Industry Analysis: Apple Computers1. Analyzing the computer industry from 1995 to 2005 felt like analyzing a game head-on between major competitors. The development is remarkable and the formation of different business strategies can be easily understood thanks to the different approaches towards the movement of the sector that companies have had; some of them shaped him, some followed him and some helped him grow. In order to analyze the IT industry during the aforementioned time period, we will consider Porter's five forces analysis, although static, helps to improve the understanding of the environment and its conditions. Porte's five forces constituted the analysis of new entrants in the industry such as the barriers that may occur and the rivalry that it represents, the power of the supplier and buyer, and the threats arising from substitute products. With this in mind, to determine whether the industry is attractive or not, we must understand the attraction of these forces and therefore the profit potential of that industry. Since we are primarily concerned with Apple computers, we will also take a look at the company's position and defense against these forces, providing context for recognizing the company's business strategy. In 1995 the computer industry was a relatively new industry with a history of approximately only 20 years, a considerable time for a technology-based industry, but not yet mature. On the other hand, by 2002 the industry was poised as "a $220 billion global industry", demonstrating how "since its earliest days in the mid-1970s, the industry had experienced explosive growth ” and presenting it as a very attractive industry with capacity for even greater growth. Even with this growing strength, there was a large presence of economies of scale, if a new company were to enter this industry it would face the cost disadvantage of not entering on a large scale, since competing with IBM and Microsoft, and also Apple on a large scale would be suicide. Subsequently, the sector was also characterized by a high capital intensity, for the development of new products and the new technologies required and for investments in research and development of between 500 and 700 million dollars, which in the case of Apple represent approximately 4%-6% of investments on revenues fluctuating between years. On the other hand, this capital-intensive industry has changed in 2005