Apple Company Microsoft Company Commerce Essay

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The apple Company had been started on May 1976 by Steve Wozniak and Steve Jobs both were college dropouts. They both initially started the company in Jobs garage in the intend of constructing personal computers. Apple Inc previously named as Apple Computer, Inc the term "Computer" has disappeared in Jan 9, 2007 since the company has gone beyond the manufacturing of computers to electronic gadgets such as iphone,ipads and ipod.At present apple is the thrid largest manufacture in mobile phone.On 1980 Apple�s stock went public priced at $22.00 per share and now it has attained an height upto $700 per share.

MICROSOFT COMPANY:

The company was started Bill Gates and Paul Allen who were childhood friend and were both mutually interested in computers.Microsoft is the world's largest company in the selling and licensing software related to computers and also in the manufacturing of gaming console.When measured with revenu microsoft is the king in the manufactures of software.The first ever product of microsoft was an Operating System Known as �MS DOS� which was followed by a series of Windows Operating System.Microsoft went public on 1986 stock was priced at $21 the price of the stock at present is worth $6000 and is priced at $24 at present.

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STEVE JOBS:

Who is He?

Steven Paul Jobs was born on 1955 his biological parents had handed him for adoption later Paul and Clara Jobs had adopted him and moved to Silicon valley.During the early 1950�s Silicon was a hub in the field of semiconductor companies.As a result Jobs was exposed to neighbours of engineers working on electronics. In 1974 Jobs was hired by Atari as a technician building circuit boards.During his teenage he had meet Stephen Wozniak who is one of the most important person later he became the co-founder of Apple.Steve Jobs was the founder and Ceo of apple company.Steve Jobs was one of the main reason Apple rose to its current heights from a state of bankruptcy.

Bill Gates:

Who is He?

William Howard Gates III popularly known as Bill Gates.Gates was born in 1955 and had a passion in programming at an early age of 13 years old. At an early age of 14 gates and Paul Allen (co-founder) had formed a computer company which earned them $20000 (usd) in their first year.In 1975 Bill Gates dropped out of Harvard University and started microsoft along with Paul Allen .Gates is listed in top ten richest Man in the world from 1995 to 2012 according Forbes.Gates is the former chief executive and present chairman of the worlds giant manufactures of computer softwares.From June 2006 Gates announced that he would work part time in microsoft and focused on his foundation for health and education.Gates to took the revenu of microsoft from one million in 1978 to 121.2 billion in 2012.

Current Updates

Apple:

Apple has been awarded as �The most admired company� by Fortune magazine from 2008 to 2012.The company has acheived to setup 394 retail stores around the globe.The estimated value of the company as of September 2012 is US$626 billion.The annual revenue in 2010 was $65 billion and the revenue has more than doubled in less than two years $156 billion.At present there are 72,800 permanent and 3,300 temporary employees around the globe.Apple has got 394 retail stores in 14 nations around the world.Apple Iphone 5 made a huge success during the year with more than 2 million pre order and eventually they had a hard time deliverying the phones in time.Soon after the success of the iphone they lauched the ipad mini and ipad 4 and had announced that they had sold three million devices in three days.

Microsoft:

It has been a promising year for microsoft since the next version of windows operating system was scheduled to be launched this year.Windows 8 was had gone a step from the traditional operating system which was used in desktop/notebook to handheld devices such as tablets and mobile phones.During the mid of last year microsoft bought Skype for $8.5 billion which is the largest investment of all time.

In June this year microsoft declared that it would be getting into the PC vendor market with the introduction of microsoft surface.The tablet is a tablet which will be running on windows 8 giving a tough competition to apple ipads.Windows users now can use their tablet with almost all the function they can do on a desktop or notebook.Microsoft made a deal with the top leading phone manufacturers Nokia,Htc,Samsung and Huawei and launched their windows 8 phone three days later.

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Leadership

Steve Jobs

Vision:

�I want to put a dent in the universe� Steve Jobs, Apple CEO.Job�s had an autocratic approach of leadership style.This style is an approach where the leader takes all the decision in the company without taking any advice from the employees or the co workers.A famous quote stated by an unknown �The boss is always right,When the boss is wrong, refer to the above statement�suits this kind of leaders.Without steve job�s authoritarian management and a focused vision to achieved the goal Apple�s company would have been a boat sailing in a stormy ocean and would have sunk at anytime.Jobs used a tyrannical leadership style to the employess where he would fire and force to make sure employees delivered products that consumers are pleased.Steve had an cocky attitude was over confident and took all the credit of the success of the company and blamed the downfall to the followers.This is a really negative character for a leader a really good lesson can be learned from the life of steve jobs.During 1985 when Apple was facing a downtrend steve refused to take notice and continued to act as if he was saving the entire company and blamed John Sculley (CEO) for the down trend which let to a dispute between them.Apple being his life and soul fired him to get out by the people whom he appointed.Later he set up a team with ex Apple employees and started a company on his own in the intent of starting a new computer company but was forced to shut down because Apple warned him about the lawsuit.During the 1996 things were not shining well in Apple with Steve Jobs gone.During this critical situtaion a new CEO was appointed to tackle the situation soon realised that steve jobs was need to be brought back in order to get the company in heights.After a year of Jobs return back to Apple the company�s value was only $3.1 billion.While interviewing Michael Dell the founder of Dell what would be his play on such a situation if he was the CEO of Apple and he replied �I�d shut Apple down and give the money back to the shareholders�.With his unique autocratic and tyrannical leadership style he made the company as the most valued company in the world with a value of $620 billion.Unfortunately steve jobs passed out in October 5, 2011 due to cancer but still the company grows in value with the style of leadership and process he followed i the company.

Bill Gate:

�Every business and household must have a computer and must run Microsoft software�-Bill gates.Bill Gate�s on the other side had a different style of leadership which was a participative or democratic style of leadership.This method involves the leader and the employees in the decision making but the final decision will be made up by the boss. Bill Gates is an energizing and enthusiasm hard working person.He is an adaptable person depending on the situation and also motivational leader in the company.Bill Gates always wanted himself to be presented in a way which makes the people around him to be motivated.Gates involves most of his time along with his employees and customers �Your most unhappy customers are your greatest source of learning� stated by Gates.Initially when many of the users found it difficult to use Microsoft products and found it debugging Bill Gates would not give up very easily he took every problem as a lesson and constantly encouraged his employees to find a solution.Bill expected his managers to make up their mind and take decisions assuming that they are the boss of Microsoft.He conducted frequent meetings with his managers to discuss about the business strategy.Inspite of being the worlds wealthiest man he never boasted about the success of his products but advised his co workers to heed from the failure lessons.Constant creativity and being an inspiration to the co workers lead to an innovative atmosphere and a pleasant stay for the employees transforming microsoft from a software company into many field.They have a wide range of competitors starting from search engine google and yahoo is competing with bing.In the field of tablets and phone microsoft surface and windows mobile has a company now has given a tough competition with Apple.Starting with three employess in 1975 microsoft has expended to 94,000 at present with a net value of 121.2 billion .

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Comparison:

"Neither Bill nor Steve is too perfect or too wicked," Rehan Ahktar wrote in a 2009 comparative study, "and they are only humans.An interesting fact that I noticed that reflects their personality of their leadership would be starting with the fashion of dressing in presentation.Job�s likes to wear a black long-sleeved mock turtleneck and blue jeans with balanced sneakers whether he is in a casual state or in the launch of his product reflecting that he has a personality which he like to take control of the situation and not bothered about the people around him.On the controversy Gate�s dressed up in a neat blue business suit during the product launch and is dressed in casual while working in the office give an impression which makes him given a soft and trustful image to the people around him and makes the employees motivated and the audience focused.

Jobs was a perfectionist whereas Gates is not that pushy in nature.A typical incident can be stated when a designer of apple brought the prototype of a macbook a screw was loose at the bottom Jobs noticed that returned it to the designer and asked him to �center it� he said without even opening the macbook. Whereas Gates leaves the prototype to his fellow mates and makes the major changes before the launch of the final product.Gates always sets goals and makes sure his followers are crystal clear of the goal and rewards them with benefits when they achieve it.On the other side of the dice Jobs used fear as tool of punishment to achieve his target there were situations where the subordinated weeped during the meeting in Apple.Laurance Clavere former executive employee of Apple had mentioned that �going to a meeting with Jobs, she has to develop a mindset like a bullfighter entering the ring kill or be killed.�Jobs "was navigating a territory that is often obscure to management: the creation of meaning, both for customers and employees," Roberto Verganti from Harvard Business Review.

During the end of Jobs life in Apple he was worried about the legacy of Apple an example where the legacy went down the drain was the company created by Hewlett and Packard .During 2006 Bill Gates stepped out of Microsoft and was an advisor and worked day to day and focus on eliminating the disease in the world in a way he is training microsoft to reach their goals without him in the future.

If we had taken count of the pro and cons of the leadership style from the above article it is an easy pick that Gates scored much more than Jobs on the positive aspect but well Steve Jobs did have few characters which cannot be left out.His focus was way much better than Gates.A classic situation for his focus can be demonstrated from an advice he had given to the founder of Google Larry Page.When Larry visited Jobs at his last few days on the earth these were the exact words �The main thing I stressed was focus� and asked Google to focus on just five major product and get rid of the rest and so did Page heed to his advice.In early January this year he asked his employees to focus on just a few products such as Android and Google+, and to make them �beautiful,� the way Jobs would have done.

In Steve's world, "No compromise". In Bill's world, "Hey, compromise is alright, we'll get it right the third time."

Organisation Structure and Process:

Apple:

Apple company follows an organisation known as �top-down� management style which usually suits the autocratic leader.Where the chief uses sentences like that �I am in control here and do exactly the way i tell you�.Under Steve jobs there were around ten vice presidents for assisting him each vice presidents is the head of a particular department for the such as COO, CFO, Operations, hardware engineering, software engineering, IOS software, worldwide product marketing, industrial design, retail and general counsel.In general there are five catageory computer manufacture, evaluation, software,development, and devices. If there is any problem needs to be discussed the people in that particular field the vice presidents setup�s up an appointment the ultimate boss Steve jobs in our case and discuss their problem and find a solution.Here steve jobs acts as a center of hub in the entire decision making and makes the decision on his own. The problem with this kind of management is that the company is in a situation similar to a cat on the wall without the major boss there would be cold war between the vice president to take up a decision.This was one of the aspect that worried Steve Jobs during his last few days in Apple.

As far as Apple is concerned i feel that their �strength is their weakness�.With the passing of Steve jobs at present Tim cook is the CEO the stock price of apple is at its peak after the launch of its latest products retina ipad,ipad mini and iphone 5.But will the raising of the stocks keep achieving its height or will the price of the stocks decrease.Steve jobs had huge potential in the invention of new products and to drain out work employees but lagged in the skills when it came to marketing of the products.One of the reason I personally feel the reason why the macbook did not became a huge success is because they do not educate their customers how to use the operating system which the people from microsoft has done a pretty good job.At present there are 394 retail stores around the world and among these 250 active stores are placed and concentraed only in united states which is not advisable.Lets imagine a situtation where Apple is about to lauch a software early in the market during a resession time in the united states and its competitor is scheduled to launch a month later.In such situtation they would have earned a lot of revenu if they had spread their retail store equally around the world.Due to the desicion making style of Jobs is the present CEO able to make wise decision like the past.Recently after the launch of the apple IOS 6 the customers were not pleased with the map application and the Tim worte a letter of apology to customer and said it will be rectified soon.

Another major issue is the high cost of the product and huge capital invested in the research and development for the innovation process.Apple�s would have made a lot more sales if they had spend some time to research and cut down their cost of their products and maintain a price range with a margin close to its competitors.

If we take a depth look at Apple's competitors there is not just one competitors for them but have many company producing a specific product for example in the field of phone they have Samsung and in the field of software and tablet they have got Microsoft.This is a strength at the present but might be a weakness in the near future since Apple will be getting a strong competition from all the giant companies for just one particular product.Lets take the example of Samsung galaxy S-3 which is a tough competitor for the iphone since they got just one opponent in the field of smartphone.Similarly in tablet market microsoft�s surface is their recent competitor. Competing against giants of the different industry for a

different products would surely give them a huge competition later if not at the present because they have got only one competitor to focus on whereas Apple has to focus on different companies for different products.

During the last few days of steve jobs he was interviewed by CNBC and he claimed that he mentioned that the after years of research of hard work he had cracked a way to transform the use of television just the way he had transformed mobiles,music players and computers.The big question that concerns me is that will Apple be able to adapt to the sort out the problems that they are facing before the launch of their next big product.

I would recommend Apple to expand their retail store and distribute equally around the world after they have studied the market in that particular region.Secondly Apple should reduce their cost in the pricing of their and maintain the price range similar to its competitor.The present CEO must soon adaptive to the situation of the company without steve jobs and must avoid the failures similar imap recently. Tim cook should not consider steve jobs authoritative leadership as a role model because one wrong strategy or product it can sink the entire company.Moreover steve jobs is no more to bring the company from its bankruptcy .

Microsoft:

On the controversy microsoft follows a Bottom-up management style of approach. This style of approach is where the decision making moves from the bottom to the top level of leader. The decisions must be pipelined through the entire hierarchy of leader. As the idea travels through higher level individual participation of the leaders are expected. Bill gates would receive the final corrected paperwork done by the pipeline and then decide whether he would proceed with the program or drop it. Directly below Bill gates there is a Chief financial officer(CFO) Alain crozier who is responsible for all other departament below such as marketing , sales, and services Group. Under him are three other branches who are responsible for the system under them till the bottom.This method of decision making is comparatively better than the top-down method because the voice of the lower management is heard and decision can he made in situation when Bill gates is not around.�As we look ahead into the next century, leaders will be those who empower others�- Bill Gates.

During 1999 Bill gates had written a book on leadership style entitled as �Business @ the Speed of Thought�. I would like to summarize four of his favourite tip to leaders.First is to take at least two retreats in a year inorder to charge your battery and refresh and then focus on your work.The second tip he wants his followers to read books or gather information on various topic irrelevant to their profession . The third tip is one of the most important tip he wants his leaders to identify problems as soons as possible. Once identified the leader should immediately act upon solving these problems as soon as possible. The last tip is to stop work at the end of the day.This is considered so that leaders can have a clear mind , to find out a solution for the hurdles that they have faced during the day.

One of the major weakness about Bill gates was that he was emotionally bonded to the things happening around him. During some major decisions making process this overshadowed his logical thinking and make a decision which was not suitable for the company and his followers.