Assess the current strategy - demand and market share, Marketing Research

Assess the current strategy:

1. Does the current strategy strengthen the feedback processes driving growth?

Yes, the current strategy strengthens some of the feedback processes driving industry demand and market share. Please refer to the stocks and flow models for the following reinforcing strategies.

  • Abundance of add on free accessories and software - strengthens the reinforcing feedback in product differentiation category
  • Advanced features (best touch screen and best user interface) - strengthens the reinforcing feedback in product differentiation category
  • Regular advancements in technology and launch of new generation products - strengthens the reinforcing feedback in new product development category

2. Are those gains appropriable?

Yes, the gains are appropriable. Because once Apple established itself as the leading brand, it got its major loyal customer base (network effect, refer figure 1) who will stick to the brand in spite of competitors. This network effect will help in further growth. The value from this growth will be passed on the suppliers and customers, in addition to the organization.

3. Future Vulnerability

  • Introduction of competing models - Introduction of good quality competing models will drive down the price and thereby the profits.
  • Technological obsolesce - Invention of new technologies may render current Apple products obsolete, hence Apple might lose its share of the market.
  • Customer bargaining power - Customers might not want to always pay the premium price of Apple products, and gradually shift to cheaper options.

4. Limit the growth of market and industry as a whole

The most important factor that can limit growth of the market in which Apple Inc.

operates is introduction of better substitute technologies. A very comparable example of it is almost disappearance of Cathode Ray Tube Television with the advent of LCD and LED display technology.

Posted Date: 2/15/2013 4:50:40 AM | Location : United States







Related Discussions:- Assess the current strategy - demand and market share, Assignment Help, Ask Question on Assess the current strategy - demand and market share, Get Answer, Expert's Help, Assess the current strategy - demand and market share Discussions

Write discussion on Assess the current strategy - demand and market share
Your posts are moderated
Related Questions
Q. Steps in the marketing process? There are a range of alternative models however that of AIUAPR which most directly links to the steps in the marketing/promotional process is

Q. Explain Psychoanalytical model of consumer behaviour? This model is on the basis of work of psychologists who were concerned with personality. They were of the outlook that

Q. Nature of personality that influence consumer behaviour? The study of personality discloses three distinct aspects: Personality reproduce individual differences Pe

OBJECTIVES After studying this unit, you should be able to : 1. describe the need of cargo insurance in international business; 2. explain various kind of perils covered

CENTRAL EXCISE FORMALITIES : It is a common practice all over the world that the exports are not to bear the burden of indirect taxes. Export goods are either exempted from such t

you purchace a byke so make a assinment with marketing concept

Procedural Formalities : Let us now discuss various procedural formalities of excise rebate. Refund Procedure under Rule 12.The authorities involved in this Rule are: i) Juris

Risk as an Importer : The position is entirely opposite of what it is for the exporter. If the importer is billed in rupees, he does not stand to loss at all whether the foreign

Determine the types of stratified random sampling There are two kinds of stratified random sampling; (a) proportionate stratified sampling (b) disproportionate stratified sampl

A research problem in general refer to some difficulty which a researcher experiences in the context of either a theoretical or practical situation and wants to obtain a solution f