Step 8 - TOWS Matrix (Apple)

Strengths – Threats

ST (Max-Min) Action Plans	Strategy
S1T1-- Utilize company’s competencies in innovative products to respond to the rapid changes in IT industry and increase market share	PD
S1T2-- Utilize company’s core competency in new product development to challenge the generic manufacturers	PD
S1T3-- Take advantage of the flexible and creative organization culture to bring about innovations in the supply chain and move it towards JIT	PD
S1T4-- Take advantage of patents and licensing to gain more financial strength to match that of competitors	MD
S1T5-- Continue green product innovation to promote the public image of the company	PD
S2T1-- Contemplate reinvention of existing products using their advantage in technology to challenge the low-cost computer manufacturers in China	PD
S2T2-- Keep on reducing costs and prices to retaliate the growth of cheap, generic assembled PCs	CL
S2T3-- Take advantage of the current high returns and profitability to aggressively establish and promote online sales points	MP
S2T4-- Maintain the current growth in revenues with cost reduction to challenge the financial dominance of larger competitors in the market	CL
S2T5-- Use the current financial strength to fund the infrastructure used for future collection and recycling of used products	BI
S3T1-- Continue to make trendy products addressing the needs of diverse buyers to achieve economies of scale for every product	PD
S3T2-- Maintain a policy of trendsetting through products with a wide range of users and a price premium, to resist declining profit margins	PD
S3T3-- Maintain the dominant position of online media store to challenge Dell’s prime position as online hardware store	MP
S3T4-- Utilize the synergy effects among Mac computers, handheld devices, and media store to confront the synergy effect present in Hp-Compaq	PD
S3T5-- Take advantage of trendsetting designs to set green design trends and standards and to be known as an environment friendly company	PD
S4T1-- Promote elegantly designed showrooms to gain a greater market share in Europe, Japan and Asia	MD
S4T2-- Utilize the bricks and mortar product offering along with user-friendly computer products to reach out to market masses	MP
S4T3-- Take advantage of a combination of clicks and mortar sales approach to challenge Dell’s clicks-only approach	MP
S4T4-- Take advantage of lower costs of ownership of a showroom for Apple compared to Hp-Compaq due to wider range of products and brand conflict	CL
S4T5-- Move the main theme of some showrooms to green design to improve the public image of the company as environment friendly	MP
S5T1-- Take advantage of the prime position in niche market to minimize the effects of constantly falling prices in mainstream market	Fo
S5T2-- Maintain the uniqueness of products to enjoy the premium prices paid by less mainstream customers and confront the commoditization of computers	Fo
S5T3-- Move more aggressively towards direct sales approach of Apple computers as the sole alternative of PC platform	MP
S5T4-- Improve the position of Apple as the leader of the niche market in computer and consumer electronics industry to confront Hp’s dominant financial position	Fo
S5T5-- Adapt product designs to the fact that Apple’s main customers, as less mainstream computer users, are more environment conscious	PD
S6T1-- Utilize the excellent track record of company’s customer service to make more market share, especially in eastern hemisphere	MD
S6T2-- Advertise the fact that the ownership costs of a cheaper product with no customer service are actually higher than that with a good customer support behind it	MP
S6T3-- Improve direct CRM through adaptation of an online model for betterment of customer service	PD
S6T4-- Maintain top-notch customer service to use higher per customer revenues to confront the prime financial position of Hp-Compaq	PD
S6T5-- Promote customer service staff’s of skills to reduce unnecessary disposal or wastage of hardware	PD