MBA-Marketing Management

Question: Identify one product/service from a business. Answer: Introduction This assignment aims to identify one product/service from a business. It will contain information that may be utilized for a marketing plan in future. The chosen product is iPhone, which is a product of Apple. Steve Jobs, Ronald Wayne, and Steve Wozniak established Apple in the year 1976. iPhone attracts customers who want to store information and communicate or individuals who like to have entertainment. The target segments comprise of students, professionals entrepreneurs, corporate users, and healthcare professionals. This assignment describes the current marketing situation with respect to the background data on the market segments, competition distribution, and product. The analysis of the market will be provided through a SWOT analysis. The objectives with goals for market share, profit and sales volume will be provided. In the end, the marketing strategies with details of the 4 Ps will also be provided. Current Situation of the Market with background data on the market segments, product, competition and distribution The current marketing situation of Apple's involves targeting of a specific market and go beyond it through quality. Its target market is aimed at individuals rather than a particular market. It has been promoting and marketing the iPhone and its business-associated applications in Bloomberg Business Week, The Wall Street Journal, and other publications that are associated with the business. By doing all these things, it has created specific products that are intended for a market that includes all types of individuals from all over the globe (Pisano 2015). The main competitors of Apple iPhone are Samsung, Google Android and Research in Motion (RIM). RIM Blackberry possesses a minor marketing edge to Apple, due to the ability of RIM to offer more safer and useful mobile devices with Microsoft Windows operating systems. This safety, as well as functionality, has facilitated businesses along with the government who utilize Microsoft Windows operating system fully to utilize the products of RIM for their workforce. Apple iPhone has enhanced its compatibility with Microsoft Windows operating systems however it needs to go beyond RIM. It possesses additional market share regarding its handheld mobile devices to the common customer however it would like to enter into a segment of the market which it is not presently exploring. It persists to evolve for utilization with the products of Windows operating system. Its significant competitor is Google Android in terms of providing cell phone companies such as Samsung and HTC (Brian 2015). SWOT Analysis of Apple iPhone: Figure - SWOT Analysis of Apple iPhone (Source: Tar 2013) Strengths: Innovative: The iPhone is known for its innovation, especially concerning its touch screen. The iPhone is a combination of many functions and applications that are available in other mobile products as well. Compatibility: The iPhone is known for its compatibility with the other products of Apple such as Mac Book and OS software tools. This feature of iPhone shows that it has limitless power for upgradeability (Sammutà ¢Ã¢â€š ¬Ã‚ Bonnici and Galea 2014). Easy to Use: The Apple iPhones have multi-finger gesture recognition; this means that they have the power to behave like a human hand. Awareness of Brand: Apple is not only known for its iPhone, but it is also known for other products such I-pods and Mac Book. These products are good examples of technological innovations. Price Feasibility: In comparison to the high quality features that are provided in the iPhone, the price of the product can be regarded as feasible and affordable. Quality: iPhones are known for its quality. It has a scratch resistant screen and light metallic finish and the software in the phone provides resistant (Tar 2013). Weaknesses: Image: The brand of apple is not targeted towards business individuals, and it is criticized for being only compatible with the corporate world. Price: Apple iPhones are very high in price, and none of the phones manufactured by the Apple Company are low in price. User Interface: The sensitivity of iPhone is criticized for facing the "gorilla arm" problem. Opportunities: Increasing demand and expansion: With the advancement of technology, people will upgrade their iPods to iPhones. Apple has the capability of attracting consumers with their high durability and compatibility Upgradeable: The iPhone allows all the software to be upgraded easily, and all the new features in the phone can be installed easily to take advantage of the ability of touch screen. The future versions of Apple iPhones will also be capable of upgrading their software. Partnerships: Apple has the power of combining with many powerful global mobile companies (Tar 2013). Threats: Increased Competition: The major competitor of Apple iPhones are smart phones that are much cheaper and easy to use. Downward pressure of pricing: There is a prediction in the market that the prices of the Apple iPhones are going to fall down significantly whether or not they decrease the price of their phones. Competition (Palm): Palm is a well-known phone for business people. This product is very compatible with many products in the market. This brand is regarded as one of the major competitors of Apple brand (Sammutà ¢Ã¢â€š ¬Ã‚ Bonnici and Galea 2014). Objectives with goals for sales volume, market share and profit To compete across a number of extremely competitive markets, Apple iPhone utilizes the Apple brand and will persist to do so. Its marketing objectives are in position and are set for its complete product arrangement together with the industry of personal computers with its Macintosh line of computers and associated software, the customer electronics industry by means of products (Yoffie and Cusumano 2015). Besides its Apple outstanding marketing strategy that is presently in position, its action programs consist of social media promotion. The purpose of its campaign of social media marketing is to carry on the discussion about novel products as well as to create ideas and concepts of new products for its customers (Star et al. 2015). It will utilize social media sites for example Facebook, Twitter MySpace to promote its products with commercials, obtain innovative ideas for its products from which the customers will be benefitted and probably create novel products to satisfy the needs of the customers. Another action programs comprise of establishing the behavior of the business buyer in an attempt to find out how individuals will act at the time of purchasing iphones (Sun 2014). It will persist to carry out market research to find out the consumers needs, maximization of its advertising as well as marketing budgets, gaining the satisfaction of the customers and retain the loyalty of the customer. It will utilize measurements to verify geographic, product-use-based and customer-based studies of segmentation (Brian 2015). It maintains definite affiliation with the associations of trade to endorse and defend its brand. In the year 2002, it has signed an agreement with 1394 trade association to allow the logo of Apples Firewire to be displayed on computer peripherals around the world on 100 million digital devices. Though, in political principles, it puts the value of its shareholder at risk by choosing not to reveal its memberships of the trade association. It maintains a connection with the American Electronics Association as well as the Retail Industry Leaders Association (Wee 2015). The big promise of the brand of Apple certainly presents it with a huge challenge to accomplish its objectives. The inventive, beautifully-constructed, extremely ergonomic, as well as technology-leading products which it delivers are not only intended to match the promise of the brand but are essential to maintaining it (Yoffie and Cusumano 2015). It completely understands that every aspect of the experience of the customer experience is significant and that every product touch-points must support the brand of Apple (Star et al. 2015). It has extended and enhanced its capabilities of distribution by opening numerous of its individual retail stores in the major cities around the globe, typically in up-market, venues of quality shopping.Through the development of the iPhone, Apple has enormously augmented its retail reach throughout the outlets of retail of telecommunication companies. It has moreover increased the ease of access of iPods as well as iPads through a variety of resellers who do not usually sell computers (Wee 2015). The successful retail stores of Apple provide potential customers direct knowledge regarding its brand values. Its retail visitors experience an environment which has no pressure and leads to the stimulation to find out more regarding the Apple family, make an effort to buy the products of the company, and obtain training as well as practical assistance on the products of Apple at the shops and outlets (Yoffie and Cusumano 2015). The retail staffs of Apple are supportive, informative and helpful. The overall reaction is one of completeness by a society that recognizes what high-quality equipment should exist and fit into the lives of the individuals (Wonglimpiyarat 2012). Strategies of marketing Product Although iPhone is the most recent version but it requires additional enhancement. First of all, its function of the antenna needs to be expanded (Wee 2015). The bars of Death grip ought to be substituted with an additional system, in order to make better the receiving signal. Furthermore, there is a need of developing a different dual-core processor, to make the applications of iPhone run quicker and make the life of battery to last for extended durations. In addition, subsequent version of iPhone should support HTML as well as Flash player for the reason that there are still several websites, games and applications, which are constructed on Flash (Pynnnen et al. 2011). The purpose of Siri is a novel aspect. Noticeably, it is, in reality, a brilliant feature of voice recognition, but still there is a necessity to fix a number of inaccuracies to be additionally ideal. For instance, it must support for additional languages as well as augment the understanding with respect to the users in receiving voice requirements from (Sammutà ¢Ã¢â€š ¬Ã‚ Bonnici and Galea 2014). Price strategies of pricing of the existing product Prices iphones recent prices are high in comparison to other brands (Macedonia 2007). Strategies for pricing of the New-product The strategy of Market Skimming Pricing might not be effectual because the majority of individuals who are ready to purchase the iPhone with a high price are not of a good number. These individuals usually belong to an upper class or are wealthy (Wee 2015). Strategies of Product mix pricing The strategies of Product line pricing (in terms of diverse capability) that Apple is utilizing may possibly be helpful. Consequently, the customers are provided with more choices to purchase depending on their financial condition (Yoffie and Cusumano 2015). Strategies of Price-adjustment It utilizes psychological pricing for iPhone. The individuals have a tendency to consider that the additional sum of the cost they pay, the new quality they obtain. The worldwide cost of iPhone cannot lessen because its core value will turn down too. As a result, the prices will not be changed (Pisano 2015). At present, it should consider Market Skimming Pricing. In addition to that, there is a need to enhance the purchasing influence of the customers who belong to a middle-class; the retailers of iPhone should sell it in the half price which should be paid in cash (Star et al. 2015). Strategies of Product mix pricing Apple may possibly carry on with its existing policy. In addition, it should construct iPhones based on the customization of the clients with the purpose of making the customers satisfied with its strategies of Price-adjustment (Macedonia 2007). It should utilize the existing strategy of psychological pricing (Brian 2015). Place strategies of Existing product distribution Channel of Marketing The present channel of circumlocutory marketing works effectively worldwide. For example, the stores can be found easily that sell iPhones. Moreover, Viettel and Vinaphone are both large companies, which possess extensive channel for distribution (Yoffie and Cusumano 2015). Intermediaries of Marketing The System of Contractual Vertical Marketing which is utilized by Apple is several effectual parts of the world (Wonglimpiyarat 2012). The consumers feel more opportune when they purchase iPhone from the stores. The strategy of Selective Distribution also assists it in choosing the finest resellers that may smooth the progress of iPhone distribution at the same time by maintaining its image as an extraordinary as well as the exceptional creation (Pisano 2015). strategies for the distribution of New product Channel of Marketing The existing strategy of marketing channel does not need to be altered. Intermediaries of Marketing Apple may possibly keep utilizing the similar strategies. Promotion promotion PLAN FOR Existing product Essentially, the promotion strategies of Apple for iPhone have effectively informed clients regarding the iPhone and its novel features (Brian 2015). The recent plan of promotion for iPhone is actually small. To demonstrate, the tools of promotion and other endorsements are not restricted enough for individuals. Furthermore, the promotion for iPhone has been unsuccessful to reach extensively and profoundly to the spectators (Pisano 2015). Clients frequently have to look for information regarding the iPhone rather than obtain information regarding it at first (Pynnnen et al. 2011). In addition, the existing plan of promotion has not performed effectively in promoting the sales of iPhone. The majority of the customers who buy iPhone are those who have used the earlier generations of iPhones or those who are aware regarding the products of Apple for an extended time. They have not purchased iPhone because of the request from the plan of promotion. Finally, the existing promotion strategies of iphone do not influence a great deal the customers who are not familiar with Apple's iPhone brands (Yoffie and Cusumano 2015). promotion PLAN FOR New product Advertising There should be iPhone advertisements on television channels. It should consider the lifestyles as well as values of the individuals. The daily newspapers should also comprise of advertisements to expand the effect of the product in an efficient manner (Wonglimpiyarat 2012). Sales Promotion It could utilize a number of tools for consumer promotion to augment the sales of iPhone. Advertising specialties should be applied. To demonstrate, when clients buy iPhone, the stores and shops should present them a few gifts, which comprise of the logo of Apple to increase the recognition and reputation (Macedonia 2007). IPhone can also apply coupons (reduction of 5%) for additional Apple products such as iMac, iPod, and iPad and to augment to buying the power of the clients. These procedures also have constructive influence in terms of the attitude of the customer towards the iPhone product and brand (Star et al. 2015). Public Relations It could carry on utilizing its existing strategy of Public Relations for iPhone worldwide (Yoffie and Cusumano 2015). In addition, social networking sites such as Twitter and Facebook are also effectual to publicize iPhone for the customers in an efficient manner (Wee 2015). References Brian, J., 2015. Segmentation Marketing: A Case Study on Performance Solutions Group, LLC. Macedonia, M., 2007. iPhones target the tech elite.Computer,40(6), pp.94-95. Pisano, G.P., 2015. You need an innovation strategy.Harvard Business Review,93(6), pp.44-54. Pynnnen, M., Ritala, P. and Hallikas, J., 2011. The new meaning of customer value: a systemic perspective.Journal of Business Strategy,32(1), pp.51-57. Sammutà ¢Ã¢â€š ¬Ã‚ Bonnici, T. and Galea, D., 2014. SWOT Analysis.Wiley Encyclopedia of Management. Star, C., Star, K. and Rutter, A., 2015. D1. 1 Market And Competition Analysis. Sun, Y., 2014. A Smartphone Company's Innovative Marketing Strategy in the Chinese Market: A case study of iPhone. Tar, A., 2013. Apple SWOT Analysis. Wee, A., 2015. Apple iPhone 6s Rose Gold Unboxing!. Wonglimpiyarat, J., 2012. Technology strategies and standard competitionComparative innovation cases of Apple and Microsoft.The Journal of High Technology Management Research,23(2), pp.90-102. Yoffie, D.B. and Cusumano, M.A., 2015.Strategy Rules: Five Timeless Lessons from Bill Gates, Andy Grove, and Steve Jobs. HarperBusiness.