The Apple Company Introduction The success of a company depends on the market performance of its product. Performance of a product is largely determined by the attractiveness of a product to the customer and the ability of the company to sell the product at a profitable price…
At the end of 2010-2011 financial year, Apple sold 27 million compared to the 6 million units sold in 2008. This essay will therefore analyze Apple’s Iphone from a microeconomic and macroeconomic perspective. The main factor that affects the supply and demand of a product is price. Price is the exchange value of a product at a given time and market. Consequently, Apple will experience a change in the demand of its product if it changes its price. Currently the IPhone is the most highly priced smart phone in the market. This is in comparison with other similar products such as Samsung Galaxy. The Apple Company will also be willing to increase the supply of the product at high market price. Technology is the second factor that influences IPhone’s demand and supply. In the current digital age, high tech gadgets such as smart phones are increasingly becoming necessary. In addition, technological advancement has increased efficiency in the production of the product (Bade, 2007, p. 23). This has increased the supply of the product leading to a reduction in price. Advancement in technology has also caused a reduction in the prices of other related smart phones particularly those manufactured by Chinese companies. This has caused a shift in the customer base for the product. Market structure relates to the nature or influence of buyers and suppliers in a market. Perfect competition, oligopoly, monopoly, and monopsony are the basic market structures. The Apple Company operates in a perfect competition market. A perfect competition market is considered as an ideal market, which is characterized by many buyers and suppliers. In addition, a perfect competition market is characterized by freedom of entry and exit. This promotes the production homogenous products and availability of numerous substitutes. In such market, product, promotion or advertisement are critical factors that suppliers use to increase the sale of their products. Advertisements and free market information makes the consumers to have readily available information about prices, products, and competition of the supplies (Bade, 2007, p. 43). Thus, consumers in the high-tech and gadget market are aware of products of other related producers such as Nokia, Motorola, and Samsung. The profitability of a product determines its existence in a competitive market. In addition, profitability of a company determines the company’s preference for its production. The Apple Company continuously advertises its products in order to maintain its position in the market. IPhone advertisements are common in popular print and electronic media. Online magazines and social media are some of the common platforms through which Apple advertises its products. Through these advertisements, the company informs potential and existing customers about the high-tech capabilities of their devices. A typical advert will illustrate user friendly and device intelligence features that make the IPhone to stand out from other similar products. In addition, the company needs to increase its investments in research and innovation. Acquiring patents for smart phone features will increase the profitability of the product. In addition, the Apple Company will have profitable operations through reduced costs of operation. Technology innovations will lead to efficient operations and reduced cost of operation. The current market structure is slightly profitable ...
Cite this document
(“The Apple Company Assignment Essay Example | Topics and Well Written Essays - 1500 words”, n.d.)
Retrieved from https://studentshare.net/macro-microeconomics/69672-coursework-assignment
(The Apple Company Assignment Essay Example | Topics and Well Written Essays - 1500 Words)
“The Apple Company Assignment Essay Example | Topics and Well Written Essays - 1500 Words”, n.d. https://studentshare.net/macro-microeconomics/69672-coursework-assignment.
Apple has managed to expand its market because it advertises its goods online. This is because many individuals spend most of their time using computers when working or during their leisure times. There are many categories of online advertisements used by the company.
Not all Apple products managed to have immense market value immediately after their release e.g. Apple iPod. Many of these products showed a rapid increase in their sale few years after their release, thanks to the informed decisions made and prudent marketing strategies adopted by the Apple Company.
Apple has earned an exceptional reputation in consumer electronics business. It is ranked as the third largest mobile phone maker and is the largest technology company in terms of revenues and profits. Apple fulfills its motto “Think Different” by introducing innovative products and as a result captures consumer loyalty.
Essay about Apple Company Contents Introduction 3 Internal Environment of Apple Company 4 External Environment of Apple Company 6 Conclusions 8 References 10 Introduction A business organisation to successfully operate in the competitive business environment must render adequate focus on both the external and internal business factors.
it endeavors to: 1. Identify the strategies that have kept Apple Inc ahead of competition. 2. To analyze the strategies developed by Apple Inc 3. Develop a critical view and evaluation of the competitive strategies by Apple Inc. 4. Establish recommendations that will see the company keep up with change.
ak’s excellent technical expertise Apple manufactures, designs and markets wide variety of innovative personal computers, communications device, media and entertainment device, music players (portable), software, services, peripherals and accessories. Some of the well known
Presently, the company is an American Corporation. Its products and services are mostly concentric to the manufacturing and designing of computer hardware, software, and other electronic gadgets to be rendered to the world wide customers. As per to state its
n the city of New York in 1841, which was considered as the first and primary source of consistent, reliable and objective information provider to the ultimate customers. (Dnb.com, 2014)However, that was Benjamin Douglass, who had shaped the company into its present form and
rth is unique both from the physiological and psychological point of view, thus every person has the requirements and desires arising in a concrete situation. Requirements can be different, every requirement can be caused by the both social, and physical factors. To meet and