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Wednesday, 16 October 2013 11:05

Apple turns to more style instead of substance

Written by Nick Farrell

Hires Burberry saviour

Desperate to turn around its failing fortunes, Apple has hired the CEO of the British luxury brand Burberry. Angela Ahrendts managed to turn Burberry around by using digital innovation, building a strong online business, and tap Chinese and Latin American markets.

Now it seems that Apple hopes she can do the same thing for them. Chief Executive Tim Cook has set her the task of bolstering flagging iPad and iPhone sales. Her first challenge is to boost Apple's sales in China, its second-largest market. Apple hopes that she can draw on her Burberry experience of introducing less expensive goods without damaging the value of the brand.

Ahrendts is the first woman to join Apple's executive team in nearly a decade. She will take on an expanded role, overseeing its vast network of stores that employs about 42,400 people and online teams. Apple has not said how much she will be paid. However she was Britain's highest-paid CEO in the 2011-2012 financial year, taking home $25 million.

Nick Farrell

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