete guide to every different Apple iPad model. Retrieved from Creative Bloq: https://www.creativebloq.com/buying-guides/ipad-model-list#older-ipad-models iPhone users and Sales Stats for 2021. (2021, May 28). Retrieved from BackLinko: https://backlinko.com/iphone-users The Evolution of the iPhone: Every Model from 2007–2020. (2021, September 8). Retrieved from iPhoneLife Magazine: https://www.iphonelife.com/content/evolution-iphone-every-model-2007-2016#:~:text=1.,was\%20released\%20late\%20in\%202020. Visualizing Apple Product Release Patterns. (2021, May 20). Retrieved from InfoNewt: https://infonewt.com/apple-release-patterns Target Market Analysis of Apple Inc. Retrieved from https://www.thestrategywatch.com/target-market-analysis-of-apple-inc/ Apple Segmentation, Targeting and Positioning - Research-Methodology. (2021, February 23). Retrieved from https://research-methodology.net/apple-segmentation-targeting-and-positioning/ References Antimonova, Y. Y., & Maksimov, M. I. (2019). ANALYTICAL REVIEW OF APPLE INC. SUSTAINABLE DEVELOPMENT GOALS IMPLEMENTATION. In INTERNATIONAL SCIENTIFIC REVIEW OF THE PROBLEMS AND PROSPECTS OF MODERN SCIENCE AND EDUCATION (pp. 35-37)