Apple Stp Analysis.

The functionality of the iPhone’s operating system is so smooth and advanced, it out performs Android operated device. Apple’s innovation and creativity has helped it to become the best mobile operating system on the market, “Because Apple makes both the hardware and the operating system for iPad, iPhone, and iPod touch, everything is designed to work

When Steve Jobs unveiled the iPhone at the Macworld convention in January of 2007, a tidal change in the way users communicate with one another was unleashed. The phone, which combined the already popular attributes of an iPod with the traditional cell phone, was an instant success, selling millions of units even at the initially haughty price of $599 each (Vogelstein, 2008). The theory behind the creation of the phone was deceptively simple: combine an MP3 player with a Blackberry, camera, and regular cell phone operating on a sleek touch-screen controlled software system. Consumers were finally freed from carrying separate devices to perform all they tasks they now wanted to away from home. In one simple hand-held device they could take pictures, listen to music, play games, communicate with friends and family, and even surf the Internet. This one device changed the way that people began sharing information, allowing them to instantly access information anywhere in the world while also transmitting it just as quickly. The iPhone is now universally recognized and has become a cultural artifact in our times.

Price skimming is a strategy which firms often using when starting enter into the market, which offers high price at the introductory stage of the production cycle and lowering the price when competitors have been attracted by the high profit margin to enter the market (Ma & Hernandez 2011).

This occurs when a business charges the highest price for a product during the introduction stage of its lifecycle. This is typically used when introducing a new, unchallenged product into the market, ensuring high profits before the product has competition. For example, Apple set its price for its iPhone 6 plus exceptionally high due to its advanced features and lack of competitors. This ensured that Apple received high-profit levels before the iPhone 6 plus was challenged by other products. Additionally, this has seen Apple have a high product position and helped cement its brand image, as these higher prices are typically associated with a higher quality product. This has subsequently improved market share and profits.

New top-end mobile phones such as the Apple Iphone are allowing a new class of mobile to emerge in the world today. Combined with its ease of use, rich design, and well-organized application system through Apple App Store makes the Iphone an appealing platform for development of other smartphones. The Apple IPhone was released on June 29, 2007 by CEO of Apple Steve Jobs (Honan). The IPhone offers many of the innovative features found on competing devices, but it also differs from other smartphones on the market.

Apple was established as an IT company dealing in exclusively in computers. However, competition in the technology sector forced the firm to focus on other consumer products. The diversification strategy has seen Apple’s sales grow tremendously in the last decade, earning the firm the No. 1 brand position at Forbes. The Apple brand is recognized on an international scale and enjoys a strong recognition thanks to its aggressiveness when it comes to creativity and innovation (Tar, 2013). It has a large number of loyal customers who would purchase the new products regardless of the market price, which guarantees profits from the new division.

The brand identity can used to drive and guide strategic initiatives throughout the firm, to differentiate the firm’s products and create a competitive advantage, to drive the committed to customer, to support the firm’s values and culture, and to support an easier protection of the brand (Danciu, 2010). Apple’s good brand identity strategy has provided supports to its unique position and its products in the global market. Apple has ranks as the top ‘Luxury Brand’ in China and many people are desired to own the products of Apple due to its luxury identity (Kedmey, 2015). Even though Apple has charge high prices for its products to customers, but customers are willing to buy as it provide innovative and better quality of products in terms of privacy, systems, application, and functions which easy to win the customer’s respect and loyalty. The distribution and retail strategy of Apple made it successful (Denning, 2011). There are four main distribution channels for Apple of its products, which are an online store, its retail store, direct sales, and third party wholesalers, which are easy to distribute its products to consumer. The store of Apple is intensive to control the ways that employees interact with customers, scripted training for on-site tech support, and consideration of every store detail down to the pre-loaded photos and music on demo devices. It also creates a carefree and

According to Digital Trends, “The reason behind the Apple profits off cell phones is that, the manufacturing cost of one IPhone is around $200 and they always sell the phones at $400-$800 profit on a single device” (Kharpal, 2015). This proves that the overall profit is more in case of selling a premium smartphone as compared the selling large number of cheap phones.

The launch of the iPhone in 2007 transformed the humble mobile phone from a one-trick tool for communication into a catch-all platform whose functionality is constantly evolving. The smartphone … is now a pocket-size PC,” the editors wrote. “It facilitates instantaneous personal connections that make phone

Over the last decade, electronic-based companies such as Samsung and Apple have collaborated with cellular-phone carriers, and have studied the average consumer to find endless ways to improve the cellular phone. As a result, the smart phone was born. With their ability to provide users with instant access to communication, entertainment, Internet access, calendar, news, social media, and much more, the smart phone revolutionized and shifted the path of modern technology. In 2006, Apple began this revolution with their release of the iPhone. Being the first proper smart phone, many other companies attempted to mimic the unbeatable features and technology that Apple had included with the iPhone.

The second pricing strategy is the penetration pricing where the product enters newly into the market. To gain some consumer base from the competitors, the seller initially charges a lower price than the competitors. For example the ticket prices initially charged for IPL, Indian Premier League, matches were lower than the ticket price of the competition ICL matches. On the contrary, price skimming strategy is to grab the financially top class of the market and to do this, the seller charges high prices. The effectiveness of this strategy is based upon

Once again Apple has been the first to the market when it comes to new features such as the touch screen, which has helped to keep its competition at arms length. Like all other Apple products, the smartphone is seen by many consumers in the industry as fashionable and a must have. Also Apple’s online music store support has also been a huge lift to its smartphones, as consumers can download music and thousands of applications.

An Apple iPhone is a popular multimedia, internet based smartphone sold and marketed by Apple, Inc. An iPhone can function as a video camera (video recording was not a standard feature until the iPhone 3GS was released), a camera phone, a portable media player, and an Internet client with email and web browsing capabilities, can send texts and receive visual voicemail, and has both Wi-Fi and 3G connectivity. The user interface is built around the device's multi-touch screen, including a virtual keyboard rather than a physical one.

Diversity in products and their prices helps Apple remain an inelastic company, regarding their demand. If a price rises for one of their products, there is sure to be another product that moves into that previous product’s price range that is still comparable in design and quality. There will always be people to buy the more expensive items not only because of Apple’s positive brand recognition and loyalty, but because Apple consistently produces quality and innovative products; including, if Apple finds a defect or fault, they fix the problem for free or replace the product altogether.

In 2007, Jobs invented the iPhone, a user friendly smart phone, which launched the smart phone market as we know it today. Until the emergences of other companies in the smart phone industry Apple monopolized the smart phone market. Although, other competitors are producing smart phones, Apple still continues to be successful when it comes to sales. For instance, Apple’s new iPhone 5S models sold more than 9 million units in their first weekend, and the company has earned praise for