Apple Earnings Surge 33 % On Iphone Sales

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I will be reviewing how the articles “Apple Earnings Surge 33% on iPhone Sales,” “Makers of Baby Formula Press Their Case on WIC Program,” and “Tokyo Disney Report Reigns as World’s Least- Expensive Disneyland” relate back to our course topics pricing decisions, customer profitability, and cost management. First, I will a give a short summary of the article, and then I will discuss how the article relates back to our course.
Daisuke Wakabayashi’s article on Apple’s market share growth and increase in gross margin brought to light. Wakabayashi is surprised by Apple’s ability to gain market shares while still charging higher prices than their competitors. Apple claims the success is to due to their latest products (iPhone 6) luring customers away from the rivals at this latest phone release cycle, more than the normal change over. In response to the increased revenues, Apple has increased dividend payouts to 11%. In addition, Apple’s share-repurchase program increased by $50billion. Even through this massive buy back program and dividend payouts, Apple’s “cash pile” continues to grow. China is playing a huge part in the unheard of growth. With more citizens moving up in the social economic ladder, purchases during the Lunar New Year (a time with a general increased spending) have increased exponential. However, not all is good overseas for Apple’s revenues growth. The dollar is currently stronger than other currency and has resulted in a 6 point decrease in revenues. Apple

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