Apple's Vertical Integration

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Due to the success of Apple’s use of vertical integration, companies such as Google, Amazon, and Microsoft have used this strategy to try and produce similar results to Apple (Knowledge, 2012). Vertical integration when looking at Apple, shows that the hardware and software used for the iPhone and iPad was designed by Apple along with the processor design for the products (Knowledge, 2012). Apple was able to set the pace for mobile computing successfully leading to other companies wanting to do the same, although it make not always lead to success. Apple has been using the vertical integration for about 30 years, which gave them an advantage over other companies who are now trying to produce similar results (Knowledge, 2012).
http://business.time.com/2012/03/16/how-apple-made-vertical-integration-hot-again-too-hot-maybe/ …show more content…
Stewart, states that if a search was to be done on Amazon for UnderArmour men’s clothing 18,687 items appear compared to 671 items at Walmart (2015). Although the numbers are always changing Amazon offers approximately 200 million items (Stewart, 2015). In the second video shown, the inside world of Amazon is looked at. When looking at how many products Amazon offers, customers can even find a pink tuxedo there. The video explains that small business owners can sell their products through amazon, explaining how they are able to have such a wide variety of products offered. With a huge company like Amazon, it is essential for them to use a distribution center because storing all of the products they offer would cost too much money and slow down the quick delivery services they are now known for. http://www.nytimes.com/2015/10/23/business/walmart-plays-catch-up-with-amazon.html

References
Knowledge. (2012, March 16). How Apple Made ‘Vertical Integration’ Hot Again - Too Hot, Maybe | TIME.com. Retrieved November 6, 2015, from http://business.time.com/ 2012/03/16/how-apple-made-vertical-integration-hot-again-too-hot-maybe/
Perreault, Cannon, & McCarthy (2015). Essentials of Marketing, 14th ed. McGraw-Hill Irwin:NY, NY
Stewart, J. (2015, October 22). Walmart Plays Catch-Up With Amazon. Retrieved November 6, 2015, from http://www.nytimes.com/2015/10/23/business/walmart-plays-catch-up-with-
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