Apple Board's 'Steve Jobs Dilemma'
| Case Code: BECG124 Case Length: 15 Pages Period: 2009 - 2011 Pub Date: 2013 Teaching Note: Available |
Price: Rs.500 Organization: Apple, Inc. Industry: Computers & Consumer Electronics Countries: Global; US Themes: CEO Succession Planning, Corporate GovernanceCorporate Governance |
Abstract Case Intro 1 Case Intro 2 Excerpts
About Apple
Apple, Inc., headquartered in Cupertino, California, was one of the leading technology companies in the world. It designed and marketed personal computers (PC), consumer electronics, and computer software. Some of its iconic products were the Macintosh line of computers, the iPod (a portable music player), the iPhone (a smartphone with touch features), and the iPad (a tablet PC). Other prominent products were the Mac OS X operating system, the iOS mobile operation system, the iTunes media browser, and the Safari Internet browser.
Apple was co-founded by Jobs, Stephen Gary Wozniak, and Ronald Gerald Wayne on April 1, 1976, and was incorporated as Apple Computer, Inc. on January 3, 1977. The company grew by introducing many innovative and commercially successful products. In May 1985, Jobs, who was then Chairman of Apple, was dismissed from the post of Vice President of Apple and Head of the Mac division by John Sculley whom Jobs himself had brought in as CEO in 1983. Later in September 1985, Jobs resigned as the Chairman of Apple. He, along with some former Apple executives, then founded a company called NeXT Computers Inc. (NeXT).
However, Apple ran into trouble in the 1990s and Gil Amelio, who had joined as the CEO in February 1996, acquired NeXT in December 1996 for US$ 377 million in order to develop Apple's next-generation OS, Rhapsody. This also marked the re-entry of Jobs into Apple. Because of his inability to revive Apple's fortunes, Amelio was eased out in July 1997. The board replaced Amelio with Jobs, who assumed the role of Interim CEO in September 1997....
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