AQA BUSS4 The Business Environment and Managing Change
Fact Sheet 2
Apple Inc.
On April Fools’ Day 1976, Apple Computer Company is founded in a residential garage by Steve Jobs and
Stephen Wozniak, both college drop-outs. Apple Inc. debuts on the stock market in 1980 with a valuation
of $1.8 billion; of Apple’s 1,000 employees, more than 40 became instant millionaires thanks to their stock
options. After losing a boardroom struggle in 1985 Jobs resigns from Apple, taking a loyal band of
employees that would start NeXT. Apple purchase NeXT in 1996 for $429 million and 1.5 million shares of
Apple stock. Close to bankruptcy Apple re-hire Jobs as chief executive in 1997 and within 12 months he
oversees the launch of the iMac personal computer. The iPod and then iPhone follow and not only turn
the music and mobile phone markets upside down but transform Apple into the most powerful and richest
company in the world. Steve Jobs lost his battle with pancreatic cancer in October 2011 to be replaced as
chief executive by Tim Cook.
Who are they?
On the 20th August 2012 Apple became the most valuable public company in history. The share price of this
technology firm rocketed taking the total value of its shares to £395billion. A doubling of its market
capitalisation value in just 17 months knocked its rival technology firm Microsoft from the all-time top spot,
although with inflation Microsoft’s 1999 valuation would be worth around £536.5billlion at today’s prices.
They employ 63,300 people and generated sales of $108,249million and net income of $25,922million in
2011. With Apple banking almost $1billion a week they have $117billion (and counting) in the bank.
Apple has an “i” for revolutionary technology. The iPhone has spurred a revolution in cell phones and
mobile computing and it continues to innovate its core Mac desktop and laptop computers. They scored a
runaway hit with their iPod digital music player and iTunes online music store. The iPad tablet computer is
a further addition to their product portfolio.
What is their vision?
It was widely reported that a famous quote from Steve Jobs in the 1980's was the Apple company mission
statement: "Man is the creator of change in this world. As such he should be above systems and structures,
and not subordinate to them." The “official” mission statement: "Apple designs Macs, the best personal
computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital
music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its
revolutionary iPhone and App Store, and has recently introduced iPad 2 which is defining the future of
mobile media and computing devices."
Apple ends its press releases with a statement that resembles what a traditional mission statement is
expected to be: "Apple is committed to bringing the best personal computing experience to students,
educators, creative professionals and consumers around the world through its innovative hardware,
software and Internet offerings."
Source: http://retailindustry.about.com
Managing Apple Inc.
Apple's Board of Directors oversees the Chief Executive Officer, Tim Cook, and other senior management in
the competent and ethical operation of Apple on a day-to-day basis and assures that the long-term
interests of shareholders are being served. To satisfy the Board's duties, directors are expected to take a
proactive, focused approach to their positions and set standards to ensure that Apple is committed to
business success through the maintenance of high standards of responsibility and ethics.
Major Competitors
Hewlett-Packard Company, Google Inc., Microsoft, Research in Motion Limited, Samsung and Nokia.
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