Eco 365 - Apple Competitive Analysis

Apple Competitive Analysis

ECO 365

January 4, 2017

Apple Competitive Analysis

Present market competitive analysis is significant for every entity.  Competitive analysis reflects strengths, weakness, vulnerabilities, trends, and treats. Apple is the focal point for this analysis. I will serve as an electronic analyst and examine Apple's competitors and customers. My report will reveal international trade tactics, product technicalities which confront Apple, as well as supply, demand, and cost. I will explain factors of supply demand and total revenue based on opportunity cost. Additionally, my report will display externalities and government policy effecting marginal cost and revenue. Furthermore, demonstrating variables which influence product and components productivity. Nevertheless, provide a survey of legislature approaches, their impact, give proposals, and explain how to maximize profit-making possibilities, and dominate its market presence.

Apple, inc.is a global pioneer and leader in computer hardware. They have products including software, computers, tablets, mobile phones, watches, and applications. Apple is a world pioneer in workstation fittings for result offerings including portable phones, software, peripherals, and requisitions. Simultaneously, the past and current theory exist as Apple monopolizing the electronic industry. Likewise, the organization does not share such thoughts.  All things considered, industry experts ideology states "it relies on how you define the market" (Elmer-DeWitt, 2011).

Apple’s customers are fiercely loyal to the brand sighting its superiority over Windows and the Android platforms. Apple is said to have the strongest competition against Samsung when new versions of the phone are released. Customers can be seen worldwide standing in line at their local Apple store for the newest releases of the iPhone while Samsung prefers to do its marketing via television ads featuring celebrities doing incredible things (as is the case with the Galaxy S7 Virtual Reality Headset), with the new versions of their phones. (Evans, 2014).

Comparative advantages & international trade opportunities with Apple's 489 stores globally, they position themselves for not only their loyal customers but for clients who may be undecided on their cell phone purchase when entering the store. In addition to those retail locations, they partner with major electronics stores in order to saturate the market with a bevy of offerings from the company. Alternatively, Samsung keeps its overhead low by just partnering with these same retailers to push its brand. Counting on the outlets of mobile phone retail stores and big box retailers of electronics, they can staff more people for the production side of the business rather than the retail operations. One may view this as a negative rather than a positive, but it is a market strategy that has worked for Samsung. Apple's sales totaled $233.27B in 2015 with a staff of 110,000 while their profits were $53.73B worldwide (Jurevicius, Apple SWOT Analysis, 2016). By way of comparison, Samsung employed 236,000 employees across all divisions including mobile phones and televisions in addition to their vast product offering of over 100 individual consumer electronics. Samsung's profits in 2015 were up 28% to a staggering $28B (Chew, 2015).