Apple Case Analysis

In: Business and Management

Submitted By faisalmunim
Words 1863
Pages 8
Background
Apple was founded by Steve Jobs and Steve Wozniak, two enthusiastic entrepreneurs. They wanted to sell personal computers, designed by Wozniak.After their establishment in 1976, they first introduced Apple I. That computer had some limitations. Removingthose, they release Apple II in the market which got the attention of people. Lateron, an investor named Mike Markkula who was a millionaire joined them to expand the business by investing in Apple computers. They also introduced Apple III but it was unable to grab the attention of consumers. But they sold almost two million Apple II by 1993.Seeing the success of Apple, IBM also concentrate in this industry. Within a short time, they introduced themselves as a strong competitor by providing equal quality product like Apple. As time passed on, Apple started facing some problems because of some lacking’s they had.IBM was going good at that time. Apple incurred a loss for the first time in1985.Because of that and some clashes between the management; Steve Jobs left Apple and opened his own business. After he left, some changes were made. NeXT 5years they did really well and made a strong ground under their feet. But then the problems started again. Mike Sculley,the CEO at that time made some strategic changes which helped Apple to boost their front line but their bottom line shrunk because of high cost and low gross margins. At that point, Sculley left Apple and Michael Spindler took his position. The misery of Apple was not over. By 1997 they went through disastroussituation. It made Apple think to do something. Gilbert Amelio replaced Spindler and bought the company of Steve Jobs named NeXT. It was done to use the OS of NeXT. Lateron, Steve Jobs returned to Apple as CEO replacing Amelio. Just after returning, he introduced iMac to the consumers. Again it was a hit. Because of its attractive features, people…...

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