Critical Reflecting of Marketing Practise of Apple
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This report analyzes the marketing strategy of Apple Inc., its competitors, and the internal and external factors influencing its marketing strategies. It also discusses the marketing objectives and strategies of the company and concludes with recommendations for long-term success.
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Running head: CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE Student’s name University Name Author note
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1 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE Executive summary The purpose of this report is to analyze and determine the marketing strategy adapted by Apple Inc. It determines the competitors of the company and its effects on the business. It demonstrates the marketing theory and practice of Apple considering the internal and external factors which influences the marketing strategy of the company. It analyzes the marketing objectives and strategies of the business. Lastly, it concludes the effectiveness of the marketing strategy and the changes required in the marketing strategy to ensures long term success of the organization.
2 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE Table of Contents Introduction......................................................................................................................................3 Discussion........................................................................................................................................3 Major Competitors of Apple iphone............................................................................................3 Marketing theory and marketing practice of Apple.....................................................................4 Internal and external factors influencing Apple’s marketing strategies......................................4 Analysis of marketing strategies and objectives of Apple Inc....................................................5 Conclusion.......................................................................................................................................6 References........................................................................................................................................7
3 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE Introduction The purpose of this report is to provide a critical reflection on the marketing strategies, objectives and tactics applied by Apple Inc. It explains and analyzes the key marketing objectives and strategies of the organization. It identifies the major competitors of the chosen product Iphone by Apple Inc. It identifies the external factors as well as the internal factors that influence the marketing strategies and other operational activities of the organization. It explains and analyzes the marketing objectives and the marketing practice of the organization. Discussion Major Competitors of Apple iphone According toAlon et al. (2016),some of the major competitors of Apple Iphone are Samsung, Microsoft, Google, and Asus. Samsung is one of the major competitors of Apple Iphone.The strong competitor Samsung, brings various innovations, and reproduces the ideas and sells its products at a cheaper rate as compared to Iphone. Apple lost many of their customers to Samsung.Google is one of the most obvious competitors of Apple Iphone. It offers Android Smartphone to its customers with innovative features and specifications which Apple Iphone fails to provide. Regarding the online payment service, Google beats Apple. With emerging competition in the market, Google stands to be one of the major competitors of Apple iphone.There is a high degree of competition between Microsoft and Apple. Microsoft offers to their customers the best products with longevity and offers best customer service(Grant 2016). However,Microsoft is not as major competitor as Samsung. Microsoft has its own brand of Smartphone, which competes with Apple Iphone. Asus claims to offers Smartphone which have
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4 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE longest battery backup and other specifications which Iphone fails to provide. Hence, it poses to be the biggest threat to Apple Iphone.These are some of the major competitors of Apple Iphone, it losses many potential customers to its competitors(Nagle and Müller 2017). Marketing theory and marketing practice of Apple The marketing theory and marketing practice remains to be the core principle of Apple which has been effective for the smooth running of the business and creating profitability of marketing along with gaining the loyal customers. Apple Inc, has mainly three core marketing practices which has enabled success for the business.Apple is highly empathetic to their loyal customers, their business is highly customer oriented. They are very sensitive to the needs and requirements of the customers(Ryan 2016).They offer the best products or service to their customers. Secondly, they are highly focused on the external and internal factors which directly or indirectly affect their customers. They respond to the changing environment and eliminate all the barriers affecting the business tactfully. They provide the best manufactured products to their customers with the highest quality and provide premium service; it claims to offer the most useful software to the customers. They present the products is a most creative and professional manner and disputes the desired quality to the customers.Apple uses these marketing practices and theories which makes Apple the most valuable company and the most valuable brand all across the world(Yee and Yazdanifard 2017). Internal and external factors influencing Apple’s marketing strategies Being the world famous company and the biggest information technology company, it has lot of responsibilities and face problems. To analyze the internal factors affecting the marketing strategies of business, the premium price strategy is not applying to all income group
5 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE people; hence this strategy is not very effective(YouTube. 2019). However, it believes in seaming the cream policy and acquires loyal customers.The company is losing their market share;thereisanegativeimpactonthemarketingstrategyduetoinefficiencyofthe management.However, the profit margin of the company is higher, but it is analyzed the premium price strategy will not be very effective in the long run due to further increase in price and increase in competition(YouTube. 2019).The external factors affecting the marketing strategy of the company is rapid increase in the growth and advancement of technology, the tax policy is increased, there are huge threats from the competitors, there is increased price pressure from its major competitions like Samsung. The Android OS popularity is increased, the competitors have increased their focus on online marketing. However, there is an increased demand for Smartphone and technology; hence this is an added advantage to the company(Ryan 2016). Analysis of marketing strategies and objectives of Apple Inc The marketing strategy of the company is based on the concepts of simplicity and premium based. They offer products and services at a premium price. The product strategy of the company is the core marketing strategy of the company.The marketing strategies of the company have become its competitive advantage(Yee and Yazdanifard 2017).The product Iphone offered by the company is most successful as they are known for its simplicity, and are highly intuitive as compared to its competitors. The Iphone is build with simplicity with simple design(Nagle and Müller 2017). By offering complimentary products, the company has created sustainability and increased brand loyalty. Apple employs the approach of retroactive and proactive as a part of their product strategy. One of the company’s major competitive advantage and core marketing strategy is technological advancement which is the most desirable in the
6 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE company(Nagle and Müller 2017). By offering premium priced products, the customers are made to believe that their products are of excellent quality(Wingfield 2019). Further, the company implements the strategy of vertical integration; it is also one of the competitive advantages of the company. The company follows a strict standard of software, which enhances customer service. However, with increasing competition, there has been poor performance of Apple and it has poor product strategy(Ryan 2016). Conclusion Therefore, from the above critical reflection it can be concluded that the company successfully implements its marketing and product strategy which helps them build effective competitive advantage. The brand value of the company is one of the most important advantages of the company. There are various factors internal and external which affects the business. Though the company has a strong marketing strategy, it is not very effective in the long run as there is increased competition in the market.
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7 CRITICAL REFLECTING OF MARKETING PRACTISE OF APPLE References Alon, I., Jaffe, E., Prange, C. and Vianelli, D., 2016.Global marketing: contemporary theory, practice, and cases. Routledge. Grant, R.M., 2016.Contemporary strategy analysis: Text and cases edition. John Wiley & Sons. Nagle, T. T., and Müller, G. 2017.The strategy and tactics of pricing: A guide to growing more profitably. Routledge. Ryan, D. 2016.Understanding digital marketing: marketing strategies for engaging the digital generation. Kogan Page Publishers. Wingfield, N. 2019.Apple’s Lower Prices Are All Part of The Plan. [online] Nytimes.com. Available at: https://www.nytimes.com/2011/10/24/technology/apples-lower-prices-are-all-part- of-the-plan.html [Accessed 21 Mar. 2019]. Yee, F.M. and Yazdanifard, R., 2017. The comparison between ngo marketing and conventional marketingpracticesfromSWOTanalysis,marketingmix,andperformanceevaluation perspectives.Economics,2(9), pp.1075-1087. YouTube. 2019.10 Business Marketing Strategies That Made Apple Worth Billions. [online] Available at: https://www.youtube.com/watch?v=dJD03K-2P5c [Accessed 21 Mar. 2019]. YouTube. 2019.Steve Jobs Marketing Strategy - Sell Your Ideas the Apple Way - Dan Lok. [online]Availableat:https://www.youtube.com/watch?v=wdjmJpdiFu0[Accessed21Mar. 2019].
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