Apple Inc.: Marketing Strategy and Profitability Analysis

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This report delves into the marketing strategy of Apple Inc., examining the relationship between marketing efforts and profitability. It begins by establishing the field of research, highlighting the significance of marketing for multinational companies, particularly in the competitive technology sector. The research question investigates whether marketing enhances profitability, supported by secondary data from Apple's official website and financial statements. The report references key studies, including those by Manser Payne, Peltier and Barger (2017), Tidd and Bessant (2018), and Kotler et al. (2015), to support its claims. The analysis aims to provide a comprehensive understanding of how Apple Inc. leverages marketing to achieve and sustain its financial success in a global market. The report aligns with the BUSN20019 assessment criteria, addressing clarity, suitability, and the inclusion of a field of research, secondary data, and a research question. The report also includes the variables, search terms and the merged articles and reference list.
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Running head: MARKETING
Marketing strategy of Apple Inc
Name of the Student:
Name of the University:
Author Note:
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1MARKETING
Field of research:
The stiff global competition has made it necessary for the multinational companies to
adopt the strategy of marketing to generate higher profits. The fact holds even more pertinent for
the global information and communication technology companies like Apple Inc. The company
manufactures and markets high-end electronic goods like smart phones, smart watches and
tablets. This means that the company has to ensure that it is able to generate super normal profits
in order to cover the immense expenditure it incurs towards development and manufacturing
these products. This is evident from the Consolidated Statements of Operations (page 38) of
the annual reports of the company for the period September 29, 2018. The statement shows that
the net income or profits figures of the company were $m 59,531 in 2018, $m 48,351 in 2017
and $m 45,687 in 2016. This increase in sales in spite of the growing competition from global
competitors (like Samsung Electronics) and increasing costs of operations (like research and
development) can be attributed to the marketing activities (included in the Selling, general and
administrative expenses) of the company which also shows an upward trend . Thus, it can be
established that marketing enhances profitability.
Secondary data:
The secondary data to suffice the claim made in the research is readily accessible on the
official website of Apple Inc (https://investor.apple.com/investor-relations/default.aspx). The
financial statement for the period 2018 is available on the link
https://s2.q4cdn.com/470004039/files/doc_financials/2018/q4/10-K-2018-(As-Filed).pdf.
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2MARKETING
RQ:
The research would aim to establish the relationship between marketing (independent
variable) and profitability (dependent variable) in Apple Inc. Specific RQ: Does marketing
enhance profitability?
Search terms:
Marketing, profitability, net sales
Merged articles and Reference list:
Manser Payne, Peltier and Barger (2017) mention that marketing (including omni-
channel marketing) enhances profitability. Tidd and Bessant (2018) support this opinion by
pointing out that marketing encourages innovation which in turn encourages profit generation.
Kotler et al.(2015) mentions that marketing enables companies to position themselves
strategically in the market which enables them to attract higher profits.
Tidd, J., & Bessant, J. R. (2018). Managing innovation: integrating technological, market and
organizational change. John Wiley & Sons.
Manser Payne, E., Peltier, J. W., & Barger, V. A. (2017). Omni-channel marketing, integrated
marketing communications and consumer engagement: A research agenda. Journal of Research
in Interactive Marketing, 11(2), 185-197.
Kotler, P., Burton, S., Deans, K., Brown, L., & Armstrong, G. (2015). Marketing. Pearson
Higher Education AU.
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