It has being acknowledged as the most valuable brand. The advantage was many praised for his ability to spot opportunities for new products that other people missed; and his clear conceptualized capability. This make Apple become successful, dominate the whole market, and beat their competitors. He was also known to create space in Apple for new products to exist and motivate Apple employees to build them. The products and services are incomparable with others products because it has the best quality products and services in the mobile industry.
Thus, people have impression of high-quality and high-price products. Although Apple products are expensive people buy Apple products to represent themselves as wealthy people. Apple has been building their smart and sophisticated image for a long time via advertisement and marketing. Also, Apple stores interior are clean white and well organized. This also contributed to Apple’s image.
SWOT Analysis a) Strengths: • Strong R&D: Product innovation will continue to flourish and add to the success of the technology sector. Apple builds it up and accomplish this mainly through increased R&D. In addition to this, Apple has a lot of capital and exposure to international markets, so they can invest heavily in R&D and cope their expenses. • Customer loyalty: Customer loyalty is a reflection of the high quality customer service Apple offers. Apple needs to maintain this to maintain their customer loyalty.
Having said this, Apple Macs are most desired by big businesses due to its fast and reliable and multi functioning operating systems and features. And is also viewed as a luxury item. So further investment could produce both positive and negative outcomes for the company. Apple
Apple has a strong brand image, innovation and customer service making it different for new entrants to compete against. Threats of substitutes: it not necessary the same products offered by other companies, but rather different products that satisfy the same need as the product being offered. If a supplier increase their prices, a company with differentiated product can pass that cost to its customers. Since Apple competes as a quasi-monopoly in its market segment, Buyer power: in general, the more customers a company has the less barging power each customers will have, and it switching costs are high, then buying power substantially decrease. Since the company competes as a quasi- monopoly in its market segment, there is a reduction of the buyer's
The Apple should control its cost of goods to strengthen its profitability. We still should remain optimistic opinion about Apple’s future development of profitability. Because, its revenue growth is much higher than its main competitor, and its inventories turnover ability is much stronger than other peers, which indicates that it possesses strong and continual profitability the usefulness of the financial statements that affect your analytical measures The financial statements play an important role on the financial analysis. It is also the fundamental basis of it. So we conclude from such
For example: iTunes providing music download for iPhone and iCloud providing backup. These additional benefits incorporate very high value to the products. The innovativeness of the Apple Inc. is strongly correlated with concept of dynamic capability. This company works proactively and pays attention to all significant actions of the competitors. Apple manages to benefit from the rivalry with the biggest competitor in the mobile technology industry “Samsung”: it has nothing to do but to provide the best quality products in order not to lose the customer
Duplicating Apple’s strategy might not generate the exact same results as it did with Apple, the main reason being that Apple is a very agile organization. It has successfully shifted from one market to another and diversified into various lines. Not only has Apple come up with various products including iPods, iPad, iPhone, iWatch, MacBook, etc., it has also tapped many new markets all over the globe. The customer base of Apple is so diverse today that it can be seen that every other person owns at least one product from the
Unit 1- Business and Business Environment Prepared By: Malik Amin Assessment 2 1. Impacts of Macro-Environment: The external environment can have lasting negative and positive effects on the performance of Apple Inc. Since it is a global company, the external environment varies from one market to another ( ). For instance, the deregulated third world markets can have negative impact on performance of Apple since most of its devices are sold in the black market or through dealers that are not directly authorized by the company. On the other hand, the regulated and stringently monitored markets in developed countries pose an opportunity to the company for increased profits and market share.
This results in the customers having to pay the full price at the time of purchase. The customers may not be able to afford the full price of the iPhone. The average price of an Apple iPhone in India is $612 which is much higher than Samsung, $173 and Micromax, $86. Hence, customers tend to prefer cheaper premium phones such as those provided by Samsung. Figure 4: Channels of