32894813-apple-iPhone-ppt

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Presentation Transcript

Mobile phone Market : 

Mobile phone Market In 2007 iPhone was launched

Major competitors : 

Major competitors BlackBerry HTC Microsoft mobiles Nokia Motorola

Slide 4: 

Your Life in your pocket

Slide 6: 

iPhone Primary Contractors

Technology : 

Technology The Touch screen The sensors The Internet Mac OS X

Objectives : 

Objectives I year objectives - aiming for 2%market share of US & UK - unit sales volume 4,45000 II year objectives - achieve 10% market share - unit sales volume 12,45000

Target Market : 

Target Market

Distribution : 

Distribution AT&T and major cellular providers like Verizon Apple online & Apple stores Major third party online retailers like Amazon.com All major electronics retailers - wall mart - Best Buy - Circuit city Distributors in INDIA - Bharti Airtel - Vodafone

Carriers : 

Carriers

Communication : 

Communication Emphasize on brand prominently Associate iPhone with iPod’s groundbreaking lineage Massive TV campaign in June Newspapers Social Networking sites Apple sites

Marketing Mix : 

Marketing Mix June: Major market rollout at AT&T and Apple stores August: Availability will expand to mass vendors November: New Ad campaign for holidays Early 2008: Build buzz for next generation iPhone 2009: Major technical upgrades, e.g. 3D ability 2010: Goal of at least 50% market share

Market Penetration : 

Market Penetration Pricing strategy Market skimming - Release new product at high premium - Skim the greatest possible margin - Once sales volume begins to decrease at the original price - Incrementally lower the price to increase sales - Repeat this until stable price with acceptable margin is determined

What happened : 

What happened In September’ 2007, barely 10 weeks after the launch of iPhone, Apple announced a steep price cut for the product. The 4GB version was made inoperable while the 8GB version was available at US $ 399 and a 16 GB version was to be introduced at US $ 499. The early adopters who had waited in queues to buy the product at a much greater price were discontented and annoyed and they therefore took a legal action against Apple and AT&T for the price cut. This issue had a negative effect on Apple’s share prices.

SWOT Analysis : 

SWOT Analysis

CORE COMPETENCY --- USER EXPERIENCE : 

CORE COMPETENCY --- USER EXPERIENCE

Organizational Hierarchy : 

Organizational Hierarchy

Key Success factors : 

Key Success factors

Financials : 

Financials First year sales revenue : $ 2.5 billion avg. Wholesale price $500 per unit, Variable cost $250 Total volume: 10 million $50 million fixed cost Break even at 200,000 units After Break even Apple will make profit of $1.25 billion minus $50 million fixed cost

OS used in smart phones in 2005 : 

OS used in smart phones in 2005

OS used in smart phones in 2010 : 

OS used in smart phones in 2010

Comparison : 

Comparison