1. Michael Porter, 5 Forces Mark Fielding-Pritchard 1mefieding.com

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4. Sources: www.ibef.org 4mefieding.com

5. ABOUT COMPANY April 1 st,1976 - Founded January 3 rd,1977 - Incorporated Headquarters - Cupertino, California Co-founders - Steve Jobs, Steve Wojniak CEO - Steve jobs Industry - Computer software, computer hardware, consumer electronics. Revenue - US$ 19.3 Billion 5 Sources: Mc Kinsey report mefieding.com

6. Substitutes Supplier New Entrants Customer Existing rivalry in the industry Threat of new entrants Bargaining power of buyers Substitute products & services Bargaining power of the suppliers 6mefieding.com

7. EXISTING RIVALRY Windows OS and media player for playing music and video ( Microsoft) Competition to Mac OS X (Linux) Alternate sources of computer hardware (Dell, HP, Lenovo) Small stylish MP3 players (Creative, Samsung, Sony) Online music stores similar to itunes stores (Napster) 7mefieding.com

8. THREAT OF NEW ENTRANTS Streaming audio and video with v-cast (Verizon) On demand online services (similar to i- tunes) New entrants with disruptive technology (The “next google”) 8mefieding.com

9. BARGAINING POWER OF SUPPLIERS Suppliers of processors and computer memory (Motorola, IBM, Intel) Strategic alliance/supplier of Mac (Microsoft) Supplier of tv and movies (Disney, ABC, Fox, Sony) Sources of music (BMG, Sony, Warner, Universal) 9mefieding.com

10. BARGAINING POWER OF CUSTOMERS Customers share music using peer-to-peer networks without paying for music (Ares, Limewire) Retailers may pressure for lower prices or better terms (Distributors) Consumers/Businesses may reduce spending on computers if they fear economic downturns (Consumer Attitudes & Behaviors) Consumer Refresh Cycles 10mefieding.com

11. THREAT FROM SUBSTITUTES Satellite radio for music (XM, Sirius) Entertainment media, media and music (XBOX, PS2) Alternative means to acquire music (Music CDs, DVDs) Alternative sources for videos (Cable, Broadcast, Theatres) 11mefieding.com

12. RECOMMENDATIONS FOR COMPANY: Lowering the cost of products and maintaining the same quality standards Can form joint – ventures Knowledge Management More number of retail stores for easy access Continuous innovation to expand 12mefieding.com

13. RECOMMENDATIONS FOR OTHERS: Do not compromise on price for quality Choose the products based on individual needs Be unique and different 13mefieding.com