ISYS360 Assignment One Page 1 Semester 1, 2014 Faculty of Science Department of Computing ISYS360: Technology Management Individual Assignment Number One “Apple Inc Case Study” Semester 1, 2014 Lecturer: Dr.

ISYS360 Assignment One Page 1 Semester 1, 2014 Faculty of Science Department of Computing ISYS360: Technology Management Individual Assignment Number One “Apple Inc Case Study” Semester 1, 2014 Lecturer: Dr. Ian Krycer Email: ISYS360 Assignment One Page 2 Semester 1, 2014 Individual Assignment One DATE DUE: 5:00 pm on Tuesday, 25/3/14 submit online through iLearn as a single MS Word document ( ) This is a Turnitin assignment. MARKS: 15% of subject REPORT: Approximately 2000 words (1,500 to 2,500 words) The Task Read the attached overview material on Apple Inc. Consider Apple Inc for the time frame of 2007 until now. For this assignment you are to research publically available material on Apple Inc and its competitors to provide comprehensive answers to the following questions. It is expected that each section be answered in 300 to 500 words. Bullet points are fine. Feel free to add diagrams or tables. Ensure that you use in text referencing. Remember, this is a Turnitin assignment. Do not copy and paste. If your plagiarism score is more than 30%, you will score zero. If you are quoting a reference, ensure that you use quotation marks and acknowledge the source. Each section carries an assignment weighting of 25%. Complete all FOUR sections. Ensure that you provide a cover sheet, answers to each section (do not repeat the questions as Turnitin will pick it up as plagiarism) and your list of references. I recommend the use of Endnote to provide numbered references in text. For web based references, provide the full URL and date accessed. Look at how Wikipedia referenced the below synopsis of Apple Inc. Consider the principles discussed so far from our textbook, Robbins et al and cite the textbook when relevant to do so. Consider the chapters on contemporary management trends, organisational culture, managing in a global environment, social responsibility and managerial ethics, managing change and innovation, decision making, planning and strategic management. Complete answers for each section will need to include a mention of pertinent sections of the textbook. 1. do you think were the driving forces that led to Apple’s phenomenal success to become the world’s largest company by market capitalisation? How did Apple identify and capitalise on market trends? How did they achieve global success? Which companies lost market share? Which market segments grew as a result of Apple’s strategies? ISYS360 Assignment One Page 3 Semester 1, 2014 2. Describe Steve Jobs’ management style. was it like working for Jobs? How would describe the culture at Apple? How would you rate Apple in terms of social responsibility and managerial ethics? If you were the CEO of Apple instead of Jobs, would you use a similar style? 3. Provide an overview of Apple’s current market position. Why has it declined from its pinnacle of market leadership in the smartphone and tablet segments? Is Apple losing its ‘cool’? Why did Apple fail to adequately defend its market position? Apple had a first mover’s advantage, market leadership in its major segments and a massive cash flow to fund investment. 4. Apple has hired Angela Ahrendts, who will commence as a senior vice president in mid-2014. Ahrendts was previously the CEO of the British luxury goods company, Burberry Group Plc. Imagine you were hired in this role instead of Ahrendts. How would you steer new product development and marketing at Apple? The Board and shareholders would certainly like to see Apple regain its reputation as the market leader. Is this possible or is Apple going to decline? Would you rather accept a role at one of Apple’s competitors? Which one? Why? Submission This is a Turnitin assignment. Do not wait until the last minute to submit as Turnitin can take up to 24 hours to process a submission. Your submission time will be time stamped by iLearn. You will fail if 30% or more of the report has been plagiarised. Resubmitting through Turnitin can be very slow, so if you want to pre-screen your submission for plagiarism, you can use the free software Viper: The usual 10% per day (or part thereof) will apply for late submissions. This assignment will contribute a maximum of 15% to the final assessment grade, and is a compulsory component of the course. ISYS360 Assignment One Page 4 Semester 1, 2014 Marking Criteria You will be marked according to the following criteria, these criteria will be applied to each of the four sections, with each section worth 25% of the total mark: Element Excellent to Good (30) Pass (15) Incomplete (10) Demonstrates understanding & interpretation of the key management concepts covered by the question.  Demonstrates high level of understanding of key concepts  Skillfully organises description of issues and application of references.  Demonstrates some understanding of key concepts  Organises description of issues in some cases; shows some application of references.  Demonstrates little understanding of key concepts  Little organisation used to describe issues; shows little application of references. Element Excellent to Good (50) Pass (25) Incomplete (10) Justifies the responses to specific aspects of the question  Addresses all elements when justifying the responses to specific aspects of the question  Refers to references, including the text book, to strongly support arguments.  Addresses some elements when justifying the responses to aspects of the question  Refers to one or two references to support arguments.  Addresses few elements when justifying the responses to questions  Does not refer to references to support arguments. Element Excellent to Good (20) Pass (10) Incomplete (5) Technical  Clarity of expression, correct grammar, sentence structure, punctuation, spelling – excellent in all areas  Used consistent referencing system intext and bibliography  Clarity of expression, correct grammar, sentence structure, punctuation, spelling – some difficulties determining meaning, some errors  Missing some references either in-text or in bibliography; or included references in bibliography that were not included in text  Poor clarity of expression, grammar, sentence structure, punctuation, spelling – limited readability; requires many corrections/further explanation  Very poor use of referencing system; inconsistent style, incomplete bibliography ISYS360 Assignment One Page 5 Semester 1, 2014 Some excerpts from Wikipedia (accessed on 9/10/13) on Apple Inc. “2007–11: Widespread success Apple achieved widespread success with its iPhone, iPod Touch and iPad products, which introduced innovations in mobile phones, portable music players and personal computers respectively. In addition, the implementation of a store for the purchase of software applications represented a new business model. Touch screens had been invented and seen in mobile devices before, but Apple was the first to achieve mass market adoption of such a user interface that included particular pre-programmed touch gestures. Delivering his keynote speech at the Macworld Expo on January 9, 2007, Jobs announced that Apple Computer, Inc. would from that point on be known as Apple Inc., because computers were no longer the main focus of the company, which had shifted its emphasis to mobile electronic devices. The event also saw the announcement of the iPhone and the Apple TV. [90] The following day, Apple shares hit $97.80, an all-time high at that point. In May, Apple’s share price passed the $100 mark.[91] In an article posted on Apple’s website on February 6, 2007, Steve Jobs wrote that Apple would be willing to sell music on the iTunes Store without digital rights management (DRM) (which would allow tracks to be played on third-party players), if record labels would agree to drop the technology.[92] On April 2, 2007, Apple and EMI jointly announced the removal of DRM technology from EMI’s catalog in the iTunes Store, effective in May.[93] Other record labels followed later that year. In July of the following year, Apple launched the App Store to sell third-party applications for the iPhone and iPod Touch. [94] Within a month, the store sold 60 million applications and brought in $1 million daily on average, with Jobs speculating that the App Store could become a billion-dollar business for Apple.[95] Three months later, it was announced that Apple had become the third-largest mobile handset supplier in the world due to the popularity of the iPhone.[96] On December 16, 2008, Apple announced that after over 20 years of attending Macworld, 2009 would be the last year Apple would be attending the Macworld Expo, and that Phil Schiller would deliver the 2009 keynote in lieu of the expected Jobs.[97] Almost exactly one month later, on January 14, 2009, an internal Apple memo from Jobs announced that he would be taking a six-month leave of absence, until the end of June 2009, to allow him to better focus on his health and to allow the company to better focus on its products without having the rampant media speculating about his health.[98] Despite Jobs’ absence, Apple recorded its best non-holiday quarter (Q1 FY 2009) during the recession with a revenue of $8.16 billion and a profit of $1.21 billion.[99][100] After years of speculation and multiple rumored “leaks”, Apple announced a large screen, tablet-like media device known as the iPad on January 27, 2010. The iPad runs the same touch based operating system that the iPhone uses and many of the same iPhone apps are compatible with the iPad. This gave the iPad a large app catalog on launch even with very little development time before the release. Later that year on April 3, 2010, the iPad was launched in the US and sold more than 300,000 units on that day, reaching 500,000 by the end of the first week.[101] In May of the same year, Apple’s market cap exceeded that of competitor Microsoft for the first time since 1989.[102] ISYS360 Assignment One Page 6 Semester 1, 2014 Apple released the fourth generation iPhone, which introduced video calling, multitasking, and a new uninsulated stainless steel design, which acts as the phone’s antenna. Because of this antenna implementation, some iPhone 4 users reported a reduction in signal strength when the phone is held in specific ways. After a large amount of media coverage including mainstream news organizations, Apple held a press conference where they offered buyers a free rubber ‘bumper’ case, which had been proven to eliminate the signal reduction issue. Later that year Apple again refreshed its iPod line of MP3 players which introduced a multi-touch iPod Nano, iPod Touch with FaceTime, and iPod Shuffle with buttons which brought back the buttons of earlier generations.[103][104][105] In October 2010, Apple shares hit an all-time high, eclipsing $300.[106] Additionally, on October 20, Apple updated their MacBook Air laptop, iLife suite of applications, and unveiled Mac OS X Lion, the last version with the name Mac OS X. [107] On January 6, 2011, the company opened their Mac App Store, a digital software distribution platform, similar to the existing iOS App Store.[108] Apple was featured in the documentary Something Ventured which premiered in 2011. 2011–present: Post–Steve Jobs era On January 17, 2011, Jobs announced in an internal Apple memo that he would take another medical leave of absence, for an indefinite period, to allow him to focus on his health. Chief operating officer Tim Cook assumed Jobs’ day-to-day operations at Apple, although Jobs would still remain “involved in major strategic decisions for the company.”[109] Apple became the most valuable consumer-facing brand in the world.[110] In June 2011, Steve Jobs surprisingly took the stage and unveiled iCloud, an online storage and syncing service for music, photos, files and software which replaced MobileMe, Apple’s previous attempt at content syncing.[111] This would be the last product launch Jobs would attend before his death. It has been argued that Apple has achieved such efficiency in its supply chain[112] that the company operates as a monopsony (one buyer, many sellers), in that it can dictate terms to its suppliers.[113][114] In July 2011, due to the American debt-ceiling crisis, Apple’s financial reserves were briefly larger than those of the U.S. Government. [115] On August 24, 2011, Jobs resigned his position as CEO of Apple.[116] He was replaced by Tim Cook and Jobs became Apple’s chairman. Prior to this, Apple did not have a chairman and instead had two co-lead directors, Andrea Jung and Arthur D. Levinson, who continued with those titles until Levinson became Chairman of the Board in November.[117]” Additional notes: Currently, Apple is number two in the global smartphone market behind Google Android operated phones (, accessed on 20/10/13). Although the tablet market is growing very rapidly, Apple’s market share continues to decline (, accessed on 20/10/13). ISYS360 Assignment One Page 7 Semester 1, 2014 Apple is very active with new product launches with the new iPad Air and iPad Mini released in time for the 2013 Christmas holiday season (, accessed on 23/10/13). The previous month, Apple launched the new iPhone 5s and 5c. As well, Apple’s iPad is used more heavily than all the competitors combined according to CEO Tim Cook in the above article. There is speculation that Apple will debut a new generation of HDTV in 2014 (iTV) and possibly an iWatch.

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