Essay On Macbook

According to Horner and Swarbrooke (2005: 39), Segmentation may be defined as the process of dividing a whole market into subgroups or segments for marketing management purposes. Market segmentation is the division of the overall market for a service into various categories with common characteristics. In response to different segments, organisations facilitate the available resources to achieve greater efficiency, in order to satisfy specific needs of customers.

I learned that Apple is a juggernaut when it comes to their technological products and marketing goals. Apple focuses on the needs of customer’s light years ahead of their competition and even before most consumers have realized they want Apple’s products. Through their innovative marketing involving social media, word of mouth, Apple Stores they have convinced consumers about the high value of their product even lending to the formation of a “Mac cult” for its diehard fans. The way ahead for Apple is not to lose sight of its brand loyalty and continue to service the customers and entice them with the brand’s prestige. Even with the death of Steve Jobs, I believe Apple forge ahead to differentiate itself from the markets they are in.

Apple has differentiated it products focusing on the professionals and producing computers tailored to meet exact needs professionals. Computers designed for professionals have complex functions that meet their today's requirements. Focus strategy based on cost. This strategy is concentrating on narrow market segment by providing low cost products to the segment. Apple has achieved this through the production of iBook computers to serve the customer section.

Mac also continues to show that they have the “competitive advantage”,(Kotler and Keller, 2009, p.152) in more ways than one, and their competitors simply can’t match what Mac creates and provides. This was very clear with the recent launch of the new Windows 7 for PC’s. PC companies were almost certain that with this new platform, more sales of this product would have definitely have PC ahead of Mac for the first time with regards to quality and cost effective option. However , it was found that “Windows 7 hype might end up helping Mac by enticing customers into stores and lifting overall computer sales amid the marketing hoopla”(Madway, 2009). No matter what comes out from the PC world, Mac customers will remain loyal because their product comes with fewer headaches.

In order to truly understand how Apple operates and what products they offer to consumers in the personal electronics in comparison to other companies in the market. There are many players in the personal electronics industry and Apple is 3rd place for market share capturing 11.1% of the US PC market share. HP is the leading player in the US market accounting for 26.1% share of the market, Dell accounts for 22.3%, Toshiba falls behind Apple with 9.3% of the market share.

First, Apple introduced a new OS in 2001. Second, Apple shifted to Intel chips and by the following year all Macintosh line ran on Intel making laptops run faster for less power. The third strategy was the development of proprietary set of applications. The fourth strategy in becoming the “digital hub” was to come up with a new distribution strategy: the Apple retail store, where customers can have a direct use and experience of Apple’s product and software.

Furthermore, market segmentation is an extension of market research for the purposes of identifying targeted groups of consumers in order to tailor products and branding in a way that it is attractive to that group. There are three general criteria used to identify different market segments: homogeneity, distinction and reaction (Investopedia, n.d).

This paper comprehensively describes the marketing plan of a charismatic organization Apple Inc. The main focus of the paper is to describe the most important marketing strategies which Apple has espoused from the date of its emergence and different challenges which it has faced from time to time. The paper begins with an introduction to the organization. Apple Inc. is an American MNC; engaged in the business of developing and marketing of IT products. Apple has expanded its business operations all over the world. Every product which Apple introduces has its own target market; it develops marketing plan and strategies for each of its products separately (Apple, 2012). Apple's strengths include strong brand image, financial strength, product and process design, and highly efficient operations management while high prices and inability of up gradation of some products are its main weaknesses. Apple has threats from its competitors, increasing costs, and economic situations but has greater opportunities in entering new markets, making strategic alliances, and bringing innovations through efficient R&D. Before entering new markets, Apple has to analyze the business environment through sensitivity analysis, and then decide a framework for the future strategies.

Apple has done an excellent job of developing a very distinct strategy through industry leading innovation. This strategy has allowed them to be the frontrunners in new product introductions and the improvement of existing products. Apple has employed a differentiation strategy in an attempt to meet the needs of a global market by offering customers innovative new products and improved existing products. An important part of their strategy involves meeting the needs of the evolving digital electronics and computer markets. Apple has chosen to implement its strategy by designing and developing its

Nowadays, Apple has positioned itself to be an innovator in the personal computer industry and Apple has developed by offering modern products compared to its competitors. According to Apple’s mission statement last year, “Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App store, and is defining the future of mobile media and computing devices with iPad.” (Business Management,

Introduction The intention of presenting this report is to give a full strategic appraisal and evaluation of Apple Inc. In 1976, the company was founded in a garage in Santa Clara, California. The American multinational corporation mainly involves in designing and marketing consumer electronics, computer software and as well as personal computers. Differentiation is the current strategy position of Apple Inc. There are five main firms in the PC industry and among them; the world’s leading brand is Dell. Apple’s major target is to sustain their present strategic position and to take over the market position as a leader. The key stakeholders include Steve Jobs, employees, lenders and the government.

The marketing segmentation concept allows a company to focus on a specific group of customers that it is best prepared and suited to satisfy. Rather than trying to be all things to all people, selecting a target market enables a company to tailor its offerings to more specific customer needs and preferences (Schewe & Hiam, 1998, p. 200). When a company focuses its efforts and capital (both tangible and intangible) on a more narrowly defined set of needs, it is more likely that the customers will get the product they desire. Companies that use the marketing segmentation concept typically have a more intimate knowledge of the customers they target, and customers usually relate better with companies that understand their interests. As such a relationship is built.

Apple operates with fierce competition in the consumer electronics segment which comes in many different forms. There are a large number of competitors in the different market niches who offer many similar products. Furthermore, many of these competitors' products are priced much less than an Apple branded products. Just as soon as Apple releases a new product, major companies begin imitating it immediately. In the personal computer industry, market pressure is continuously being exerted from such companies such as IBM, Dell, HP, and Toshiba (Wildstrom, 2009). Furthermore, with its flagship product the IPhone, Apple competes with companies like HTC, Palm, Blackberry, and Motorola (Wortham, 2011). Apple has had significant success despite the competitive environment because Apple commands a brand loyalty and dedication to innovation that few companies have ever achieved.

The MacBook Pro is a line of Macintosh portable computers launched for the first time in January 2006 by Apple Inc. It swapped the PowerBook G4 and after the iMac it was the second model to be announced in the Apple–Intel transition. Positioned at the high end of the MacBook family, the MacBook Pro is currently produced in three sizes: the 13, 15, and 17 inch.

Market segmentation is an approach used by a company to select their target market and provide data for a marketing plan. “Market segmentation consist of a two-step process; naming broad product markets and segmenting these broad products-markets in order to select target markets and develop suitable marketing mixes” (Perreault, Cannon, & McCarthy, 2014, p.97). There are 4 categories pertaining to market segmentation; behavioral, geographic, demographic, and behavioral.