Despite being one of the forces that drove Apple’s success, Steve Jobs’ management style
soon brought about difficulties for his company. For one, he played favorites among his project
teams and this sparked conflicts and misunderstandings among the members. He was also not in
good terms with John Sculley, Apple’s Chief Executive Officer (CEO). Sculley and Jobs were at
odds regarding the best marketing strategies for Apple computers. Sculley favored selling Apple
computers to the wider public, while Jobs preferred to focus on industries. The two also clashed
over control in the company, as Sculley was CEO but Jobs had unlimited control over the
product development division of Apple. The employees were confused as to who was actually
leading the company. While Jobs and Sculley are fighting it out for the company’s control,
Apple’s efficiency suffered; costs soared to high proportions and profits fell. Apple’s decline was
furthered hastened by the entry of the new computer company, IBM, and its introduction of the
IBM PC which soon surpassed the Apple II in sales.
In 1985, amidst plans for the reorganization of Apple Computer, Inc., Steve Jobs
resigned. He founded next and developed powerful PC’s which would outperform Apple PC’s.
He also founded Pixar, the computer animation company that made blockbuster movies such as
Toy Story and Finding Nemo.
With these two companies, he was the exact opposite of his Apple days. Jobs developed a
vision for managers and empowered his project teams to put his vision into practice. He allowed
collaboration and innovation to work together. Jobs developed a team of managers who can
perform on their own even without his supervision. With these, he encouraged his people to love
what they do and be passionate about their work.
In the meantime, Apple was suffering heavily with the introduction of Michael Dells’ low
priced PC’s loaded with Microsoft Windows software. Jobs came to the rescue and convinced
Apple to buy his company next for $400 million and use its own operating system in 1996. Jobs
worked for Apple’s turnaround and in 1997, Jobs was appointed its new CEO.
One of the first things he did when he came back to Apple was to define the values of the
company and did it with two words: “think different.” He just didn’t stick with hiring people
1
who were technically equipped but also hired poets, musicians, artists, biologists---creative
people who were also computer experts. Their only qualification as that they believe they can
change the world. For Jobs, that was enough for Apple to take the risk of hiring them.
For Jobs, software, hardware, and content must be intuitively connected. He also believed
that one must have intuition and foresight to be successful. One result of his vision was the new
line of iMac PC’s which were then followed by more stylish and modern PC’s. In 2003, Apple
announced an online music store called iTunes. Then the iPod, a device which can store
thousands of download songs, was also introduced to complement iTunes.
There are two ways to run a business: focus on profits and focus on products. Jobs
focused the products, believing that profits would eventually follow. He focused single-mindedly
on the development of three products: iPod, iPad and iPhone. The iPhone was developed to
compete with Blackberry. Jobs led his project teams to develop the iPhone which can download
applications in the Web. In 2010, over 2 million iPhone applications could be downloaded by
iPhone users, making Apple the leader in the smartphone market. In that same year, Jobs
introduced its new iPad tablet which became another convenient way to surf the Web, send
emails, take photos, and share content online. With these new products, Apple once again
regained its distinction as the most profitable computer company in the world.
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Discussion Questions:
1. What changes and developments brought about the emergence of Apple Computer, Inc.
as a leading computer company during the 1980’s?
2. Describe Steve Jobs’ management style during the early years of Apple. How did this
affect the company?
Steve Job’s management style during the early years of Apple brought about
difficulties for his company. He played favorites among his project teams. He
was also not in good terms with John Sculley which is the CEO of Apple.
This affects the company by having conflicts and misunderstandings among
the members. These two also clashed over control in the company.
3. Describe Jobs’ management style when he came back to Apple. How did this new
management style benefit Apple?
He first defines the values of the company and did it with two words “think
different”. He didn’t just stick with hiring people who were technically
equipped but also hired poets, musicians, artists, biologists and creative
people who were computer experts. Because of this Apple became successful
and it benefited the company. Apple once again regained its distinction as the
most profitable computer company in the world. Lastly, it benefited the
company by making new products or applications that will compete other
brands of cellphones.
4. What do you think influenced the changes in Steve Jobs’ management style?
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experienced he had when he had a misunderstanding with John Sculley. It
became his foundation to improve his management style. Lastly, he’s style is
influenced by the two words “think different”.
4
Henry Ford and Scientific Management
The changes introduce by Ford in the Model T assembly line became the tool which
changed the way production was done and the lives of Ford’s production workers. However,
Ford also had to confront issues related to the workers in his factories. Repetitive tasks caused
mental strain among workers. Absenteeism and resignation were rampant, and worker turnover
was recorded at 40 to 60 percent of Ford’s 13,000 workers. To solve this problem, Ford raised
wages from $2.38 to $5 and reduced working hours from 9 to 8 hours a day. Ford also
implemented a profit-sharing scheme for his workers. As a result, many Ford workers were able
to own a Ford Model T as well.
Despite these efforts, critics continued to question the way production was done in the
assembly line as the workers still did repetitive tasks. Higher wages also did not address the
boredom of workers.
Ford’s critics began to call for the development of newer concepts that gave more
attention to employee welfare, and focused on the improvement of human relations and
administrative management.
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Discussion Questions:
1. How did the application of Scientific Management affect the production of the Ford
Model T?
2. How the production workers were affected by the employment of scientific management
in Ford’s Model T factories?
3. Did the solutions implemented by Ford effectively address his worker’s problems?
Explain.
Yes. The solution he made was raising wages from $2.38 to $5 and reduced
working hours from 9 to 8 hours a day. He also implemented a profit-sharing
scheme for his workers. His idea became effective because it began to call for
the development of newer concepts that gave more attention to employee
welfare. Also, it focused on the improvement of human relations and
administrative management.
4. Should Ford be more concerned with improving production methods of improving the
welfare of his employees? Justify your answer.
Yes, of course! Because being not concerned with the welfare of his
employees will affect the production of his management. Employee’s welfare
is one of the important things that a manager should always check. Without
employees the production will not go on. Lastly, Ford could also add more
ideas on how the employee welfare will improve for his employees.
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Tony and Jollibee: Building a Local Fast-food Giant
The 1977 oil crisis affected the price of most products. He then noticed that customers
ordered more sandwiches than ice cream. Tony also saw the growing popularity of hamburgers
around the world. Thus, he re-launched ice cream parlor as a hamburger house. A year later,
Tony had five stores in Metro Manila and the family incorporated it as Jollibee Foods
Corporation.
In 1981, Jollibee faced serious competition from McDonald’s when it entered the
Philippines. Being a global brand, McDonald’s could easily snatch the market that Jollibee
occupied. Tony was advised to concentrate on holding to at least a second-place position in the
market given the popularity of McDonald’s. Not to be discouraged with these developments,
Tony believed that Jollibee has captured the Filipino customer’s preference for local hamburgers.
Indeed, Jollibee captured the Filipino taste and this catapulted Jollibee to the number one
position in the fast-food chain industry.
While Tony believed that location is a key ingredient in a store’s success, another
critical ingredient in Jollibee’s success in excellent supervision. Quality supervision is vital in
ensuring quality service, increasing service crew productivity, and reducing waste. Store
managers are key to motivating and controlling crew members responsible for cleaning the store,
taking orders, and preparing food.
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Discussion Questions:
Tony Tan’s management style was a great job. Having courage is one of the
best characteristics you will have. His management style is a people-centered
because he learned to be kind to people. Also, he seldom scolds a person in
the organization, even in private. Tony believes that his employees become
more productive when he motivates them and we all know that motivating
people is the best way to manage their attention or emotion.
2. Do you believe that Tony’s management style is worth emulating? Justify your answer.
I guess it’s a yes. Because all of us or other people knows motivation and how
motivation helps their workers or other people. It can be emulated by others
because it’s so easy for us to motivate others for them to have a productive
day or work. Furthermore, I also believe that even though it can be
emulated, they have their own thinking on how will motivate others. We have
our own thinking, the style can be emulated but the words that will motivate
the workers cannot be emulated.
3. Should Tony’s approach in managing his employees continue as Jollibee expands? Why
or Why not?
Yes! Because he has a good managing approach. If he will continue that kind
of approach, Jollibee can be more successful enough. In addition, being kind
to employees is one of the good approaches because it can be the cause of why
his employees will stay working at Jollibee for a long period of time. Last, if
you think that your managing strategy or approach catches their attention;
continue doing it because that’s one example of motivating them.
8
McDonald’s: Opportunities and Challenges in the Global Market
Since July of 2014, McDonald’s has experienced a steady decline in its sales. This is
primarily attributed to failures in operations particularly in Asia, where McDonald’s gets one-
fourth of its sales revenues. In China for example, sales fell after one of its suppliers used
expired chicken and beef. In Japan, a complaint was filed by a customer after discovering a tooth
and plastic in their food. Sales revenue was also affected by increased competition from other
brands in the United States. Sales revenues in a January 2015 report revealed that Burger King is
slowly but surely eating up the market share of McDonald’s in the US. At the same time, other
American fast-food restaurants such as Snack Shack and Chipotle Mexican Grill continue to
attract young customers with better quality food and an option to customize their orders by
choosing the ingredients for their burritos or burgers.
McDonald’s also faces stiff competitions from other international and local brands in
other countries in the Philippines, McDonald’s seems to be unable to adequately analyze tge
local market, leading to observations that it has failed to capture the unique “Filipino taste”. This
resulted in McDonald’s falling behind local brands like Jollibee. McDonald’s compensated by
offering value meals, which targeted budget-conscious Filipinos, to compete with Jollibee’s
budget meals. However, Jollibee still continues to dominate the Philippine fast-food market. In
China, KFC poses a big threat to McDonald’s as many Chinese prefer to eat chicken than beef.
Despite its efforts to please Chinese customers through renovations of its restaurants to make
tables, counters and chairs fit the body height and weight of the Chinese, KFC still remains the
preferred brand in the Chinese market.
9
On the other hand, McDonald’s is more successful in France. It responds to the call of
customers to add espresso and more expensive sandwiches that cater to French taste in their
menu. It also offers additional products like tea and macaroons. The French response to
McDonald’s is positive, and this results in increased profits in the French market. McDonald’s
tries to replicate its success by establishing McCafes in other countries like the Philippines. This
move helps in strengthening McDonald’s market base in these countries.
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Discussion Questions:
1. What are the most important strengths of McDonald’s and how do they contribute to its
successful operations?
2. What developments can be considered threats to McDonald’s? Why do you think so?
The developments that can be considered threats to McDonald’s are its low
of revenue and sales. The other one is competition from other international
and local brands. Because lowering of revenue makes your business fail and
it can be a threat to the whole organization. Aside from that, having
competition is one of the most threats to all of the business because you’ll feel
that your business is not popular anymore. It can also affect the sales because
other might buy from the other brands and that’s the competitors.
3. Which among the threats should McDonald’s prioritize? Why do you think so?
4. Why it is important for McDonald’s to consider the local taste and preferences of its
customers in every country?
They should consider the taste and preferences because it’s their customers.
If they’ll not consider it, they might lose the good taste of their customers.
Remember that “customers are always right”. In addition, considering the
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taste and preferences in every country helps them to think other products
they will sell. All of us has different preferences, so considering other
people’s preferences can help the business gain more points to achieve
everybody’s taste.
5. Describe how McDonald’s addressed a perceived threat to its market. Was the strategy
effective?
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ASEAN Economic Community
The AEC Blueprint 2025, adopted by the ASEAN Leaders at the 27th ASEAN summit on
22 November 2015 in Kuala Lumpur, Malaysia, provides broad directions through strategic
measures for the AEC from 2016 to 2025. It consists of five interrelated and mutually reinforcing
characteristics namely, (1) a highly integrated and cohesive economy; (2) a competitive,
innovative, and dynamic ASEAN; (3) an enhanced connectivity and sectoral cooperation; (4) a
resilient, inclusive, people-oriented, and people-centered ASEAN, and (5) a global ASEAN.
The sectoral work plans will be reviewed and updated periodically to ensure their
relevance and effectiveness. Partnership arrangements with the private sector, industry
associations, and a wider community at the regional and national levels will also be actively
sought and fostered to ensure an inclusive and participatory approach to the integration process.
Institutions will be strengthened and enhanced approached to monitoring and public outreach
will likewise be developed to support the effective implementation of the Blueprint.
The AEC Blueprint 2025 will lead towards an ASEAN that is more proactive, setting in
place the structure and frameworks to operate as an economic community, cultivating its
collective identity and strength to engage with the world, responding to new developments, and
seizing new opportunities. The new Blueprint will not only ensure that the 10 ASEAN member
states are economically integrated, but are also sustainably and gainfully integrated in the global
economy, thus contributing to the goal of shared prosperity.
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Discussion Questions:
1. What is the intention of the ASEAN in establishing the ASEAN Economic Community?
2. How long do you think will it take before the agenda of the AEC is realized? Why do you
think so?
I think it will reach months or years before it will be realized. It takes time to
realize something. For me, before realizing it, there will be so much things
that will be checked, test or done to realize the whole agenda. Also, I think of
it because as we can see AEC is a huge thing. It takes so many works to
realize everything.
3. How will the establishment of the AEC affect our local business scene?
The AEC is a big development in our economy. AEC is a great help for each
country in Asia which includes our country Philippines. Thus on the other
hand, there is also an effect on our local business scene. AEC brings
competition for our local industry. It can also give us motivation because of
the competition they bring.
4. Which of our local businesses, in your view, would be successful within the AEC? Why
do you think so?
Local businesses, Bench for clothing. Jollibee for fast food. Also other
businesses such as handicraft. Another local business is the banks. These
businesses can compete locally and internationally due to their good quality
products standards.
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Self-assessment:
How do you see yourself 10 years from now? Will you be working here in the Philippines
or somewhere else in another part of the world? What factors will influence your decisions
regarding your chosen occupation? What decisions and steps will you take to achieve your
goals?
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Ayala Corporation’s 180 Years of Success
The monumental successes that the Ayalas have been achieving owe to their ability to
continuously adapt to changes and to pursue different ways of thinking. The Ayala companies
have a widely acknowledged reputation for integrity, product and service quality, financial
strength and prudence, and high professionalism. That is the reason why many international
corporations see the company as an excellent business partner and the employer of choice for
many industry talents. Indeed, doing business is almost second nature to an Ayala.
Ayala Corporation has pioneered in many business ventures which include real estate
(Ayala Land, Inc.), banking (Bank of the Philippines Islands), telecommunications (Globe
Telecom), water infrastructure (Manila Water Company, Inc.), electronics manufacturing
(Integrated Micro-electronics, Inc.), business process outsourcing (LiveIt Investments, Ltd.), and
automotive dealership (Ayala Automotive Holdings Corp.). It continues to grow its portfolio and
set new tracks in power generation (AC Energy Holdings, Inc.), transport infrastructure (AC
Infrastructure Holdings Corp.), and education (Ayala Education, Inc.).
As an economy proceeds with a positive outlook in the coming years and continues to
present attractive opportunities, Ayala continues to innovate and to reinvent itself as it seeks new
opportunities for growth.
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Discussion Questions:
1. What do you think is the main factor which contributes to Ayala Corporation’s success?
I think the main factor which contributes to Ayala is the aggressive growth
strategy. Venturing into various business ventures and establishing several
companies in various industries and sectors. Aggressive growth strategy paid
off to Ayala Corporation. In addition, it became a milestone to Ayala
Corporation on its anniversary in 2014. Also, the Ayala hailed by Forbes as
the 9th richest family in the Philippines.
3. Being a potential business owner, what will be your own version of an “aggressive
growth strategy”?
My own version of aggressive growth strategy is when I’m checking all the
remaining stocks of my restaurant. Aggressive growth strategy is highly
conviction approach, emphasizing stocks across market. It was like focusing
on your stocks. So for me, as a potential business owner, I’ll always focus on
the stocks of my restaurant because it is very important to always have a
stock like the ingredients of the foods. Last, having this kind of strategy was
an effective one because Ayala Corporation is one example who used this
kind of strategy and it became successful.
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Self- assessment:
18
ABS-CBN and Two Decades of Public Service
The foundation has also establishes several programs in line with advocacy on child
welfare, environment and community development. E-media pioneered the production of
education TV programs like Bayani, Sineskwela, Hirayamanawari, Math Tinik, and Epol/Apple.
These programs have garnered various awards and recognitions. Bantay Bata 163 focuses on
child welfare and protection and serves as the country’s first media-based organization that
provides childcare program. Bantay Kalikasan, addresses environmental concerns and
implements programs for environmental protection and preservation. The Sagip Kapamilya and
Bayanijuan aim to assist Filipinos affected by natural calamities and to help them rebuild their
communities from the group up.
The Lingkod Kapamilya Foundation continues to uphold its mission of service to the
community, at-risk children, and less privileged and disadvantaged Filipinos. The foundation
also upholds the highest standards of responsibility and transparency in the utilization and
allotment of donated resources, whether in cash or kind, as a commitment to its stakeholders,
partners, donors and supporters.
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Discussion Questions:
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welfare. Especially the kids or children who need education because it’s very
important now days in our daily lives. Lastly, having a soft heart in giving
and helping other people without asking in return.
5. What benefits will ABS-CBN gain in pursuing its corporate social responsibility?
It will benefit ABS-CBN by gaining the support of the people who they help.
The things they are giving will come back to them as a big blessing. We all
know that “it’s better to give than to receive”, because the return of it will be
unexpected given by God. Also, it will benefit them as a person or as a whole
for learning so many lessons that will apply in their lives. They will learn the
things like they are so blessed that they have the things they have or want.
Self- assessment:
Have you personally undertaken a socially responsible action in your community? If yes,
how has this benefited you as an individual? If you have not yet engaged in such action, what
issues or concerns in your local community do you believe local officials or groups should
address?
Not yet. The issue that the local officials should address is the issue on drugs. We all
know that many people are using illegal drugs now a day. For me, they should focus
on how it will be solved and what action they can do to prevent the usage of illegal
drugs. I’m concern about this issue because I’m thinking about their health because
I know illegal drugs is bad for our health and it has many side effects that can have
a huge effect in our life.
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Bench Takes on the Challenges of the Clothing Industry
Bench is recognized as one of the leading local clothing companies in the Philippines.
The Bench brand has distinguished itself because of its versatile product line, its diverse chain of
stores and franchises, and its strong marketing campaign.
Initially established as a boutique that offered men’s T-shirts and jeans, Bench has
branched off and diversified its product line to include a variety of men’s and women’s clothing,
apparel, intimate wear, footwear, fragrance and cosmetics. It has also established other brands
and franchises which include popular foreign brands such as Celio, Charles & Keith, and Aldo,
as well as local brands such as Human and Kashieca. At present, there are hundreds of Bench
outlets, franchises and retailers which give the company a wide and enduring presence in the
market. Additionally, Bench has gained renown for its advertisements campaigns. The company
is known to tap the best talents and most recognizable celebrities to be its endorsers and image
models. It has also employed a variety of effective media campaigns on television, print media,
and billboards. Bench advertisements and billboards are among the most recognizable ad
campaigns in the industry.
Notwithstanding its stature as an industry leader in the clothing business, Bench other
local clothing companies continue to face various challenges in the market. One of these
challenges is the cost of production and operations. Frequent changes in prices of raw materials
result in increased production costs. Clothing companies can decide to pass on the cost to their
consumers, but that would result in increased prices for their products. Top clothing brands such
as Bench have decided to absorb the cost of production in order to maintain competitive prices in
the market. Another challenge is the high cost of renting commercial space in malls. Many mall
operators require tenants to give an advance payment equivalent to several months of rent, apart
from the expenses for renovating and improving the space. Finally, the high cost of labor is also
a challenge to clothing companies, particularly for Bench, which uses local manufacturers and
suppliers for majority of its products.
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in the behavior of consumers during mall sales. People take advantage of the lower prices and
malls are often crowded with buyers during sale seasons. Ordinarily, these result in an increase
in the number of sold items for clothing companies. However, this does not necessarily mean an
increase in profit since the product on sale are “off season” items and those left unsold from
previous stocks that have to be sold to avoid losses for the company.
The entry of foreign clothing brands in the Philippines is a major challenge which has
affected sales of local clothing companies. Clothing stores such as Forever21 from the US,
Uniqlo of Japan, and Swedish brand H&M have entered the Philippine market. Despite the entry
of these foreign brands, Bench has maintained a steady footing in sales and even steadily
increases its sales.
The influx of foreign clothing brands into the Philippines has motivated Bench to take the
opportunity and establish its brand internationally. At present, Bench has made significant strides
in establishing itself as a global brand. Bench stores have opened in the Middle East, the United
States, Canada, Singapore, and China. Overseas Filipinos form a large portion of Bench’s
international clientele, but the company plans to cater to a more international audience. A big
limitation to the expansion of Bench and other clothing brands is that foreign clothing companies
are often heavily supported by their respective governments. Incentives and subsidies enable the
foreign companies to make cheaper products due to decrease manufacturing costs. In the
Philippines, There is little support for clothing manufacturers and retailers. Another challenge for
Bench is to come up with local clothing lines that will capture the interest of foreign markets.
Since Bench primarily caters to a clientele in a tropical country, it has limited options with
regard clothing for colder seasons such as winter and fall.
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A. Conduct a SWOT analysis of Bench using the table below. Fill in the table with the
appropriate information.
STRENGTHS OPPORTUNITIES
Has many outlets, franchises & Have a high chance of rise of
retailers sales
1. Which of the company’s strengths can be used to take advantage of the identified
opportunities?
I think “many outlets, franchises and retailers” are the company’s strength
that can be used to take advantage of the identified opportunities. Having
this kind of strength helps the company to be recognized and have lots of
customers to buy. Also, the customers will experienced so many products in
every outlet. It can take advantage to the sales that the company may have.
Last, having this kind of strengths can make the company the best leading
company.
2. How can the strengths be used to minimize the threats that were identified?
The strengths can be used to minimize the threats by having increase in sales
and if the sales increased it can pay the rent easily. Then having recognizable
celebrities can attract customers to buy. Even though it has competitive
prices, having many outlets can minimize the competition. Also, if the
company used a cheap advertisement it can decrease the cost in labor. Lastly,
having retailers can minimize the competitor’s price competition.
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3. How can identified opportunities be used to address the company’s weaknesses?
4. How can the weaknesses be minimized to avoid the impending threats identified?
B. Perform a PEST analysis of the company. List all the different factors mentioned in the
selection in the table below, then briefly explain its impact on the company.
POLITICAL ECONOMIC
Low on government support High inflation rate
IMPACT: IMPACT:
Cannot have the full support of The products will be expensive and
the government in maintaining the income will more become low.
consumers.
SOCIAL TECHNOLOGICAL
Good communication to the Innovation
buyers
IMPACT: IMPACT:
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C. Self- assessment:
Assess your personal strengths, weaknesses, opportunities, and threats. Jot down your
greatest strength, weakness, and your biggest opportunity and threat involving the former.
Develop a strategy using the SWOT Matrix.
OPPORTUNITY THREAT
Academic Competitions Over thinker
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TABLE OF CONTENTS
Discussion Questions………………………………………………………………….. 11
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