Essays on Evaluation of Apple Resources Case Study

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The paper "Evaluation of Apple Resources" is a perfect example of a business case study.   Apple Inc is an American Corporation that deals with the manufacture and sale of electronic-computer products as well as online services. The company has been ranked by Forbes as one of the most profitable companies in the world. Despite its profitability, Apple is known globally for its unique brand of products and innovative ways of doing things. This paper makes an in-depth analysis of Apple Inc. The analysis delves at the internal environment of the company particularly its unique strengths necessitated by her enormous resources, capabilities as well as core competencies.

In addition, the paper makes a comparative analysis of Apple Inc to her competitors using VRIO model. Evaluation of Apple Resources Financial Resources – Apple uses networking capital to measure the prevailing cash flow as well as service debts. It is a key feature that works for the company since it’ s is able to maintain a strong and organised balance sheet. Through the balance sheet, the company is able to ascertain its capital at any particular time.

Moreover, Apple has a steady flow of income generated by the constant sale of her products. This provides adequate resources to expand her business (Rothaermel, 2015). The main financial objective of Apple is to maintain valuable as well as steady cash flow aimed at meeting short-term obligations plus the operating expenses. The firm’ s objective of networking capital is to increase assets and reduce liabilities. The company has been engaged in launching retail locations at new and existing localities and thus boosting sales, stock and market share value globally. The strategy adopted by Apple in dealing with its liabilities is the reduction of debts and the application of financial resources to purchase retail stores rather than leasing (Fahy, 2002). Human Resources – Apple employs the best talent and is known to apply the best talent management approaches.

The company treat her human resources in a different and unique way. Apple emphasises on handwork and total commitment to the company. The company encourages its employees to gain advanced skills to progress in their own career. In regard to training programs, Apple reinforces her staff to be self-reliant as well as develop their own set of skills.

The company uses economic reward as part of employees’ retention program. The company stresses on employees agility. As such, employees are always prepared to undertake the ‘ next big thing’ . This explains the innovative nature of the firm. After successful completion of a project, the staffs are prepared on the next new project containing completely different features from the previous one (Burton, Malone, Robert, Willson & Hopkins, 2014). Technological Resources - Apple acquires technological components prior to her rivals. This enables the firm to release groundbreaking goods which are hard to duplicate.

For instance, after the manufacture of the iPhone, none of the iPhone clones would produce a capacitive touch screen as effective as Iphone’ s. Another example is machining technology associated with Apple’ s laptops. The technology applied remains a secret of the company which makes the product have unsurpassed strength and unmatched lightness. Before the competitors of Apple put in place mechanisms to catch up in production technology, Apple has already made arrangements to source the components at a subsidized cost emanating from discounting rates negotiated with providers.

Eventually, the components get commoditized and the factory produces them for all buyers. However, Apple gets exceptional pricing (Rothaermel, 2015).

References

Porter, M. E. (2008). The five competitive forces that shape strategy. Harvard business review, 86(1), 25-40.

Grundy, T. (2006). Rethinking and reinventing Michael Porter's five forces model. Strategic Change, 15(5), 213-229.

Rothaermel, F. T. (2015). Strategic management. New York, NY: McGraw-Hill.

Fahy, J. (2002). A resource-based analysis of sustainable competitive advantage in a global environment. International Business Review, 11(1), 57-77.

Burton, C. R., Malone, J. R., Robert, G., Willson, A., & Hopkins, A. (2014). Investigating the organisational impacts of quality improvement: a protocol for a realist evaluation of improvement approaches drawing on the Resource Based View of the Firm. BMJ open, 4(7), e005650.

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