Competitive Strategies Case Study

Apple’s Foray in Retailing

OR

Abstract:

In 2001, Apple Computer Inc. (Apple) forayed in retailing as part of its initiative to increase its brand awareness and showcase its Macintosh computers and operating system. Since then, the retail stores functioned towards increasing the visibility of its products as well as disseminating product knowledge through one-to-one customer interaction. In May 2006, Apple introduced its 147th retail outlet in New York and its retail strategy evolved from the traditional ‘store-front sales approach’ towards a ‘techno-equivalent of the neighborhood bar’, where people could visit, meet friends, learn and have an enjoyable time.

The case, while providing a broad overview of the company, discusses Apple’s retail initiatives both in the domestic as well as the international market.

Pedagogical Objectives:

• To discuss Apple’s retailing initiatives as part of its strategy to increase product visibility, product availability and customer interaction
• To understand how a separate distribution channel would lead to increase in product awareness and product recall
• To understand Apple’s brand-building initiatives through creation of company-owned retail stores
• To discuss the success probability of Apple’s mass strategy.

Keywords : Apple Computer; Retail stores; Competitive Strategies Case Study; Macintosh operating system; iPod; Genius Bar; Dell; Kiosks; Distribution channel; Solution zones; Steve Jobs; Product innovation; Design studio; Digital lifestyle; Resellers

Contents : 
A Brief Profile Of The Company
Apple’s Retail Stores
Dell’s Counter Moves
Dell’s Distribution Channel Compared To The Industry
Different Strategies Of Companies