STEVE JOB, (as an entrepreneur)

APPLE

Steve job attended Cupertino Middle School and Homestead High School, both in Cupertino, California,USA.

He attended after school lectures at the Hewlett-Packard Company, where he was later hired. He worked there with Steve Wozniak as a summer employee

After high school, he attended Reed College in Portland, for one semester, and then dropped out

Two years later, in 1974, he started going to meetings for the “Homebrew Computer Club” with Steve Wozniak in California

Jobs took a job at Atari, a popular video game company, as a technician, hoping to save enough money for a spiritual retreat to India

He came back from the trip, head shaved, wearing traditional Indian clothing, and ready to go back to Atari.

He was given the job of creating the circuit board for the game “Breakout”, and $100 for each chip he could reduce. He gave the job to Wozniak, who created a design so tight, the assembly line couldn’t do it, and reduced the design by 50 chips.

After he saw wozniak cretivity and talented work and his passionate towards electronic theories he realised to start computer company (and ready to take risk in those days).

EDUCATION CAREER OF STEVE JOBS

Steve job and wozniak

History 1976-1978• Steve Wozniak and Steve Jobs form the Apple Computer Company on April Fool's Day on 1976 in GARAGE. • Wozniak and Jobs finish work on a preassembled computer circuit

board. It has no keyboard, case, sound or graphics. They call it the Apple® I….The Apple I board is released for sale to hobbyists and electronics enthusiasts at the price of $666.66.

• Apple's first formal business plan sets a goal for sales to grow to $500 million in ten years. As it turns out, the company will pass that mark in half the time.

• Apple I computer boards are sold through 10 retail stores in the

U.S.• Apple moves from Jobs' garage to a building on Stevens Creek in

Cupertino, California. • The new Apple® II is unveiled at the first West Coast Computer

Fair. It is the first personal computer able to generate color graphics and includes a keyboard, power supply and attractive case .

• Regis McKenna Advertising launches its first ad campaign for Apple. Although advertising is initially aimed at electronics enthusiasts, Apple will soon become the first company to advertise personal computers in consumer magazines.

• Monthly orders reach a $1 million annual sales rate.

STEVE JoB n WOZNIAK

Jobs has been giving inspiring presentations for decades.

In 1984, Jobs unveiled the first Macintosh.

The launch remains one of the most dramatic presentations in corporate history.

The idea fell from a tree, literally. Steve Jobs had returned from visiting a commune-like place in Oregon located in an apple orchard. Apple co-founder and Jobs’ pal, Steve Wozniak, picked him up from the airport. On the drive home, Jobs simply said, “I came up with a name for our company—Apple.” Wozniak said they could have tried to come up with more technical sounding names but their vision was to make computers approachable. Apple fit perfectly.

Present apple logo

19761977

Steve Jobs was the founder and inspiration for the Apple Company, but he was slowly pushed out for “aggressive and underhanded tactics”

Employees said he had a temper, and was usually stubborn After an internal power struggle, he was eventually kicked off

the board of directors Jobs protested and resigned, even though he stayed the

chairmen for some time. He was so upset, he sold all but one of his Apple shares

During this time, Jobs bought what became “Pixar” from Lucasfilm for $5 million

He also started the computer company “NeXT Computer” Though it never went very mainstream, due to high costs, it was

responsible for many important innovations, including “NeXTMail”, Jobs email program that supported embedded graphics and sounds and the original World Wide Web system(www)

Steve is in the Guinness Book of World Records as the "Lowest Paid Chief Executive Officer”, with a salary of just $1. However, gifts like a $46 million jet and just under 30 million shares of restricted stock make him very well off to say the least

Pixar, which Jobs bought in 1986, has been responsible for films such as “Toy Story”, “Finding Nemo”, the Walie and “The Incredibles” etc.

Relations with Disney were getting tough, though, and Jobs announced that they would find a new partner in 2004. But, when Eisner was replaced by Bob Iger in 2005, he improved relations, and Disney bought Pixar for $7.4 billion.

This made Steve Jobs the largest single shareholder of the Walt Disney Company, with 7% of the stock

By this we can say that Steve JOB’s is not only a Innovator..but he is also good ENTERPRENEUR. He all together started three companies which redefines the world thinking process and

Revolutionised the IT industry as well as ANIMATION field.

Apple bought NeXT in 1996, bringing Jobs back to Apple When the CEO in 1997, Gil Amelio, was thrown out, Jobs took his place To show how profitable he could make Apple again,

he released a number of new items like the Newton, Cyberdog, and OpenDoc.

He invented the i-pod and world thinnest notebook MAC BOOK AIR.(now this is called CREATIVITY)

The coming years brought many new products, including Mac OS X, the iMac, the iTunens,i-tv...

JOB’s RETURN TO APPLE

“Creativity is just connecting things.”

-Steve jobs

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 pad hi-fi, i phone, Apple TV

Employees - 40,787 full-time ; 3,399 temporary (March 30,2010)

Retail stores – 230( 1st in Manhattan, New York)

Competitors – MICROSOFT,HP, IBM, DELL, nokia, sony ericsson ,phillips etc….

Focus On Education

iMac,1998

Adding

Lifestyle Strategy

Digital Hub

Music Strategy (iTunes)

Video Strategy (iMovie)

Internet Strategy (iTools)

Convergence

Apple II, 1977)

Apple I(april 1st 1976)

Apple III, 1980 Lisa,1983

Power Book (1st laptop 1991)

MAC,1984

It had 1st floppy disk drive

Mac book Air-worlds 1st slimmest notebook,2006

iPods(2001)

values

Mac pro, 2004

Apple tv,2007

i-phone,2007

i-pad,2010

VARIOUS PRODUCT

CYCLE

VISION AND MISSION

VISION

“Man is the creator of change in this world.

As such he should be above systems and

structures, and not subordinate to them.”

 MISSION

“Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and internet offerings.”

Steve Jobs has never underestimated the power of vision to move a brand forward. In 1976, Steve Wozniak was captivated by Jobs’ vision to “put a computer in the hands of everyday people.”

Opportunity Statement Apple Inc.currently operates in highly competitive and highly technological

driven consumer electronics / computer industries. There exists opportunities to further leverage the intellectual capital and brand image along with new digital business strategies to create new sources of sustainable competitive advantage within Apple Inc.

Discovery of untapped resources

- More dedicated and loyal customer base

- Higher profit margins

- New sources of Sustainable Competitive Advantage

Significance to Leadership

• Greater customer share

• Increase in profit margins

• Sustainable competitive advantage

• It should give more stress to follow SIX SIGMA method.

Expected Outcomes

LEADERSHIP ROLES IN DEVELOPING APPLE

SWOT ANALYSISinternal factors

STRENGTHSOne of the oldest hardware manufacturers.

Control over the product.

High quality product.

Easy to carry products

Huge consumer base loyal to apple

Product diversification

Focusing on internal engg. more than marketing

High price

It doesn't give franchises.

Lack of succession planning

Not issued dividends

WEAKNESSES

SWOT ANALYSIS

OPPORTUNITIESLess expensive new product lines with quality.

Product line is functional and attractive.

Flexibility to its users.

ipods are able to communicate.

New car models with ipod connectivity.

THREATSPressure from competitors.

Substitution effect

Technology changes at a rapid rate.

Forced to develop new products.

External factors

Substitutes

Supplier

New Entrants

CustomerExisting

rivalry in the industry

Threat of new entrants

Bargaining power of buyers

Substitute products & services

Bargaining power of the suppliers

PORTER’S FIVE FORCES MODEL

EXISTING RIVALRY

Windows OS and media player for playing music and video ( Microsoft is the biggest RIVAL)

Competition to Mac OS X (Linux)

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

Small stylish MP3 players (Creative, Samsung,sony etc.)

Online music stores similar to that of itunes stores(lime wire.etc are free of cost)

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”)

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)

BARGAINING POWER OF CUSTOMERS

Customers share music using peer-to-peer networks without paying money 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

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)

Situation Analysis

• Non-traditional(unlike IBM) - Team and department divisions- Very informal and non-hierarchical

• Jobs still very much in control

Source: The Wall Street Journal; ICMRIndia; Apple Insider

Organizational Structure

• Corporate headquarters in Cupertino, CA

• Most manufacturing in China– Supplier code of

conduct– More than 200 stores

directly under apple

(Internal Factors)

Marketing

Apple adopts Four P’s ;

1. Product

2. Price

3. Place

4. Promotion

Two main types of products:Hardwareo Personal computerso Portable devices(i-

pod’s,ipad’s..etc)Softwareo iTuneso Final Cut Proo Logic Studio(and lot more software

concerned in every aspects of work)

Apple Inc’s product strategy is:

• Supply superior ease-to-use

• Seamless integration

• Innovative industrial design

Promotional techniques

“Test drive a Mac”

iPod as contemporary art

Celebrity involvement

ADVERTISMENT

•Value based pricing model

•Variable pricing for iTunes

•Fixed pricing over all

oDistribution:o Sales Forceo Third party wholesale

Distribution Channels:• Resellers

• Large distribution

• On line stores

• No Franchises

(in INDIA reliance digital store sells APPLE products)

Marketing - PriceMarketing - Price

Marketing - Promotion

“We don’t know how to make a $500 computer that’s not a piece of junk”

- STEVE JOBS

• April 20, 2010: Apple announced its annual report (2009 report):

- Revenue of $13.5 billion

- Quarterly profits of $3.07 billion

• Stock price $252.36/share

• Holds over $40 billion of cash reserves

Financial News

in the graph: the success of iPod supported the sales of MacsSource: Apple Inc.

•Hence we can say that i-Pod’s , i-phones and I-pad’s are the main source of income than Apple Mac Computers.•Even though Apple was 1st to innovate the computers it still lags behind Microsoft n some other leading brands of computers(like dell) due to the lack of financial Tactic's and marketing.•Apple i-phone is the second largest leading brand in cellular communication and i-pod’s are 1st largest leading brand in music devices in the world.

Apple: control and decide

Tight control on all aspects of UX

The firm cannot support all development cost and must focus on a few products.

Microsoft Office (at the beginning only available for the Macintosh platform) was instrumental in fostering its sales.

Microsoft & Google: dominate and divide Focus on one strategic layer (Windows, Search) They create competition to let others innovate in all remaining layers (hardware, web…)

microsoft realsed new windows 7.

APPLE V/S WINDOWS

1985: Bill Gates was software n gaming developer for apple mac. he begs Apple to consider licensing the Macintosh: “Apple must make Macintosh a standard”.but steve job never took serious about keeping trade secret and trade rights of MAC.So there is rumor's tat Bill gates actually copied the interface and some programs of mac and adopted in WINDOWS (in 1985) which was better and user friendly than APPLE MAC.IN 1995 Bill gates realsed windows-95 and he was richest person and MICROSOFT was in1st position. 1996: “If we had licensed earlier, we would be the Microsoft of today” (Apple executive VP Ian W. Diery) The same year, Apple reports $740 m loss (apple realised their Mistake ….But it was Too late)

• Apple faced many problem during absence of its great leader Steve Job and in this period Microsoft Windows started growing like anything. Apple had lost market grip in tat periods.

• But after return of JOB’s to apple it picked up in market and competes with Gigantic grown Microsoft.

• Apple joined hands with windows in 1997 mac boston meeting where both companies agreed to share legally Microsoft Office , JAVA packages and some other applications in mac.

• Now apple allows to use windows on it( called parallel desktop) so that a person can use both operating system Mac and winnows in one computer at time (this facility made, actually increased Apple customers.

• Apple claims tat windows vista is copy of Mac OSX 8 leopard. ..but legally it did not fight against them.

Barriers Overcome by Apple

THANK YOU

‘’Stay hungry, stay foolish”