Apple Needs to Revamp Its Business Plans: 10 Ways to Do It
Ditch the iPhone 5S Idea
If Apple's past smartphone launches are our guide for the future, the company this year will launch a barely updated iPhone 5 called the iPhone 5S. But with Samsung's Galaxy S 4 likely to be a major upgrade from its predecessor, Apple needs to come up with something big. If it doesn't, Samsung might just take an even bigger lead in the smartphone space.
Apple is one of the world's most successful companies. During last year's fourth quarter alone, the company generated more than $54.5 billion in revenue and posted a $13.1 billion profit. Apple sold 47.8 million iPhones and 22.9 million iPads. Add that to 12.7 million iPods and 4.1 million Macs, and it's clear to see why CEO Tim Cook said he was "thrilled" with its performance during the period. Still, Apple has experienced some recent setbacks. Its margins are slipping, and there's a general sense that its arch-rival Samsung has found a way to at least come close to hurting the company. Plus, Google has its sights set on Apple with its spate of new mobile products, and Android is becoming the Windows of the smartphone and tablet worlds. Another factor is that Mac shipments are down year-over-year, prompting some to wonder what's happening in that key division. Is the iPad cannibalizing Apple's own PC sales? If so, Apple must think about how to revitalize sales of its flagship computer models. On the surface, Apple is still the same big company that's capable of socking away boatloads of cash each quarter. But a closer look shows Apple's business model is cracking around the edges. Here, eWEEK offers some ways for Apple to improve its business.