In this case, the leading players who had a significant influence on the company’s activities were Steve Jobs and Steve Wozniak. They are the organizers and founders of the company who developed everything from scratch and created a solid competitive brand. At the moment, the leading players are Tim Cook – CEO, and Jonathan Ive – Director of the design group. Each of these people has worked for the company for a long time and brought significant innovations and innovations that helped advance Apple’s values.
During 1997 the founder of Apple carried out a number of significant reforms in the organizational structure. Sometime later, in 2001, a renewed team of the company created the iPod, which became another significant event. In 2007, Apple completely revolutionized the technology industry by presenting the iPhone as a device that combined all other functions. In 2011, Steve Jobs took a leave of absence, after which Tim Cook was chosen as CEO of the company. Further, under the leadership of the new director, the company continued the course set by Jobs, and new iPhone models were released that showed a positive growth rate in the company’s value.
The success of the iPhone product is directly related to the growth of Apple. The decision to create a universal device that could combine all the necessary functions has become one of the defining ones in the history of the company. The presentation of the iPhone guaranteed Apple’s success as it completely changed the way people used phones at the time. The success of the new product resulted in significant growth for the company as the iPhone was made the main flagship product.
The success of the iPhone and why the company began to grow significantly thanks to its sales is that this product is quite expensive. In the context of determining why the iPhone became a driving device and marked the main success of the company, sales statistics compared to android smartphones will be relevant. Apple only holds 13 percent of the mobile device market and still generates 75 percent of all revenue. This suggests that the organization significantly outperforms all its competitors, even if they sell more devices. This is confirmed by the fact that Apple still outperforms competitors in the market average.
The company’s future may be affected by downward trends in iPhone sales. The sales rating of the device and its contribution to Apple’s overall profit began to drop significantly in 2018 and continue to do so. The iPhone began to bring the company 9% less profit in 2021, which indicates that this product has begun to lose popularity. At the same time, this trend is not associated with an increase in income from other devices, which indicates a potentially dangerous situation.
In addition, another dangerous trend that could affect the future of the company is the dependence of its income on China as its largest sales market. This can be risky as tensions between China and the United States escalate with each passing year. In the future, if China refuses to import American equipment, this may cause significant financial losses for the company. It can be concluded that Apple has been facing increased competition in recent years, leading to lower financial results due to declining sales.
Apple’s business has evolved significantly since its inception, however, despite this, the main profit has always come from sales of the main product – the iPhone. This has remained the same all along, and no new product like Apple Watch or AirPods has been able to change that. Apple Pay demonstrates constant steady growth in the market among its competitors, however, in the Apple value system; this product brings significantly fewer benefits than the iPhone.
Apple’s business is unlikely to be able to reduce reliance on the iPhone as it is a flagship device. Accordingly, Apple invests heavily in its development, which should pay off. Combined with constant innovation and the company’s expectation that smartphones should boost last year’s sales, it does not seem possible for Apple to shake off that dependency. However, the iPhone has a strong foothold that cannot be shaken by new products, no matter how good they are.
Apple has been able to achieve significant success during the entire period of development in the field of technology, and thanks to this, the organization has become the most valuable company in the world, reaching the 1 trillion dollar in capitalization. Apple has gone through a long period of development in which many significant events have been noted, such as the presentation of the iPhone or AirPods and Apple Watch. Thus, having provided many innovations, the organization has become one of the most deservedly recognized.
Going forward, Apple will need to make some changes to its strategy and funding plans in order to develop smoothly and sustainably. An important strategic direction for the company may be the improvement of cloud services such as Apple TV and Apple Music. Subscription services have gained much popularity lately, and there is reason to believe that this trend will not change in the near future. The advantage of this strategy is that it does not require large investments. At the same time, the downside is the decrease in emphasis on technological devices like the iPhone.