Assignment 1: Strategic Analysis
SIM336- Strategic Management
[COMPANY NAME]
[Company address]
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lOMoARcPSD|6539861
Table of Contents
1. Introduction.........................................................................................................................2
2. Findings..............................................................................................................................2
2.1 Critique of Porter’s Five Forces Model.......................................................................2
2.2 Five Forces Analysis of Apple....................................................................................3
2.2.1 Threat of New Entrants........................................................................................4
2.2.2 Bargaining Power of Suppliers............................................................................4
2.2.3 Bargaining Power of Buyers................................................................................5
2.2.4 Threat of Substitutes............................................................................................5
2.2.5 Rivalry amongst competitors...............................................................................6
2.3 Efficiency of Apple’s Strategy....................................................................................6
3. Conclusions and Recommendation....................................................................................8
References:...............................................................................................................................10
1 | P a g e
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1. Introduction
A business level strategy adopted by an organisation focuses on leveraging the core
competencies of the organisation to satisfy the needs and provide value to the customers. The
organisations provide value to the customer in order to achieve a competitive advantage
(Teece, 2010). The contemporary business landscape is subject to cut throat competition
which makes the development of a competitive advantage all the more necessary (QuairelLanoizelee, 2011). Furthermore, the business level strategy is formulated after conducting an
analysis of the competitive forces and threats prevailing in the industry which is conducted
using Porter’s Five Forces analysis (Grant, 2016). A while ago Apple became the first
company in the world to reach $1 billion valuation. However, that market value of Apple has
significantly decreased over the last few months (Aitken, 2019). This may be attributed to the
business level strategy which Apple has been pursuing over the years and they may need to
change it a little. Thus, this report aims to critically evaluate the Porter’s Five Forces model
and then apply in the context of Apple to discuss whether the strategy employed by Apple
can be beneficial for them in the long run. [Show Less]