By, Rajendran Amritha (121) Ramachandran D (123) Sarah Joseph (139) Sowmya Safeena (160) Subin Mathew Mammen

(161) Suraj Patil (165)

1955-2011

Apple Computer Inc was established on April 1, 1976 at Cupertino, California by Steve Jobs, Steve Wozniak, and Ronald Wayne. Changed name to Apple Inc to reflect the company's ongoing expansion into the consumer electronics. 357 retail stores and sales of $108.249 billion. Fortune magazine named Apple the most admired company in the United States in 2008. Philosophy of comprehensive aesthetic design and distinctive advertising campaigns. Focuses on Computer hardware, Computer software, Consumer electronics and Digital distribution.

First product was Apple I computer kit. Apple II was later released in 1977. Both models went on to be huge hits. But Apple III (1980) was a huge failure. By 1980, Apple recruited a large number of employees and went public. Steve Jobs began working on the Apple Lisa in 1978 after a spat with Xerox.

In 1982, Jobs was pushed from the Lisa team due to infighting, and took over Jef Raskin's low-cost-computer project, the Macintosh. Lisa won the race in 1983 and became the first personal computer sold to the public with a GUI. In 1984, Apple next launched the Macintosh. Went on to be a huge success.

In 1985 a power struggle developed between Jobs and CEO John Sculley, who had been hired two years earlier. The Apple board of directors instructed Sculley to "contain" Jobs and limit his ability to launch expensive forays into untested products. Jobs attempted to oust him from his leadership role at Apple. Apple's board of directors sided with Sculley and removed Jobs from his managerial duties. Jobs resigned from Apple and founded NeXT Inc. in 1986.

inspirational motivator, but not a day-to-day manager. What was sad was that he could not see it.
John Sculley on Steve Jobs.

"Steve was a big thinker, an

Sculley, with his conventional business background and considerable successful history was considered better than Steve Jobs. Jobs was more aggressive and autocratic. John Sculley took several measures to save the company, which had become chaotic. Cond Nast Portfolio went on to rank Sculley as the 14th worst American CEO of all time.

Sculley brought about changes that turned out to be huge blunders. Apple introduced the PowerBook in 1991. The success of the PowerBook and other products brought increasing revenue initially. Sculley introduced the Centris line, a lowend Quadra offering, and the illfated Performa line. The result was disastrous for Apple and it started the downfall. Enormous resources were also invested in the problem-plagued Newton division based on Sculley's unrealistic market forecasts.

At the same time, Microsoft gained market share. Microsoft threatened to discontinue Microsoft Office for the Macintosh if Apple did not license parts of the Macintosh graphical user interface to use in the Windows operating system. Under pressure, Sculley agreed, a decision which later affected the Apple v. Microsoft lawsuit. Apple sued Microsoft for using a graphical user interface similar to the Apple Lisa and finally lost the case. Apples margins eroded, sales diminished and stock declined. In 1990, Apple's board ultimately forced Sculley out and Michael Spindler replaced him as the CEO.

Apple faced stiff competition from IBM and Sun Microsystems. All the attempts at reinvention failed. In 1996, Michael Spindler was replaced by Gil Amelio as CEO. Amelio made many changes at Apple, including extensive layoffs. He decided to bring back Steve Jobs back to Apple as an advisor. On July 9, 1997, Gil Amelio was ousted by the board of directors after overseeing a three-year record-low stock price and crippling financial losses. Jobs became the interim CEO and began restructuring the company's product line.

Steve Jobs reduced the company's large and confusing product lines immediately. He introduced the iMac G3. Started diversifying into other software and consumer electronics. The following year, Apple released two video editing products: iMovie for consumers and, for professionals, Final Cut Pro

In 2001, Apple announced the iPod portable digital audio player, and started selling it on November 10. The product was phenomenally successful over 100 million units were sold within six years. In 2003, Apple's iTunes Store was introduced, quickly becoming the market leader in online music services. Jonathan Ive, currently Vice President, is credited for bringing the innovative design features of many Apple products.

The biggest change came in the form of its leader, Jobs, now much softer, less authoritative but with a similar grit. Jobs brought in an unconventional style of leadership. Every small aspect of the business like the food served at the cafeteria and the company bus design were scrutinized. Apple encouraged a culture of strict accountability at all levels of the organisation by meeting each Monday with executives to set the tone for the week. Employees were recruited into the company as specialists and put into roles that made the most of their specific strengths and abilities.

Apple started developing new products which stuck to the Apple DNA of easy to use and design that appealed to the masses. New product innovations were introduced. Things like numerical keypad, mouse with two buttons were banished for a better design. Apple advertised its products in a very aggressive manner. Apple had more than a dozen ad agencies and all of them were fired except one to cut costs.

Introduce new features slowly.

Apple follows their own release cycle. They dont release any feature or function pre-maturely just to beat out their competition or to catch up with the industry.

Making design and user experience a priority.

These devices dont come with extensive user manuals. It doesnt require instructions.

 Not

Apple still refuses to release a larger screen while everyone else is rushing out to have the biggest screens. Apple doesnt claim to have 8 megapixel cameras when it knows that average users dont even use all those pixels. Apple builds systems for the general population, not niche groups. Apple focused on markets where it was strongest.

being caught up in fads.

Leadership
Vibrant and aggressive leadership by Steve Jobs.

Technology
Apple does not depend on its suppliers technical breakthroughs. It can innovate on hardware and software at its own pace.

Marketing
Product Differentiation, Effective Advertisement. Apples main focus is the consumer market where every person votes for themselves

How this was done has already been the subject of numerous studies The fantastic Mr Jobs himself who was brought out of retirement to save Apple from bankruptcy. The way Apple brilliantly manages to marry fashionable hardware and software design. Apple is a hardware designer, not a hardware producer.

Thank You!!