Investopedia: Apple's Secret Sauce Smothers Rivals

In the space of a week, two of Apple's (Nasdaq:AAPL) biggest potential competitors largely packed up their tents and conceded that they could not compete on their own in markets like smartphones and tablet computers. While the circumstances are indeed quite different - Hewlett-Packard (NYSE:HPQ) is basically exiting the consumer PC and portable electronics business, while Motorola Mobility (NYSE:MMI) accepted a buyout from Google (Nasdaq:GOOG) - the fact remains that precious few companies have taken Apple's best shot and come out swinging for the next round.



What makes Apple special? And perhaps more to the point, does Apple's way of doing business give it an enduring advantage on its current and would-be rivals?

The Squishy Bits
Words like "culture" are thrown around too readily sometimes, but there is at least some kernel of truth in the idea that a distinct operating philosophy can make a real difference at the bottom line. In the case of Apple, this is a company that largely trusts its own vision(s) and does not feel the need to endlessly consult with focus groups to take a committee approach to design. What's more, there are plenty of accounts that Steve Jobs has established a demanding culture at Apple where high expectations are the norm.



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