Fantasy
4 - Apple is driven by design, not by profit. No, this doesn't mean they don't care about the bottomline...but their bottomline comes from two basic winning factors:...
Like nearly all companies, Apple is almost entirely driven by profit. Of course they are. Do they have a different business model than Dell to achieve that profit? They sure do, but profit is still what makes them go.
Apple sells boutique computers into profitable niches. Their brand, their reputation for ease of use, and elegant industrial design can command a higher price, and a much larger profit margin, especially since their move to commodity parts for Macs. Dell and most PC makers sell whole PC as commodities, and volume is how they make a profit, with incredibly tiny profit margins. It's a real struggle.
To justify boutique pricing, Apple is very focused on external design. Actually, they aren't quite as focused on ease of use as they used to be in the Mac line; in some ways, the Mac is less usable than it used to be, though there are improvements at times. But Apple continues to earn its stars for ease of use as evidenced by the end-user innovation they have put into the iPod and the iPhone. Fortunately, Microsoft is uninspired at ease of use and can't force PC makers to embrace sexy design (though Sony Vaio's are reasonably attractive; but for that much money, I'd always take a Mac).
Apple has also embraced planned obsolescence as a linchpin of their "low end" line of computers. When Jobs returned to Apple, he told a story of how a lady approached him and praised Apple for creating a Mac that was so expandable it was still in productive use 10 years later; it was even still running the latest Apple OS! He told shareholders "that means that lady hasn't given us money in 10 years!" So today we have the Mac Mini and the iMac, elegantly designed for the short term but also designed to be replaced after a few years. From a consumer perspective, like that nice lady who spoke to Jobs, this is a punitive policy, but it lines Apple's wallets with cash, and so it's good for business...and until consumers tell Apple they won't buy unexpandable machines by voting with their pocketbooks, don't expect this practice to change. If anything, Apple might actually snare a few extra high Mac Pro purchases by people who hate planned obsolescence. Seems pretty win-win for Apple right now.
The switch to Intel was part "performance per watt" and part pure profit driven, so that Apple could charge boutique prices for PCs based on commodity-priced parts. Power Macs had a lot of expensive custom chips. Now, Intel designs a lot of Apple's motherboards and components, and willingly so, in their fight against AMD. Remember we fantasized that commodity parts meant much cheaper Macs? How funny was that! Actually, it meant higher profit margins for Apple and much better ability to grab "switchers".
Don't fool yourself; although Apple has a different business model than other PC makers, it is still completely driven by profit. Profit through product differentiation is still just as much profit as achieved through volume-based commodities. Money they say still makes the world go 'round..