APPLE INC.

Description

Computers are still an important part of its mix, but these days music-related products are at the top of Apple's playlist. The company scored a runaway hit with its digital music players (iPod) and online music store (iTunes). Apple's desktop and laptop computers -- all of which feature its OS X operating system -- include its Mac mini, iMac, and MacBook for the consumer and education markets, and more powerful Power Mac and MacBook Pro for high-end consumers and professionals involved in design and publishing. Other products include servers (Xserve), wireless networking equipment (Airport), and publishing and multimedia software. The company's FileMaker subsidiary makes database software.

Only co-founder, CEO, and Apple crusader Steve Jobs may have expected the level of success the company's music-related products have enjoyed. In 2003 Apple announced the launch of an online music service called the iTunes Music Store that lets computer users purchase and download songs for 99 cents each. Apple has since expanded the offerings to include music videos, audiobooks, television shows, and other content. The store's catalog, which has helped spur sales of Apple's popular iPod digital music and video players, includes songs from the five largest record labels, as well as television content from ABC, NBC, and a number of cable networks. The company has launched international versions of its iTunes Music Store that serve Canada and European Union countries. Early in 2006 it began offering select television content on a subscription basis with a service called Multi-Pass. Later that year the company launched an online movie service, and previewed a device called iTV for watching downloaded content on televisions. Apple announced availability of its television device, redubbed Apple TV, early the following year.

Since debuting the iPod in 2001, Apple has provided regular updates to the line, including color displays and and flash memory-based models. Late in 2005 Apple, Motorola, and Cingular Wireless (now AT&T Mobility) announced the debut of a mobile phone with iTunes functionality. Apple also unveiled the iPod nano, an updated (and even smaller) version of its miniature iPod model, as well as an iPod capable of playing video. Early in 2007 the company finally unveiled a long-rumored Apple mobile phone that combines features of a high-end handset with those of an iPod. Its product line even further diversified, Apple also announced it would drop "Computer" from its name

WAL-MART

Description

Wal-Mart Stores is an irresistible (or at least unavoidable) retail force that has yet to meet any immovable objects. Bigger than Europe's Carrefour, Tesco, and Metro AG combined, it is the world's #1 retailer, with about 6,775 stores, including some 1,075 discount stores, 2,250 combination discount and grocery stores (Wal-Mart Supercenters in the US and ASDA in the UK), and 580 warehouse stores (SAM'S CLUB). About 60% of its stores are in the US, but Wal-Mart is expanding internationally; it is the #1 retailer in Canada and Mexico. It owns a majority stake in Japanese retailer SEIYU. Wal-Mart also has operations in Asia, Europe, and South America. Founder Sam Walton's heirs own about 40% of Wal-Mart.

The company, which employs some 1.8 million people worldwide, is famous for its low prices and breadth of merchandise. Another part of the retailing leviathan's appeal is its efforts to promote a small-town flavor, with friendly greeters and patriotic trappings. The chain doesn't just compete in discount staples such as food and clothing -- it is a force in many other categories including electronics, health and beauty products, sporting goods, entertainment (CDs, DVDs, and videos), and toys. Its prescription drug sales at its more than 3,000 pharmacies make it North America's #3 pharmacy operator (behind Walgreen and CVS). Wal-Mart also sells products online at Walmart.com and operates online music and digital movie stores. In categories where it trails other retailers, such as apparel and home furnishings, Wal-Mart is upgrading its merchandise (offering more expensive items) to compete with rivals, including Bed Bath & Beyond.

Already the nation's largest seller of groceries through more than 2,250 Supercenters in 47 states (up from 441 Supercenters in 28 states six years ago), Wal-Mart would like to add California to the list. The big-box retailer plans to open 40 Supercenters there by 2008 (up from about 20 now), but has met stiff resistance from residents and local governments concerned about traffic and preserving open space. (Unions are also working to thwart Wal-Mart's foray into urban areas, including New York.) To support its growth in California, where it operates about 200 stores (including three dozen SAM'S CLUBS), Wal-Mart has selected Merced as the site for a new regional distribution center, its ninth in the state.