Opportunities and Challenges for Apple Smartwatch

Running Head: PRODUCT SERVICE AND INNOVATION 0
PRODUCT SERVICE AND
INNOVATION

PRODUCT SERVICE AND INNOVATION 1
Apple Company provides various benefits in terms of high quality products for the business
as well as individuals. These products are very creative and innovative which can be needed
in daily life (Berthon et al, 2007). One of the most powerful and recent products of Apple is
the Smartwatch which is really smart as it understands what the user is looking for.
There are various opportunities connected with this Apple Smartwatch. Apple Company can
increase the demand of their related products which can be connected with the smartwatch for
the synchronization and thus raise the revenue with their strategy. In addition, various apps
makers and developers can also be possibly attracted to make application related to health
and monitoring fitness (Rawassizadeh, Price and Petre, 2015). The company can also be
benefitted if Apple continues to enhance the features and functionality of the watch so that
many iPhone users will be attracted towards the smartwatch. Moreover, only a small segment
of the total iPhone users currently owns an Apple Watch, so the company has ample room to
raise Apple smartwatch penetration with those who are using iPhone. In addition, the fitness
bands present in the market have various limited functionality, which can be eliminated by
using Apple smart watch due to its built in functionality as well as with the help of third party
apps. One of the major opportunity of Apple smartwatch lies in the characteristics of its
versatility. The functional roots of this smartwatch are spread into various sectors like Health
and Fitness, Easy payments, sharing to social media sites, using for the purpose of
entertainment, and life management.
The opportunity to syndicate health trackers fitted out with various sensors, connectivity and
interface technologies in diverse ways will raise productivity, personal insights and
engagement, which will increase the overall consumer experience (Fatehi, Gray and Russell,
2017).
However, there are some issues, which might threaten the smartwatch of Apple and also have
a significant impact on the organization revenue that may leading to lose the reputation. One
of the biggest challenges is the Android companies such as Sony and Samsung are coming up
with their watches, which are having low cost as well as higher performances (Kang, Chang
and Song, 2013). Also, the app makers and developers are very high in number as compared
to the Ios due to the open source functionality in Android. The increment of Tax in USA will
also have a direct impact on the growth of the Apple Smartwatch. In addition, due to constant
demographics changes, fluctuations in the trends and Apple needs to constantly release their