When market is at initial stage and demand is small, the size of dedicated organization normally needs to be small. However, in general, large firms tend to repeat their mistakes that it struggles in small market and withdraws from the market. Apple's struggle to achieve destructive innovation was not an exception. Apple made the world's first personal computer ‘Apple 1’ with innovative technology, comfortable software, simple design and impressive marketing, but faced IBM PC made by ‘WinTell’ which is the alliance of Microsoft and Intel. This led Apple’s market share to decrease to around 2%. In 1990’s, Apple did disregard the flow of the market and stuck to its closed system and excessive technological development; so, it was losing its customers and falling in market. In addition to this, Apple’s high R & D costs and strategy of selling agency was weakening its price competitiveness. In other words, Apple was missing other important factors because it stuck to innovative technology.
Apple has become an innovative company through iPod, iPhone, iTunes and service-oriented business model. These destroyed existing market’s rules that were price and functionality-oriented, changing to market and customer-oriented. At the center of Apple's innovation, there was customer-oriented design competitiveness,