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Strategic Management and Strategic Competitiveness Assignment

Strategic Management and Strategic Competitiveness Assignment

Globalization and technology have significantly impacted how corporations carry out their business. From its definition, globalization is the increased interconnectedness among companies and people, which means that once a business goes global, it gets affiliated with more than one country. On the other hand, technology has facilitated globalization, such that consumers can interact with international businesses from the comfort of their homes. Technology has changed how the world does business, from communication, marketing, customer satisfaction, and the cost of doing business. The paper will delve into the impact of globalization and technology on Apple’s business strategy, being one of the largest multinational corporations globally.


Apple has immensely benefited from globalization. According to the company’s website figures, America only forms a third of Apple’s market, yet it is the primary market. America, in this case, includes the US, Canada, and all Latin American countries. Due to globalization, Apple has expanded operations to many parts of the world (Hitt, 4). One notable market that has significantly contributed to Apple’s success is the Asia-Pacific region. The Asian market is one of Apple’s fastest-growing market bases, with a vast consumer base.

Globalization has also had a positive impact on Apple’s supply chain. The company’s success is attributed to its low production cost and high selling prices (Sonnenfeld, 6). To attain a low production cost, Apple has moved many of its operations to China, given that much of the raw materials used to manufacture smartphones are readily available in the country. Besides, Apple leverages the low labor cost yet highly qualified expertise available to the Chinese. Consequently, the company uses shipping companies like FedEx, which moves the products to the company’s headquarters and consumers. Globalization has enabled Apple to adjust its supply chain strategy and explore global production options to lower production costs.


One of the impacts of technological advancement is that it broadens market globalization. To that end, the Internet is a low-cost form of electronic globalization. There was a time when Americans were the only iPhone users. However, with the emergence of social media and other electronic forms of communication, other segments of the global population have developed an interest in using Apple products (Hitt, 4). The same case applies to when Americans only wore the Jeans brand. Due to the emergence of the internet and social media networks, consumers have become aware of and developed an interest in global brands.

Another way technology has affected Apple’s operations is by facilitating e-commerce. Over the years, numerous changes have occurred in the e-commerce sector, such as businesses being able to create and sell through their websites. One company that has leveraged e-commerce networks is Apple. The company has an integrated point-of-sale experience that allows customers to pay directly from online platforms (Hitt, 4). Apple’s decision to integrate an online point-of-sale experience is based on customer preferences. A recent survey shows that 67% of US e-retail customers will likely pay if a company offers a seamless point-of-sale experience (Aljafari, 1). Accordingly, Apple is well-positioned to address customer preferences.

Industrial Organization Model

According to Hitt (4), the industrial organization (I/O) model suggests that the external environment is the primary determinant of an organization’s strategic plan. According to the model, businesses should research and discover profitable industry segments before venturing into business. As a result, Apple seeks to manufacture products that enrich consumers’ lives. The company has continually produced new product categories, such as iPhone and Apple, and continues innovating within these categories and improving them.

Apple relies on experts to implement changes over general managers to ensure that it catches up with the competitors and external influence. The idea behind the strategy is that the company operates in a highly volatile industry characterized by constant changes (Podolny, 5). Subsequently, that leaves Apple with no option but to make big-bet decisions before sufficient information is available. Experts are better positioned to predict and recommend strategic decisions that enable Apple to overcome competitors.

Apple has also adopted customer-centric criteria for product improvements over short-term cost and profit considerations. As a result, the company has separated engineering and financial functions (Podolny, 5). The strategy allows the company to manufacture products that fulfill users’ needs. The strategy is a significant shift from conventional practices where companies consider financial performance only when making these critical decisions.

Resource-Based Model

The resource-based model assumes that every company has its unique resources. Consequently, firms utilize the uniqueness of their resources to gain a competitive edge and gain above-average returns in terms of quality and revenue (Hitt, 4). Apple leverages the resource-based model to deploy and allocate tangible and intangible resources to gain above-average returns. A notable strategy is the company’s reliance on its branded store to distribute its products. Consumers tend to trust products sourced from the primary manufacturer’s owned premises over ones sold by a third party (Cironi, 2). Moreover, Apple leverages its brand image, an intangible resource, to gain a competitive edge. Apple is known for its high-quality, innovative products and exemplary customer service. Due to this positive image and customer loyalty, the company has managed to stay above the competition. Another notable resource leveraged by Apple is its talent pool (Cironi, 2). Apple hires highly specialized experts and highly specialized software engineers for OS development. Finally, Apple Inc. has a rich collection of patent portfolios that allows them to create highly innovative products over competitors.


Apple’s vision is “to make the best products on earth, and to leave the world better than we found it.” (Dwivedi, 3.). Apple’s vision statement affects its strategic management and how the company operates to attain industrial leadership. The company has applied its vision statement in developing the vertical integration model. For instance, suppliers must comply with corporate policies and implement a strict monitoring strategy. Raw material suppliers, such as those who supply semiconductors used to make smartphones, must comply with quality expectations. Besides, the company requires suppliers to comply with its environmental policies to avoid environmental degradation (Dwivedi, 3). The requirement complies with Apple’s second part of its vision statement: to make the world a better place.


Apple’s mission statement is “to bring the best personal computing products and support to students, educators, designers, scientists, engineers, businesspersons and consumers in over 140 countries around the world.” (Dwivedi, 3.). The firm’s mission statement shows that the company is focused on computing technology. Computing technology refers to computers smartphones, and tech-based services that rely on computing technology. To that end, Apple offers cloud-based and software storage services, digital content distribution (iTunes and App Store), and online payment services (Apple Pay) (Dwivedi, 3). The company designs these products and services according to consumers’ preferences. Another notable highlight from the mission statement is a desire to achieve global status, and the company has made steps towards starting operations worldwide.


Internal Stakeholders

Apple’s main internal stakeholders include the board of directors, employees, executives, and shareholders. Top executives include the CEO, senior vice president, vice president, and chief operating officer. The firm’s success has been attributed to effective leadership provided by top executives. For instance, Steve Jobs, Apple’s founder and CEO, is recognized for laying the foundation for the firm’s success, although his leadership style is sometimes thought to have been too aggressive (Hitt, 4).

Besides, employees have also played a significant role in Apple’s success. For instance, the company is renowned for its top-notch product designs. It is justifiable to imagine that the company’s employees have facilitated the development of these outstanding designs. Since the company operates under a very secretive strategy, employees are not allowed to reveal the company’s designs.

Also, Apple has individual and institutional stakeholders that have positively contributed to its success. It is worth noting that the company’s top executives hold shares worth millions of dollars at the company. Institutional stakeholders such as the Vanguard Group and BlackRock hold a significant stake in the company. The company uses the resources availed by these stakeholders to expand.

External Stakeholders

Apple’s external stakeholders include the government, pressure groups, communities, suppliers, and customers. The company’s customers are loyal and are known not to switch brands. There are about 1.5 billion Apple devices globally, with iPhones estimated to have hit the one billion mark. With such a vast and loyal customer base, the company is assured of a stable market for its products. Also, Apple has many suppliers globally, notably from the US, China, Taiwan, South Korea, and Japan. The extensive network of suppliers ensures effective production that meets customers’ needs.


Aljafari, A. (2016). Apple Inc. Industry Analysis Business Policy and Strategy. International Journal of Scientific & Engineering Research, 7(3), 406–441.

Cironi, C. (2020). A Comparative Analysis of Apple’s Strategy from the Resource-Based View (RBV) Perspective and Positional View.

Dwivedi, N. (n.d.). IGCSE Business Studies: Analysis of Apple’s Vision and Mission Statement.

Michael A. Hitt. 2020. Strategic Management: Concepts and Cases: Competitiveness and Globalization 13th ed. Cengage Learning.

Podolny, J. M. (2020, November). How Apple Is Organized for Innovation. Harvard Business Review.

Sonnenfeld, D., (1998). Globalization of the Washington apple industry: its evolution and impacts. The International Journal of Sociology of Agriculture and Food7, 151-180.


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Choose one public corporation in an industry with which you are familiar. (Note: you will use this same corporation in every assignment throughout the course)
Use any or all of the following resources to conduct research on the corporation:
The corporation’s website.

Strategic Management and Strategic Competitiveness Assignment

Strategic Management and Strategic Competitiveness Assignment

Public filings from the Securities and Exchange Commission’s Filings & Forms page.
Strayer University’s online databases.
The Lexis Advance database.
Other miscellaneous sources. (The corporation’s annual report will often provide insights that other resources may not include.)
(Note: It is expected that you will also use your course textbook to complete the assignment.)
Use the Strategic Management and Strategic Competitiveness Template [DOCX] to write a 4-6 page academic research paper in which you include the following:
*Note: The title page and source list are in addition to the 4-6 page requirement
Assess how globalization and technology changes have impacted the corporation you researched. Support your assessment with specific evidence.
Apply the industrial organization model and the resource-based model to determine how your corporation could earn above-average returns. Support your response with specific evidence.
Assess how the vision statement and mission statement of the corporation influence its overall success. Support your assessment with specific evidence.
Evaluate how each category of stakeholder impacts the overall success of the corporation. Support your response with specific evidence.
Use three or more quality sources, including your textbook, to support your writing. Choose sources that are credible, relevant, and appropriate. Cite each source listed on your source page at least one time within your assignment. (Note: Wikipedia and similar websites do not qualify as academic resources)
For help with research, writing, and citation, access the library or review library guides.
Produce writing that is clear and well organized and applies appropriate Strayer Writing Standards (SWS) style. Writing contains accurate grammar, mechanics, and spelling.
This course requires the use of Strayer Writing Standards. For assistance and information, please refer to the Strayer Writing Standards link in the left-hand menu of your course. Check with your professor for any additional instructions.
The specific course learning outcome associated with this assignment is the following:
Determine the impact of globalization and technology changes, strategic models, vision and mission statements, and stakeholders on a corporation’s success.

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