Presented at University Of Liverpool, Management School in part fulfilment of Strategic Organization Module. Copy Right 2010 @ Anvaya Group

1. Case study: Apple Inc - Strategic leadership and innovation at Apple Inc - By RenjithSreekumar

2. Contents 1. Introduction 2. Explanation of Adapted Framework 3. Q1. What are the Key features of the Apple Industry? with Michael Porter’s 5 forces, SWOT (Opportunity, Threat) 4. Q2. What is your evaluation of Steve Jobs as a strategic leader with John Kotter – Leading Change model 5. Q3. Has Apple engaged in strategic innovation? with Strategic Innovation framework 6. Q5. Should Apple rethink its closed ecosystem, proprietary approach? 7. Conclusion

3. Introduction 1. Objective of group B5’s presentation - To analysis Apple’s case with effective frameworks - To extract answers of questions from frameworks 2. Expected outcome of presentation - Apple’s key features - Apple’s competitive advantage : Strength and weakness : Innovation factors - Predictions of Apple’s future - Suggestions for Apple

4. 3. Basic framework of case study External analysis Strategic choice Strategy implementation Competitive advantage 1) The strategic process Mission Objective Internal analysis Adapted from Barney and Hesterly (2006). 2) Michael Porter’s Five Forces Adapted from Porter (2005). New entrants Competitors Substitutes Level of threat Suppliers Buyers

5. 3) SWOT (Strength, Weakness, Opportunity, Threat) Adapted from Ferrell et al (2002). 4)Barney’s V R I O theory 5) John Kotter’s leadership theory 6) Strategic Innovation framework

6. Q1. What are the key features of the Apple industry? 1) External key features - Michael Porter’s five forces framework Adapted from Porter (2005).

10. Motivate employee

12. Mechanistic approach to organisation

13. Core strategies – product based, aimed at driving the market

14. Style has taken Apple from brink of bankruptcy to being hugely profitable

15. John Kotter – Leading Change Adapted from Kotter(1995, p.60)

16. Q3. Has Apple engaged in strategic innovation? “ Strategic Innovation is the creation of growth strategies, new product categories, services or business models that change the game and generate significant new value for consumers, customers and the corporation.” Adapted from Palmer and Kaplan,(2007, p.3)

17. Strategic Innovation framework Adapted from Palmer and Kaplan, 2007, p. 6.

18. Q 5. Should Apple rethink its closed ecosystem, proprietary approach?

20. Apple should rethink its closed ecosystem because…

24. Conclusion 1. Summary : Steve Jobs - Leadership style - Spiritual leader : Products - High quality technology (software and hardware) - Closed ecosystem - Innovation : Customers - Loyal customer base

25. Conclusion Recommendations to Apple 1) Collaborate with more technology related industries and companies. 2) Aim for more interaction with customers. 3) Make the iMac more compatible. 4) Loosen the closed ecosystem approach. 5) Prepare for Apple post Steve Jobs.

26. References 1) Barney, J.B. and Hesterley, W.S., (2006). Strategic Management and Competitive Advantage, Pearson, New Jersey, pp. 5-15. 2) Ferrell, O.C., Hartline, M.D. and Lucas, G.H., (2002). Marketing Strategy (5th Ed.), South Western, pp.50-73. 3) Kotter, J., (1995) .Leading Change: Why Transformation Efforts Fail, Harvard Business Review, March -April, pp.59-67. 4) Palmer, D. and Kaplan, S., (2007). A Framework for Strategic Innovation, InnovationPoint LLC, pp. 1-24. 5) Porter, M. E., (2008). The Competitive Forces that Shape Strategy, Harvard Business Review , vol. 86, Issue 1, pp.78-93. Websites 1) From closed to open (2009, 27 October). http://www.techdirt.com/articles/20090719/1514125593.shtml 2) Ars Technica(2009, 27 October). Apple, Dell big market share winners for the first quarter. http://arstechnica.com/old/content/2008/04/apple-dell-big-market-share-winners-for-the-first-quarter.ars

27. Thank you