Tuesday, November 19, 2019

Apples Business Strategy Essay Example | Topics and Well Written Essays - 1500 words

Apples Business Strategy - Essay Example It continually invests in research and development, marketing and advertising. However, its main strategic advantage is the integration of its various hardware and software products, allowing customers to discover and download applications and books through either Mac or Windows-based computers or iOS mobile devices, allowing for ease of access and thus more frequent sales. Apple offers strong support for third-party hardware and software products and digital content that complement its offerings, thereby broadening its customer base and enhancing brand loyalty (Annual Report 2012). Â  Table 1 is the Apple competitor and industry profile provided by Yahoo Finance for investors in the stock market. Apple dominates the PC Industry in market capitalization, revenues, earnings before interest, taxes, depreciation, and amortizations, operating margin, net income, and earnings per share. It has an advantage over Google in its price to earnings ratio, being only half as expensive for every dollar of earnings (11.33 times for Apple compared to 22.08 times for Google). Apple’s stock price has some upward leeway, because its earnings per share growth rate are high compared to its price, yielding a low price to earnings growth ratio (PEG). An investor would, therefore, be interested in Apple for its stock value appreciation. Â  

No comments:

Post a Comment

Note: Only a member of this blog may post a comment.