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This is a case analysis of the Apple 2010 Case in Strategy Management. It showcases the Blue Ocean Strategy of Apple in terms of Strategy Canvas and ERRC Framework. This presentation is intended as an academic work only and any discrepancies or incorrect hypotheses may not be held against the author.
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Apple Inc. 2010
Dianne SisonMadhuranath R
The Apple TreeMac iPod iTunes
iPhone iPad iStore
The Apple Pie
32%
19%
30%
9%9%
MACiPodiPhoneiTunesOthers
MACComputers | Portables
Positioning - MAC
0 1.5 3 4.5
0
1.5
3
4.5
Lo
w
Me
diu
m
H
igh
PR
IC
E
BRAND PERCEPTIONL o w M e d i u m
H i g h
KSF Matrix - MAC
Strategic Canvas - MAC
ELIMINATEREDUC
E RAISECREAT
E
iPod + iTunesM u s i c f o r a l l
iPod Evolution
iPod Classic
iPod Nano
iPod Touch
iPod Shuffle
iTunes was launched even before iPod was introduced
Flash Memory was leveraged to introduce new generation iPod
Multi-touch & Wireless access to iTunes introduced
74%
26%
Music Player Market
iPodOthers
iTunes EcosystemiTunes Store
iPodComputers
Apple FairPla
y
Strategic Canvas - iPod
ELIMINATE
REDUCE RAISE CREATE
iPhoneI t ’ s n o t j u s t a s m a r t p h o n e
Strategic Canvas - iPhone
KSF Matrix – iPhone
ATTRIBUTES Weights iPhone Blackberry Nokia Samsung LGDesign 10% 9 8 7 6 5Price 20% 1 3 10 7 6Number of models 40% 1 3 10 8 6Number of carriers 15% 1 7 9 8 7Distribution 15% 9 5 8 7 7TOTAL 100% 21 26 44 36 31MARKET SHARE 3 5 40 21 9WEIGHTED SCORE 3 4.4 9.25 7.45 6.2
iPadE a r t h
f r i e n d l y
Strategic Canvas – iPad
World Netbook Market Share Including iPad
(1Q2008-2Q2011)
The Digital Ecosystem
Digital Consum
er
AppleConte
nt Provid
er
App Develop
erSCM
Element
Network
Operators
Media
Recommendations• Continue investing in R&D for continuous innovation
• Strengthen the ecosystem:o Software and applications such as Siri, iCloud, etc.o Developing new hardware such as the A5 chip, 2048x1536 Retina
display, 5 MP iSight camera with 1080p video capabilities, etc.
o Introduction of new consumer electronic products constantly
• Exploring new marketso Current focus is limited to North America and Europe mostly
o Emerging economies offer huge potential and are unsaturated
markets
Thank YouThat was your Apple for the day!