1. Table of Contents
1.0 EXECUTIVE SUMMARY OF APPLE AND NOKIA CASE 2
2.0 QUESTION 1 3 2.1 Competitive analysis of Apple and Nokia – who is stronger? 3 2.1.1 Competitive Analysis 3 22.214.171.124 SWOT Analysis 5 1.1.1 Strengths of Apple 6 126.96.36.199 Value Chain Analysis 9 188.8.131.52 Resourced Base View Tool 11
3.0 QUESTION 2 14 3.1 PESTEL analysis tool 15 3.2 Porter’s Five Forces 17 3.3 The Implications for Strategic Development are; 21
4.0 QUESTION 3 21 4.1 Critical Analysis Lessons from Apple’s risky but profitable strategy 21
5.0 REFERENCE: 23 …show more content…
To undertake competitive analysis of rival firms is to compare and contrast their strategies and approaches to theoretical concepts. In strategic management therefore, this implies an examination of these approaches against tools and techniques in strategic management.
Again, to be able to fairly conduct a competitive analysis of Apple and Nokia, it is important to understand the market in which the rival firms are operating. Generally, there are four types of markets, namely;
• Perfect competitive market.
Perfect Competitive Market is a situation in which no individual supplier in the market can individually influence the market ( i.e. each firm is a price taker) and each supplier can sell however much it wants at the prevailing market price ( Janice Hauge & Mark Jamison, 2009)
1) Three conditions that make a market perfectly competitive are,
• Many buyers and sellers all of whom are small to market.
• Products sold by all firms are identical.
• No barriers for new firms to enter the market.
2) Price in perfectly competitive markets are determined by the interaction of demand and supply and once the equilibrium price is determined all buyers and sellers have to