Strategic Plan for Apple Inc. Expansion into Developing Markets

The assignment details a strategic plan for Apple Inc.'s expansion into developing markets. The plan involves three types of strategic planning: entry of Apple products into new markets, market expansion in key markets, and mergers with telecom brands. The company must take steps aligned to the needs prevalent in the target market, including product development, promotion, and marketing. The strategic plan aims to help Apple Inc. gain momentum in developing countries and spread out its roots.

Assignment: EXECUTIVE SUMMARY
Summary and Outline
Jennifer Enriquez
Grand Canyon University: MGT- 660
March 7, 2018

1EXECUTIVE SUMMARY
The computer and mobile industry is highly competitive. Apple Inc is one of the
leading brands in the mobile and computer industry. The company serves the market of the
developed nations but the possibility of its success in the developing economies is bright
since the developing countries have a market that can provide profit to the company.
If such markets are penetrated then the roots of the company will spread out faster and
gain huge momentum. The strategic plan will employ three types of strategic planning.
1. Entry of Apple Inc. products into the developing countries in order to enter a
new market. Apple Inc. is one of the most reputed companies when it comes to
innovation and mobile phones in the market (Heracleous 2013). However,
apple has competitors in the industry and at a lower price bracket. As such
For Apple, to emerge as victorious in developing markets, pricing has to be
kept in check. Therefore, the pricing has to control according to the economics
of the target market. For example according to economic times report The
iPhone SE was recently retailing for as low as INR 19,999 (approximately
$306 at the current exchange rate) for the 16 GB variant, putting the device in
the mid-range segment of the Indian market (Chauhan, 2018).
2. Market expansion in the key markets. Market expansion will lead to people
getting more choices on a set of products from the company (Gosens and Lu
2014). For a product there can be various versions of the same and this will
allow more sales and people will have the variety in selecting the products.
Earlier in 2017, Cupertino executives reportedly met with Indian government
officials to discuss duty concessions that would allow it to set up local iPhone
assembly operations, followed by reports that it will start manufacturing the
iPhone SE there in April. (Chauhan, 2018)

2EXECUTIVE SUMMARY
3. Merger with telecom brands. This will lead to deeper market penetration.
Merger with telecom service providers will increase the sales of the products
as the company can lend their product bundled alongside new connections.
The price will be recovered from the monthly rentals and such mergers will
benefit both the parties. The Economic Times reports that Apple has set up
"over 100" franchised stores in India and is looking at a big expansion where
annual smartphone sales could double to 200 million by 2020. (Chauhan,
2018)
The company has to take steps that are aligned to the needs that are prevalent in the
target market. Their approach for the development of the products and their promotion and
marketing has to be in the form of mergers with the leading organizations of the country that
will be targeted. The strategic plan provides pointer on which the company needs to work in
order to gain momentum in the market of the developing countries and spread out the roots.

3EXECUTIVE SUMMARY
Reference
. Chauhan, H. (2018). Apple Makes a Smart Move to Expand in This Huge Market. [online]
Fox Business. Available at: http://www.foxbusiness.com/markets/apple-makes-a-smart-
move-to-expand-in-this-huge-market [Accessed 7 Mar. 2018].
Heracleous, L., 2013. Quantum strategy at apple Inc. Organizational Dynamics, 42(2), pp.92-
99.
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