Behind the Apple: Mike Markkula

By Samuel Phineas Upham

Mike Markkula is the behind-the-scenes man of Apple. Most people know the story of Steve Jobs, but Markkula began as a marketing director who would use the capital he’d gain to help finance Apple. His experience helped drive Jobs’ products and operations, and his vision helped build Apple into a successful tech company from it humble beginnings in a garage.

Markkula’s involvement with Apple began with the Apple II, which had impressed him. He offered Wozniak and Jobs some help writing a business plan, and that led him to take an interest of his own in the development of their endeavor. He gave them $250,000 in return for 20% of the company stock, a deal they happily agreed too. He then used his connections to add another $600,000 to that initial investment. He tapped himself to head the marketing department and used Michael Scott from National Semiconductor Corp to act as CEO.

He helped incorporate Apple in 1977, and the launch of their early products is pop history by now. Markkula’s views on advertising helped shape the company’s messaging for years to come, and it was his work that helped develop $15 million in sales within the first year. The success of the Apple II led to the Macintosh I and II in 1984 and ’87 respectively.

Markkula saw Apple through many transitions, but ended his time after 20 years. He left in 1997, amid managerial tension and financial instability. Steve Jobs was gone and Wozniak was nowhere to be found. It seemed like a good time to bow out, and the company’s improvements never seemed to draw Markkula back into the game.

Samuel Phineas Uphamis an investor from NYC and SF. You may contact Phin on his Samual Phineas Upham website or Twitter page.

Lancome: a French Fragrance House

By Samuel Phineas Upham

Lancome began in 1935, and was founded by Armand Petitjean in France. It was a fragrance house, which was common for the area, and its goal was to create a beauty brand that would symbolize French elegance in a marketable way. From the beginning, Lancome was focused on delivering its products to the world stage.

Lancome’s symbol is a single rose, which is based on the rose gardens in the area where the company was founded. It takes its name from Le Chateau de Lancosme, a ruined castle.

Lancome launched its first fragrance at the 1935 World’s Fair, which took place in Brussels. Tendre was only the first of five, with Nuit, Bocages, Conquete, Kypre and Tropiques following shortly after. Petitjean soon moved from fragrance to skin care, launching an all-purpose repair cream which he sold beginning in 1936. As the demand for his products grew, he began looking into other avenues to expand the business.

Lancome is most famous for its eyeliner “Hypnose,” which contains the proprietary ingredient known as “LR 2412.” The product improves skin textures, reduces pore size and blurs fine lines to improve skin tone. It has hired several actresses to promote its products, even utilizing Clive Owen as the spokesman for their men’s skincare line.

Lancome eventually branched out into make-up, cosmetics and skincare products. Lancome was its own company until 1964, when it was acquired by L’oreal. Lancome is now part of L’oreal’s luxury products, and it has become a worldwide brand celebrated for its elegance and style. In 2010, the brand celebrated 75 years in business.

About the Author: Samuel Phineas Upham is an investor at a family office/ hedgefund, where he focuses on special situation illiquid investing. Before this position, Phin Upham was working at Morgan Stanley in the Media and Telecom group. You may contact Phin on his Samuel Phineas Upham website or Facebook.