FROM

APPLE COMPUTER

TO
APPLE INC.

The Transition

MAJOR PRODUCTS

Apple introduced the Macintosh in 1984

The company was only involved in designing & manufacturing Hardware & developing Software
2001 Launch of iPod

2007 iPhone & Apple TV

2010 iPad Apple has gone from being a computer company to being a true consumer brand

Analysis through Porters Essential Tests

Attractiveness Test

Diversification must be directed towards actual or potentially-attractive industries

High ROI

High Entry Barriers

Low Customers & Buyers Bargaining Power Few Substitute Products

The Cost of Entry Test

The cost of entry must not capitalize all future profits

No Major Acquisition was Required

Goals were achievable through Internal Growth

The Better-Off Test

Either the new unit must gain competitive advantage from its link with the corporation, or vice-versa

Synergy
Competitive Advantage Transfer of Skill

THANK YOU