Apple Inc. By Willis Howard

3. The Company’s Products & Services
 The company’s products and
services include IPhone,
iPad, Mac, IPod, Apple TV, a
portfolio of consumer and
professional software
applications, the iOS and OS
X operating system, iCloud,
and a variety of accessory,
service and support offerings.
 The company sells and
delivers digital content and
applications worldwide
through the iTunes store, app
store, iBooks store, and Mac
App store.

4. SWOT Analysis
SWOT defined
Role in analyzing a company
The future products of Apple

5. Strengths
-Strong Marketing and advertising
capabilities
-Strong and extensive distribution
channels in the US
-Vertical integration
-Brand reputation and awareness
-Customer loyalty
-Strong financial performance
-Leading innovator in mobile device
technology
-Retail sores
Weaknesses
-High Price
-Lack of product breadth and offerings
at different price points
-Weak direct distribution channels in
China and India
-Decreasing market share
-Patent infringements
-Further changes in management
-Dependence on iPhone and iPad sales
-Incompatibility with other OS
-Defects on new products
-Long-term gross margin decline

6. Opportunities
-Acquisition of valuable companies
-Obtaining patents through
acquisitions
-Damages from patent infringements
-Mobile payments
-Strong growth of mobile advertising
market
Threats
-Competition for other computers
companies
-Lawsuit over patent infringement
-Rapid technological change
-2013 taxes increase
- Rising pay levels for Foxconn
workers
-Increasing demand for cloud based
services
-Wearable gadgets
-High demand of iPad mini and
IPhone
-iTV launch
-Emergence of the new provider of
application processors
-Growth of tablet and smartphones
markets
-Breached IP rights
-Price pressure from Samsung over key
components
-Strong dollar
-Android OS growth
-Competitors moves in online music
market

7. Strategic Marketing
Plan
According to Tim Cook, the current
CEO, Steve Jobs’ original structured
marketing strategy for Apple had
four (4) sections:
Offer a limited number of
products.
Focus on high end consumers.
Prioritize profits over market share.
Create a halo effect that makes
people starve for new Apple
products.

8. Apple Inc.
Major Direct Stakeholders
Holder Shares Reported
LEVINSON ARTHUR 1,138,886 AUG 8, 2014
COOK TIMOTHY 950,767 SEP 22, 2014
FEDERIGHI CRAIG 237,048 NOV 24, 2014
GORE ALBERT JR 62,523 FEB 1, 2014
MANSFIELD ROBERT L 49,543 JUN 21, 2013

9. Top Institutional Holders
Holder Shares Reported
Vanguard Group, Inc. (The) 327,063,967 SEP 30, 2014
State Street Corporation 242,255,909 SEP 30, 2014
FMR, LLC 173,987,606 SEP 30, 2014
BlackRock Institutional Trust Company,
N.A.
158,746,999 SEP 30, 2014
Bank of New York Mellon Corporation 89,007,388 SEP 30, 2014
Northern Trust Corporation 83,437,298 SEP 30, 2014
Invesco Ltd. 70,230,794 SEP 30, 2014
BlackRock Fund Advisors 67,124,320 SEP 30, 2014
Wellington Management Company, LLP 60,062,760 SEP 30, 2014
JP Morgan Chase & Company 58,519,182 SEP 30, 2014
** % of Shares Held by Institutional & Mutual Fund Owners: 62% **

10. Top Mutual Fund Holders
Holder Shares Reported
Vanguard Total Stock Market Index Fund 98,049,200 SEP 30, 2014
Vanguard 500 Index Fund 62,164,243 SEP 30, 2014
SPDR S&P 500 ETF Trust 61,425,804 SEP 30, 2014
Vanguard Institutional Index Fund-
Institutional Index Fund
60,664,513 SEP 30, 2014
Powershares Exhg Traded Fd Tr-Powershares
QQQ Tr, Series 1
56,575,140 SEP 30, 2014
Fidelity Contrafund Inc 31,448,349 SEP 30, 2014
Vanguard Growth Index Fund 29,450,196 SEP 30, 2014
College Retirement Equities Fund-Stock
Account
26,491,114 JUN 30, 2014
Spartan 500 Index Fund 26,216,310 SEP 30, 2014
Fidelity Growth Company Fund 21,537,648 SEP 30, 2014
** % of Shares Held by Institutional & Mutual Fund Owners: 62% **

12. Financial Reports
Consolidated Statement of Operations
(2010, 2011, & 2012)
Consolidated Balance Statement (2001 & 2012)
Consolidated Statement of Shareholders’ Equity (2009,
2010, 2011, & 2012)
Consolidated Statement of Cash Flows (2010, 2011,
& 2012)

15. Consolidated Balance Statement
cont’d

17. Consolidated Statement of Shareholders’
Equity cont’d

19. Consolidated Statements of Cash Flows
cont’d

20. Apple’s
Contribution to the
Tech World
Macintosh
OS X (Operations System X)
iPod
iPhone
App Store
pad
Apple TV

21. Apple’s Long-term Impact
Apple does two things over and over again that almost
no other company does, and they add up to a decent chunk
of what leaves so many of us mystified by the company’s
design prowess. Apple Design Sideways and Design for the
Future.
Apples Long-term impact is mainly to inspire other
companies to be more innovative than the next.

22. Apple’s Latest Products

23. Apple’s Future Products

24. References
 Muller, C. (2010). Apple’s approach towards innovation and creativity. Retrieved from
http://www.grin.com/en/e-book/167838/apple-s-approach-towards-innovation-and-creativity
 Scherer, F. M. (1984). Innovation and Growth: Schumpeterian Perspectives, Cambridge, MA: MIT Press.
 Tidd, J., Bessant, J. and Pavitt, J. (2001). Managing Innovation: Integrating Technological, Market and
Organisational Change, John Wiley. http://finance.yahoo.com/q/mh?s=AAPL%2C+&ql=1
 Nielson, S. (2014, February 6). Must know: An investor's essential guide to Apple. Retrieved December 6,
2014, from http://marketrealist.com/2014/02/ecosystem/
 Magee, D. (2011, July 21). Apple's Competitive Advantage: Multiple Products That Integrate as One.
Retrieved December 6, 2014, from http://www.ibtimes.com/apples-competitive-advantage-multiple-
products-integrate-one-300605
 Jubak, J. (2014, September 9). Can You See Apple's Long-Term Competitive Advantage in Its New
Product. Retrieved December 6, 2014, from http://www.moneyshow.com/articles.asp?aid=Jubak_blog-
40921
 Apple Inc. (Annual Report). http://investor.apple.com/secfiling.cfm?filingid=1193125-12-
444068&cik=#D411355D10K_HTM_TX411355_4