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Apple Essay

568 words - 3 pages

GSBS6010 Foundation of Marketing Theory-Assignment1-Homework 2
As a one of the largest companies, Apple also has some competitors in the worldwide.
According to Gartner market research showed that In PC area, HP (market share 19.6%) and Acer (market share 13.3%) have became major competitors of Apple in fourth quarter of 2010, in the smartphone operating system area major rivals of Apple are Nokia Symbian (44,3%), Blackberry RIM (19.4%) and Google Androids(9.6%) compare with iPhone OS of Apple(15.4%) in first quarter of 2010.
Those competitors’ products are set up different price to distinguish different level to satisfy different customers’ need. Most of their products focus on the similar area: individual and family, and also concentrate on the same development direction: entertainment functions. On the other hand, this is the evident to show those competitors practice ...view middle of the document...

However, Nokia lacks a product in the high level (Gartner 2010).

In the recent years, the economic development of China increases greatly. However, the rapid growth in the money supply of China causes consumer price inflation (Country Report, 2010). In this period, consumers have less confident to buy the products, because the real income is decreased and products cost more (p59). Customers will consider buying something which is necessary or high performance-price ratio.

For other things, not only the economic environment but also the social and cultural environment in China has been changed. People have changed their value from Collectivism to Individualism because of economic growth. More and morepost-80s Generation (who were born between 1980 and 1995) in China have the consuming capacity now. They havePost-80s Generation was open, self-oriented, strongly independent, hoping to make money and interesting in expensive products (Cao, J. X., 2009). So Apple’s product which is focus on unique user experience and entertainment function will become their first choice.

Compare with Apple product and other competitors, there are more and more digital terminal focus on entertainment area and have became the multi-function. For example, iPhone maintain communication, the Internet surfing, touch-screen, camera and MP3 function. So customers can gain various values from one mobile phone. However, this change also can affect other apple products sale, such as iPod which is simple-function MP3 (with out camera and Internet surfing)

References:
1. Cao, J. X., (2009). “The Analysis of Tendency of Transition from
Collectivism to Individualism in China”

2. Country Report. China, (2010). “Outlook for 2010-11”.

3. Gartner (2010). Retrieved February 21, 2011, from
http://www.gartner.com/it/page.jsp?id=1372013

4. Gartner (2011). Retrieved February 21, 2011, from
http://www.gartner.com/it/page.jsp?id=1519417

5. Solomon, R. M., & Hughes, A., & Chitty, B., & Fripp, G., & Marshall, W. G., & Stuart, W. L, (2009). “Marketing: Real People Real Choices”(p55, p59)

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