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Sources: www.ibef.org

ABOUT COMPANY
April 1st,1976 - Founded January 3rd,1977 - Incorporated Headquarters - Cupertino, California Co-founders - Steve Jobs, Steve Wojniak CEO - Steve jobs

Industry - Computer software, computer hardware, consumer electronics.

Revenue - US$ 19.3 Billion
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Sources: Mc Kensey report

PRODUCTS AND FIGURES

Hardware - Mac(personal computer series),Apple Remote Desktop Software - Mac OS X, Mac OS X Server ,Quick Time, i Life, i Work, Logic pro, Cinema Display etc. Consumer Electronics - i pod, i pod hi-fi, i phone, Apple TV Employees - 19,787 full-time ; 3,399 temporary (March 31,2007) Retail stores - 183( 1st in Manhattan, New York)
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Competitors - HP, IBM, DELL

Sources: www.apple.com

PRODUCTS

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New Entrants Threat of new entrants

Bargaining power of the suppliers

Supplier

Existing rivalry in the industry

Customer Bargaining power of buyers

Substitute products & services

Substitutes
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EXISTING RIVALRY
Windows OS and media player for playing music and video ( Microsoft) Competition to Mac OS X (Linux)

Alternate sources of computer hardware (Dell, HP, Lenovo)

Small stylish MP3 players (Creative, Samsung, Sony) Online music stores similar to itunes stores (Napster)
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THREAT OF NEW ENTRANTS

Streaming audio and video with v-cast (Verizon) On demand online services (similar to i-tunes) New entrants with disruptive technology (The next google)

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BARGAINING POWER OF SUPPLIERS

Suppliers of processors and computer memory (Motorola, IBM, Intel) Strategic alliance/supplier of Mac (Microsoft) Supplier of tv and movies (Disney, ABC, Fox, Sony) Sources of music (BMG, Sony, Warner, Universal)

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11 Magazine :outlook (April-2009)

BARGAINING POWER OF CUSTOMERS

Customers share music using peer-to-peer networks without paying for music (Ares, Limewire) Retailers may pressure for lower prices or better terms (Distributors) Consumers/Businesses may reduce spending on computers if they fear economic downturns (Consumer Attitudes & Behaviors) Consumer Refresh Cycles
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THREAT FROM SUBSTITUTES

Satellite radio for music (XM, Sirius) Entertainment media, media and music (XBOX, PS2) Alternative means to acquire music (Music CDs, DVDs) Alternative sources for videos (Cable, Broadcast, Theatres)
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Magazine :PC-1 (April-2009) 13

RECOMMENDATIONS
FOR COMPANY: Lowering the cost of products and maintaining the same quality standards Can form joint ventures Knowledge Management

More number of retail stores for easy access

Continuous innovation to expand
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RECOMMENDATIONS
FOR OTHERS:
Do not compromise on price for quality
Choose the products based on individual needs Be unique and different

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