Ch.2 - Strategic Planning for Competitive Advantage

       The firm’s orientation is production orientation that focuses on what the company can do best and what can their engineers design. However, since the competition of the technology market grow, the company slightly changes the firm’s production orientation to market orientation. Right now, the company more focuses on customers wants and needs in order to satisfy them rather than just focuses on what the company management and engineers think should be produced.

Apple Inc’s mission statement is committed to bringing the best personal computing experience to students, educators, creative professionals and consumers around the world through its innovative hardware, software and Internet offerings.

SWOT Analysis:

Strength:

1       .     Keep inventing and improving products

2       .     Strong and well known brand name

3       .     Strong financial performance

4       .     Owning retail stores

Weakness

1       .     High price

2       .     Decreasing market share

3       .     Doesn’t get high marks for treatment of foreign workers

4       .     Haven’t come out with revolutionary product for several years.

5       .     Following product design from other companies

Opportunities

1.     Strong product demands in developing countries

2.     Reducing price to gain market share

3.     Unlocking App for free download

Threats

1. Intensive competition with Samsung, Google and Microsoft

2.  Foreign business policies and regulation

3. Global economic slowdown

Competitive Advantage

     

    Apple owns a lot of its loyal consumers than other brands. Basically, it will guarantee that the company will occupy curtain amount of market shares. In addition, the company has some special customer services and programs that keep its consumers participate in product discovery and education. It will help the company’s long-term relationship with its customers in right direction.

Objective

To increase market shares and keep innovates competitive products.

Target Market

Attracting potential customers who are swinging in current market and focusing on developing countries.

Marketing Mix

Product: allowing customer upgrade their products after two-year warranty with addition curtain amount of money.

Place: making products available in majority counties at same time and available online shopping globally.

Promotion: taking 5% discount for all students and instructors.  Makes special limit time discount for the company’s Apps.

Price: keep reducing the previous version product price after the new product release.