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Q: How sustainable is Apple's competitive position in PC and
Transcript of Q: How sustainable is Apple's competitive position in PC and
To be able
it position, a business must be strong in a key functional area in order to maintain competitive advantage over time
Apple OS vs Windows OS
Top PC vendors: HP, Dell, Lenovo and Acer
Mostly people in the world use Windows OS
Start widely knownfrom windows 98 – XP – Vista – 7 – 8
Nokia Motorola Samsung acquire 60% of market share
Due to technological advancement, samsung become the biggest contenders in smartphone industry
Android represent 80% profit of smartphone sector of Samsung
Makes fewer and slower product-market changes than prospector, usually second or third entrant in product market
Attempts to maintain a stable, limited line of products or services
Often with a lower cost or higher quality product or service offering
How sustainable? (PC Market)
The iPad is currently dominating the tablet market.
The first available Internet tablet in the market (FIRST MOVERS)
Apple successfully brought their iOS software from their Smartphones to their iPads.
Largest market share = HP
Apple also faces stiff competition from Dell & Lenovo
PC market sales declining, tablets & smartphones cutting sales.
Apple's unique strength =
Integrated with other devices.
Simple user interface.
The Miles and Snow Typology
Concentrates on protecting its current markets
Appropriate when units a profitable share of one or more major segments in a relatively mature, stable industry
Consistent with improvement for the product
Analyser (Apple vs Samsung)
Phone Accesories, cable and packaging
Samsung wallet and Apple passbook
Analyser (Apple vs Asus)
Lack of well-defined competitive strategy
Does not have consistent a product-market orientation as its competitor
Not as willing to assume the risk of new product/ market development as its competitors
Not as aggressive in marketing established products
Responds when forced to by environmental pressures.
Smartphones unsold, eg. Z10
Z10 launched in March 2013
$5.9billion Annual Loss (BBC News, 2014)
Loses its competitive advantages
Highly innovative companies that focuses on growth and risk taking
Constantly seeks new markets and opportunities
Unique features and functions
Cost not so much an issue
Prospector = Apple
How sustainable? (Smartphones)
Revolutionised the Smartphone & its OS.
Smartphone market growing due to changes in:
However, faces stiff competition from Samsung & Chinese manufacturers.
Able to connect software to hardware.