In the fast changing economy environment stem from globalisation, companies are constantly under pressure.
Areas that hold technological promises such as computers will clearly have an impact on buyers and marketers decisions as researches are constantly investigating news forms of memory chips and computers component that are faster and smaller than current models.
Theyneed to react, think and be creative as quickly as possible in order to gain competitive advantage.
Therefore as a MBA student in London School of commerce, the following report will investigates the current state of innovation of Apple Inc, and examines the management strategy of the company regarding the innovation.
The purpose of this report is to collect, gathered information and analysethe impact of innovation on Apple Inc.
First of all, a brief description of the computer industry and the history of the company along with its operation will be outlined.
Then, by examining a range of recently published journals, magazines, books and internet sites on the topic of an innovation, the report will outline the following points:
• Define what is innovation and whatinnovation apple brought about in this industry
• Strategy adopted by the company in managing the innovation,
• Evaluate the management process implemented and the change management
• Analyse the benefits of the innovation to Apple Inc,
• Outline the role played by the managers to bring about such innovation.
• Highlight area of the business which can be improved tosuccessfully manage an innovation in the future
DESCRIPTION OF THE COMPUTER INDUSTRY: Presentation of APPLE.
According to Wikipedia, Computer industry is a collective term used to describe the whole range of businesses involved in developing computer software, designing computer hardware and computer networking infrastructures, the manufacture of computer components and the provision ofinformation technology services.
The industry is extremely competitive and currently dominated by five leaders: IBM, DELL, HEWLETT-PARKARD, GATEWAY and APPLE.
PRESENTATION OF APPLE INC
Established in Apple was established on April 1, 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne Apple Inc, is an American multinational corporation, which designs and manufactures consumer electronics andsoftware products and best-known for its hardware products include Macintosh computers, the iPod and the iPhone.
DEFINITION OF INNOVATION :
There are various definitions of the term innovation, which derives from the latin ‘‘inovatio’’ which means the creation of something new.
Innovation is a process by which an idea or invention is translated into a good or service for which people willpay. To be called an innovation, an idea must be replicable at an economical cost and must satisfy a specific need.
Innovation is also synonymous with risk-taking and firms which introduce revolutionary products or technologies take on the greatest risk because they have to create new markets. (www.businessdictionary.com).
Following Schumpeter (1934), contributors to the scholarly literatureon innovation typically distinguished five different types of innovation:
1. The introduction of a new product
2. The introduction of a new method of production
3. The opening of a new market
4. The conquest of a new source of supply of raw materials or half-manufactured products
5. The establishing of a new organisation within any industry
Being define what isinnovation and having listed the products and activities of Apple, it is clear understa that.
STRATEGY ADOPTED BY APPLE TO IMPLEMENT AND MANAGE THE INNOVATION
Apple’s approach in implementing and managing the innovation could be divided in five keys factors:
1. Hire people with passion for excellence who will add value and increase brand equity and reward them: