Apple Is An Industrial Leader In Innovations Marketing Essay

Apple is an industrial leader in inventions with its scope of applications, notebook and desktop computing machines. Apple besides owns the iPod portable music device and iTunes online shop for music hence a revolutionising the digital music industry ( Kurtz 2010 ) . The Apple Company from clip to clip produced new merchandises in the market. Recently Apple produced a new merchandise called the ipad. This is a signifier of tablet computing machine which is easy to utilize and portable. The essay will analyse the schemes used by Apple ipad to venture into the market and how the schemes affect gross revenues and response by the client. The essay will besides cover with the challenges Apple is confronting and is likely to confront in future that will impact its net income borders and market portion.

The Market Environment

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Geographic Market

When conditions of competition sing a certain merchandise are similar or the same this is scenario is known as geographic market. In this instance Apple ipad is confronting a similar state of affairs because its merchandise is similar to the merchandises of other companies such Nokia, Siemens and Motorola, these companies have produced smart phones which are viing for the same, market portion as Ipad. The mark group of these merchandises is immature enterprisers and the immature coevals who want portable appliances which are easy to utilize ( Cohen 2005 ) . Therefore, the competition is really high compared to the market population. The ipad is a simple and portable appliance but these characteristics can non do it the lone merchandise of pick to the consumers, but there is demand for more additives in order to supplement theses features otherwise this merchandise will go on to confront challenges in the market portion.

Type of Business

The Apple ipad is in the nomadic computer science concern. The company has integrated the constituents and characteristics of Mobile and computing machine appliances and come up with a simple and remarkable device which will alter the universe in footings of engineering. This concern is full of challenges and the Apple should be ready to confront these challenges loosely. The nomadic computer science concern has been in the market for more than 20 old ages but the Apple ipad has come to revolutionise by coming up with this new merchandise.

Plague Analysis

Apple has been by some political issues in seeking to market and sell the merchandise ( ipad ) . For illustration in some states such as china the revenue enhancement policies are excessively hash for this merchandise to be able to perforate in that state. Another issue which is impacting the ipad in the political position is about the jurisprudence on the environment. A state such as New Zealand has banned the importing of a certain measure of electrotrnic appliances due to radioactive emanations.

The recent planetary economic crisis which was experienced across the universe affected the growing and gross revenues of ipad. Although the crisis was before the launch of this merchandise it effects are still being felt globally this at hand apples incursion to certain markets. Some states some encountered slow economic growing for illustration in Africa and some Asiatic states thereby coercing the Apple non to venture in these markets.

The Ipad is by and large inclined to the immature enterprisers and the babe boomers ; this factor has a societal impact on selling of this merchandise. Another societal factor that is impacting the ipad is the wellness issue. Some people are really witting of their wellness and they fear that this merchandise might be a wellness jeopardy.

The current technological displacement across the universe particularly in Europe is might coerce the Apple to alter their invention schemes. Technology is turning rapidly and new things come up daily, this has caused ripplings in Apple Company. It is hence prudent for a company like this to turn with engineering.



As mentioned earlier, Apple ipad is confronting terrible competition from companies such as Samsung, Nokia, Motorola and Siemens. These companies are in the nomadic industry, but companies like Hewllet Packard and laptop Rio Carbon- iriver H10 can non be ignored even though they are in the computer science industry.

Gross saless and net incomes

Apple has had a good fiscal twelvemonth. In the 4th financial one-fourth Apple posted record gross of $ 20.3 billion and holding a net net income of $ 4.3billion, this net income has been accredited to the ipad merchandise which was late launched. When the ipad was launched, the gross revenues were over three million devices in merely 80 yearss in lone 80 yearss. In the above mentioned financial one-fourth ipad gross revenues were over 4.2 million devices. The gross revenues of ipad have are on the diminution and this has been due to completion and the economical issues.

Market Share

Although ipad is a new merchandise in the market it has captured a large market portion largely in Europe and Asiatic states. In Africa ipad has been able to perforate markets such as South Africa and Egypt among other states. This tendency shows that in future the ipad will be a prima merchandise if non the dominant merchandise in all markets across the Earth.

Target Markets

The ipad is aiming immature grownups largely of the ages between 16 and 35 old ages. It has its market mark to immature enterprisers who are in concern and who are ever going. This mark is the best because of the concern characteristics which the Apple has incorporated in the appliance. Furthermore ipad is besides aiming economic systems which are turning such as states in Africa and South America. With economical growing such states will necessitate technological devices which will maneuver the economic system.

The Company

Gross saless and Net incomes Trend

In 2009 Apple posted gross deserving $ 10.17 billion and a net income record of $ 1.61 billion, this shows that concern has been really good for the company and gross revenues are assuring. These show growing of gross and net income as compared to the financial twelvemonth 2008, where the gross was $ 9.6 billion and a net income of $ 1.58 billion. During the 2009 one-fourth Apple was able to enter a sale of 2,524,000 Macintosh computing machines and 4.2 million ipads in the 2010 one-fourth. There was besides a sale of iphones during the 2009 one-fourth that amounted to 4,363,000 units.

Market Share

Apple marks single and corporate clients since it has a broad scope of merchandises. Apple is 2nd in bid in footings of market capitalisation in May 2010, apple & A ; acirc ; ˆ™s market capitalisation was recorded to be $ 222 billion supplanting Microsoft it rival company. Apple has developed a good web in footings of market portion and it is one of the largest among other companies. Apple market portion is turning due to the debut of new merchandises in the market such as the ipad.

Business Sector

Apple has been in this sector for many old ages and in those old ages it has recorded an first-class growing both in America and across the universe. The company has been able to bring forth different trade names and merchandises and besides being able to market the same.

Undertaking focal point

Apple wants to market ipad in order to go a market leader. Apple has come up with policies and schemes that will enable ipad to make as many clients and new clients as possible is as to increase gross revenues. Apple is aiming to sell over 4.8 million units of ipad in this one-fourth. This will be an addition of over 600,000 units. Furthermore, Apple is aiming to increase its market portion of IPad in developing states.

SWOT Analysis


Apple is a really successful company. It has an addition of gross revenues fundamentally in about all merchandises including it favourite trade name Macintosh computing machines. A merchandise such as the IPhone has increased it the net incomes of the 2nd one-fourth of 2005 to $ 320 billion. The gross revenues of other merchandises such as note book have been really strong. These consequences contribute to the entire sum net income of Apple.


Reports have indicated that some of the devices such as the IPod have faulty screens which the company has confirmed. This is an extra job where some appliances have faulty batteries and in this instance the company offered batteries to clients. The proclamation that apple would alter the bit provider from IBM to Intel ; specializers said that this would confound clients ( Vence 2004 ) .


An chance is at that place for Apple to develop its music participant and iTunes engineering into a simpler format such as the Mobile. Apple should besides venture in to podcast ; this is another signifier of bring forthing income.


The biggest menace that Apple is confronting is competition. A successful company usually attracts competition and this has made Apple to work on its invention and research so that it can counter competition.

Company Marketing Scheme


Apple has divided its market in to different categories. There are single clients who are the bulk, and corporate clients who involve companies and organisations, in this group of market Apple usually supplies merchandises to them with subsidised monetary values. In the single category of clients the company has besides segmented so harmonizing to their ages for case there are two age brackets, 16- 35 old ages and 35 old ages and supra.


Apple has come with different aiming schemes for illustration the debut of the IPad merchandise is aimed at aiming single clients who are of the ages between 16 and 35. Another merchandise that is targeted to this group is the IPhone. The Macintosh computing machines are usually targeted to corporate clients.


The clients are really glad that Apple has come up with a new merchandise ; this can be confirmed with the gross revenues which have been made in the recent yesteryear. In add-on, client are besides satisfied with the merchandises being produced by the company, this can be ascertained by the fact that Apple has been doing bigger grosss annually.


Apple has its merchandises differentiated, for illustration in the Ipad some characteristics have been incorporated in order to aim certain sections but with a higher monetary value. This enables a client to take many options from the same merchandise but with less or more characteristics harmonizing to the budget of a client.

Growth Strategy

In the recent yesteryear Apple has come up with many growing schemes such as purchasing other companies and presenting other applications in the market such as the Apple shop. These schemes have brought returns in the company. For the company to go on wining, it should steer in other markets such as states in Africa and Asia.

The Marketing Mix

Product Life Cycle

The undermentioned rhythm shows the procedure in which a merchandise goes through in the market.

Market debut

Impregnation and Decline phase Growth phase

Maturity phase

In this merchandise life rhythm many things comes into drama, the merchandise enters in the market, the gross revenues of the merchandise addition bit by bit due to monetary values or the gustatory sensation of people, in the adulthood phase the monetary values might be lowered due to mass production and competition. Finally, the merchandise reaches the impregnation phase where the monetary values are antagonistic optimum. In this phase, gross revenues decline therefore doing net incomes to be a challenge.

Evaluation of Company & A ; acirc ; ˆ™s Future Growth and Tacticss

The current place of the company seems positive. As indicated earlier Apple has had significant growing in footings of gross revenues and gross non to advert net incomes. For illustration the company recorded gross of $ 10.17 billion and a net income record of $ 1.61 billion. The gross revenues of merchandises have greatly improved for case in this twelvemonth & A ; acirc ; ˆ™s one-fourth the company sold 2,524,000 Macintosh computing machines and 4.2 million ipad units. I my position the chances of the company seem good to the statistics. Furthermore the company is able to manage competition really good.


It has been found out that Apple has been really much successful in the computing machine merchandise markets of the United States. The success could be attributed to invention, merchandise betterments and extended selling ( Donaldson 2002 ) . Apple & A ; acirc ; ˆ™s has been able to retain its clients by supplying them with merchandises that meet their demands. With the launch of the Ipad apple has proven to be a market leader. Apple has considered the gustatory sensation of its clients on any clip it invents a new merchandise

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