Apple Stock Research Paper Example | Topics and Well Written Essays - 3750 words

Apple birth - Research Paper ExampleAccording to the study the industry in which Apple operates in bum be characterized into external features using Michael Porters five forces framework. The industry has barriers to entry due to the material capital requirements needed to enter. The degree of competition that the industry faces also limits entry of newcomers and the brand identity that from each one player in the industry creates bars new entrants since they would struggle for any significant market handle due to their lack of any brand identity.From this paper it is clear thatthere is the constant threat of substitutes that the alliance faces due to the higher prices that the company imposes on its products as compared to its competitors. Generally, Apple products are highly priced than other connatural products in the market, therefore there is that threat that consumers might opt to go for a lower priced trade good from Apples rivals. The threat of substitutes is also cre ated due to the nature of the company business which is a closed ecosystem and is therefore difficult to switch to any other form of business. There is also the supplier personnel that Apple as a corporation holds. The company always creates quality products making the company shake up the power to bargain for a higher price for their products in relation to their competitors.Apple Inc. is one of the near valuable companies in the world and much of its success is attributed to the sustainable competitive advantage it has created over the years.