Related and Supporting Industries

This specific attribute in Porter’s Diamond Model focuses on first, how many companies are
there in their country and how these companies could aid and benefit from one another in
terms of business growth. Second, this attribute also studies how strong the economic sector is,
for example, do the country where the business is has an abundant flow of supplies or on the
other hand, the demand is high enough to sustain or support the business’ economic
necessities.
It is indeed that the presence of other related and supporting industries poses a significant role
for the business to achieve success and established position in the market place where
competition is strict. As a matter of fact, in order to create additional value for the customers
and to become more locally and globally competitive, companies often tend to form strategic
alliances and partnerships. Since in this way, more ideas and ways to innovate their products
and services are being stimulated which require cost friendly inputs but in return, promote
effective outputs for the business.
In case of the Apple, their company is located in the Silicon Valley in a region in Northern
California and is being surrounded by hundreds of technology, software and internet
companies. Silicon Valley is named after the main material in computer microprocessors which
is the silicon transistor. The Silicon Valley is a known home for the prominent technology
companies that started and headquartered there including Apple, Google, Facebook, Netflix,
etc. Silicon Valley is considered to be a center of technological innovation where the companies
located in here promote an innovative mindset, entrepreneurial spirit, and a lifestyle founded
on technologically based wealth. In addition, the Silicon Valley is located near the Stanford
University and other state university campuses. Thus, this academic presence has helped fuel a
rich research and development synergy throughout the Valley. So, we can say that the Apple,
has effective supporting industries since technological aid is easily accessible for them just like
for example when Apple partnered with Intel, a famous company that manufactures computer
chips to produce for their Macbook chips. That is why their company continues to grow and
launches new and better ideas for their technologies. In result, their products reflect premium
value and quality which satisfy their target market and also helps them to established brand
equity which enable them to overcome hostile competitions.