QUESTION 1

1. In 1990 Apple was the most profitable personal computer company in the world. Apple's Macintosh computer had which of the following advantages compared to PCs (check any that apply)?

   		Superior software and peripherals.
   		Intense customer loyalty
   		Low cost/low price
   		Ease of use "plug and play."

QUESTION 2

1. In the 1990s, Apple's competitive position was weakened by all of the following except.

   		Price competition
   		After Microsoft introduced Windows Apple's graphical user interface didn't seem so different from PCs (the rest of the industry).
   		Costs of processing power. Apple's PowerPC chips initially had a significant price/performance advantage over Intel microprocessors. Yet, within a year Macs cost about $1,000 more than comparable Intel-based machines.
   		Apple could spend less than everyone else on R & D

QUESTION 3

1. John Sculley expanded Apple's strategy with all of the following except:

   	A.	Low cost/Low price Macs to increase market share
   	B.	"Hit products" like notebook computers and Quicktime software
   	C.	Joint venture with IBM to develop and operating system to compete with Windows
   	D.	Increasing vertical integration

QUESTION 4

1. In the 1990s software developers had a strong incentive to write software for Windows instead of Apple. Why?

   		81% of the application software in North America was written for Windows. Mac programs accounted for 11%.
   		Between 1995 and 1996 Windows-based application sales increased 16.3%. This same time Mac application sales fell 23%.
   		Having far fewer software programs available for Apple computers mades buying the Apple computers less attractive.
   		All of the above are true.

QUESTION 5

1. Entering the PC industry was not difficult through the 1990s (PC industry is everyone except Apple). Select all of the following that verify or explain why this is true:

   		Building a PC was relatively simple device. Using a screwdriver, a person with relatively little technological sophistication could assemble a PC.
   		Throughout the 1990s, thousands of manufacturers built personal computers.
   		Getting shelf space in stores was easy.
   		Although Important early in the PC industry, brand name was not important to most computer buyers through the 1990s.

QUESTION 6

1. Which suppliers to the PC industry had supplier power?

   		All of them.
   		Supplier power was very weak. No suppliers had any meaningful bargaining power.
   		Intel and Microsoft.
   		None of the above

QUESTION 7

1. It cost about $500 million to build an operating system for the Mac or a PC. This is a problem for Apple because:

   		Microsoft can spread this cost across a much larger sales base.
   		It doesn't really cause a problem for Apple.
   		If IBM uses it Apples OS Apple won't have a competitive advantage
   		None of the above

QUESTION 8

1. Spindler made two major moves

   		License the operating system software to other manfucturers and write more applications software
   		Expand internationally and build an operating system that can work on windows
   		Build an operating system that can work on windows and write more applications software
   		License the operating system software and expand internationally

QUESTION 9

1. On his return to Apple Stever Jobs:

   		Reduced the number of product lines from fifteen to three.
   		Quit Licensing the Mac.
   		Got Microsoft to invest $150 million and commit to developing applications (like Office) for the Mac.
   		All of the above