28657165-Apple-Ppt

Apple Inc.Launches

iPhoneBY:SUNINT KAUR 108E24NEHA 108ROHAN 108

THE COMPANY

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Apple Timeline

Mission:

"Apple is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings."

Vision:

"Man is the creator of change in this world. As such he should be above systems and structures, and not subordinate to them"

Industry:

1. Computer software & hardware2. Consumer electronics

Apple’S Teaser CampaignApple launched a teaser campaign on television that had a “HELLO” tagline .

The ad simply mentioned the word “Hello” and featured many eminent personalities from the film as well as television fraternity answering their calls. The commercial lasted for 30 seconds and ended with the brief glimpse of the iPhone, followed by the word “Hello” and “Coming in June” followed by the Company Logo.

THE LAUNCH OF iPHONE

iPhone – First Commercial

The iDay On June 29’ 2007, Apple launched its much hyped ‘iPhone’ in the US mobile phone market.

The initial buzz created by the product led to many of Apple’s fans forming queues outside Apple’s stores to buy the product as soon as it was launched on iDay, the launch day of iPhone.

According to analysts the launch of the iPhone was probably the best ever launch of any product.

The company sold 1,398,000 units between June 29’ 2007 and September 29’ 2007.

Apple iPhone, 8GB, was launched at US $ 599.

The early adopters bought the iPhone with much excitement.

Initial collaboration of Apple was with AT&T service provider in the US.

The Price Cut Chaos In September’ 2007, barely 10 weeks after the launch of iPhone, Apple announced a steep price cut for the product.

The 4GB version was made inoperable while the 8GB version was available at US $ 399 and a 16 GB version was to be introduced at US $ 499.

The early adopters who had waited in queues to buy the product at a much greater price were discontented and annoyed and they therefore took a legal action against Apple and AT&T for the price cut.

This issue had a negative effect on Apple’s share prices.

Steve Jobs, CEO Apple after critically examining the situation went ahead and posted a public apology on the company’s official website and in addition to this, he offered a credit of US $ 100 to all the customers who had bought the handset at the introductory price to buy products at Apple Retail stores.

The steps taken by Jobs hence retained the loyal customers of Apple.

Industry

Rapidly Emerging

BuyersWeak

SuppliersStrong

RivalsStrong

New EntrantsThreat

Substitute ProductsEmerged

PORTER’S FIVE FORCES MODEL

1. CarriersAT&T

2. OS providerslike Linux

3. Hardware makersIntel

1. Consumers market2. Corporate market

1. VoIPSkype

2. PDA phonePalmtops etc.

3. Similar features phone emerged in Nokia, LG etc

1. Establish mobile manufacture: Nokia,LG,Samsung

2. Software giants: Google, Microsoft

1. More companies entering into smartphones market

2. Strong brands and finance

SWOT ANALYSIS

•First mover advantage •Ownership of technological patents•Apple is one of the most established brand•Customers loyalty•Cultural, fashion identity

Strengths

•Dependence on third party provider: •AT&T, Content Provider, Application provider•Less appeal to corporate customers •Technological complication•Gorilla arm•Limitation of particular features•Application slow down and freeze

Weaknesses

• Sharp rise in consumer demand• 56% of smart-phone buyers prefer iphone

• New target market –• price reduction attract • more customers

• High Potential Software –upgradable; can add new features • 3G Apple iPhones to captivate business demand worldwide

Opportunities

•New powerful entrant – Google•Many similar or substitute products•Intense competition with major rivals•Increasing bargaining power of buyers

Threats

Consumer-oriented Factors

Technology

-------------------- Internet driven force

- Replacing communication tools

- Next generation experience

Marketing

-------------------- Well-know and well-respected brand name- Market segmentation- Targeting and Pricing

effectiveness

Skill and Capability

-------------------- Value added

(cheaper, faster, more convenient than the

alternatives)- Design and

innovation expertise

Distribution

--------------------- A strong network of

wholesale distributors/ dealers

- Fast introduction and application of services

KEY SUCCESS FACTORS

VALUE CHAIN ANALYSISInboun

d Logistics

Operation

Outbound

Logistics

Marketing

and Sales

Service

Alliances with Major Suppliers

•Linkages with independent software vendors

Design and Innovation

• Technology Driven• Collaborations with best service providers like AT&T and Vodafone

Horizontal and Vertical Integration

Plug and Play solution

• Complete bundle of applications•Music player with iTunes gives brand awareness a push

Services• Secure operating systems• Easy-to-use•After sale services•Replacement warranties

iTunes

Synchronization between the iTunes -

App store and Apple devices.

User interface of consumer

gadgets and computing devices

Intuitive design

Easy-to-use

Self-discoverable 

COMPETENCIES

CORE COMPETENCY --- USER EXPERIENCE

Strategies for competing in rapidly growing markets Driving down costs per unit so as to enable price reductions that attract droves of new customers. Pursuing rapid product innovation, both to set a company’s product offering apart from rivals and to incorporate attributes that appeal to growing numbers of customers. Gaining access to additional distribution channels and sales outlets. Expanding the company’s geographic coverage Expanding the product line to add models/styles that appeal to a wider range of buyers Online sales and customization Ward off black market

RECOMMENDATIONS

APPL-IZATIONOF iPhone

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