Executive Summary

After extensive analysis into Apple’s internal condition and industry position it has been concluded to pursue a strategy of backwards integration. Further research revealed Micron Technology Incorporated as a suitable supplier to be acquired.

Strategy Details

• Cost: $15.32 billion
• NPV: $3.18 billion
• IRR: 38%

Vision & Mission

Vision Statement: Apple’s vision is to be the most desired premium mobile device and personal computer supplier in the world, offering exceptional customer service, the latest technology, and the highest quality.

Mission Statement: At Apple, we deliver high quality, enjoyable and seamless technological experiences to our customers through their major product lines; iPhone, iPad, and iMac, and the Apple Watch. Through the innovative features of these products and the software inside them, we improve the quality of our customers’ lives. We sell our products to customers all over the world, including the Americas, Europe, and China. We stay on the cutting edge of personal electronic technology and are committed to constant growth and financial security. Our philosophy includes creating beautiful, sustainable products, that meet the needs of our customers, including needs they have not discovered themselves. Our brand equity and product quality give us a distinct advantage over our competitors and we continuously strive to improve the conditions under which our employees and the employees of our suppliers work as well as prioritizing the use of sustainable design and production processes. Our employees are integral to our success; from research and design, to retail and customer service, our employees create the experience for our customers and we work to help them continually improve themselves on a personal and professional level.

Internal Assessment

External Assessment

SWOT Matrix

SPACE Matrix

IE Matrix

QSPM

Recommendations Page

• Strategy: We propose for Apple, Inc. to acquire one of their primary suppliers Micron Technology Incorporated.
• Cost of Strategy: $15.32 billion
• NPV: $3.18 billion
• IRR: 38%

Strategy Implementation

Timeline

What Does this Produce?

• Net Income 10% greater than without implementing strategy
• By 2019:
• Return on Equity: 55%
• ROI: 38%
• EPS: $14.57