Question

Strategy suppose you were appointed as a new CEO of Apple, succeeding Gilbert Amelio in 1998, when the company was on the verge of bankruptcy: How would you diagnose the problem of Apple in terms of value, profit, people?

Answer 1

Diagnosing Apple's issues in 1998 as a CEO would involve assessing the company’s value proposition, profit margins, and how people within and connected to the company are managed, including addressing ethical concerns with assembly plant conditions.

Step-by-step explanation:

If I were appointed as the new CEO of Apple in 1998, diagnosing the company's issues would involve a deep dive into its value proposition, profit generation, and people management. The value diagnosis would focus on Apple's product offerings and brand perception - were products meeting customer needs and differentiable from competitors? In terms of profit, a thorough analysis of the financials would be essential to understand the cost structure, revenue streams, and areas where expenses could be reduced without compromising quality or innovation.

Regarding people, the focus would be on both the internal team and the wider ecosystem of partners. For the internal team, understanding the company culture, employee morale, and harnessing the innovative spirit would be key. Externally, relationships with assembly plants and the conditions for workers producing Apple products, which were part of recent criticisms, would need to be addressed to restore the company's reputation and ethical standing.