An Industry Analysis Of The Smart Phone Industry

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Q1. Perform an industry analysis of the smart-phone industry. Do you believe Apple was effective in neutralizing the threats and capitalizing on the opportunities posed by the forces in the smart-phone industry? If yes, explain how. If not, explain why not.

Industry Analysis of the Smart Phone Industry The industry analysis of the Smart Phone Industry will be performed by using the Porter?s 5 forces Model. The industry structure will play a critical role in the analysis with the buyers, suppliers, competitors, news entrants and substitutes being assessed. These aforementioned five players affect the profitability of firms in an industry. When the forces drive prices or cost in an upward direction, they threaten the profitability of firms in the industry. An industry analysis of the smart phone industry is performed below.
The Structure The entry of the iPhone into the mobile industry was a risky venture. In 2007 when the iPhone was launched, the mobile phone industry was dominated by Motorola, Nokia and Samsung which commanded approximately 60 percent of the market share. Moreover, the products (phones) were also characterized by short product cycles of roughly six months. The Apple smartphones (iPhones), in 2007, which were mobiles built with multiple functionalities were only gaining popularity. The smartphone industry is volatile and characterized by rivalry and competition among the key players. The iPhone prefers a
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