5 Questions and Answers About The Apple Company Question 1
To regain its market share after the year 2011, Apple had to use the one of the Porter’s four competitiveness strategies – the differentiation strategy. The differentiation strategy used by Apple involved making Apple products that are superior or more attractive as compared to those of competitors (Porter, 2008). This strategy was highly dependent on the nature of the industry and the products and services that were available in the market. To execute this differentiation strategy, Apple invested in research & development (R&D) and innovation. This was to ensure that the company could deliver products that are more superior to those of competitors – Apple products are high-quality and superior to others.
Perhaps, this strategy can be demonstrated by looking at the iPod, iPhone and the iPad. All these Apple products are top quality devices and they combine innovation, imagination and design excellence to deliver fun and exciting devices for customers. The engineering excellence in Apple devices provides a wonderful customer experience that inspires customer loyalty. Definitely, these products are superior to others available in the market. In fact, Kroenke (2014) noted that the iPhones’ ability to rotate pictures when the phone is rotated may have helped sell the iPhone more than any other feature in the device. With such superior features, the iPhone differentiation strategy delivered success since every product made by Apple helped pave the way or prepare the market for other devices (Kroenke, 2014). For instance, by selling music for the Apple iPod, the company prepared the market for other devices such as the iPhone and iPad.
Apple’s incredible success is based on three important factors i.e. innovation & creativity, customer focus and product quality. When Apple broke away from the PC business to create new devices, they did so with devices that showed customers the creativity and innovation that could deliver ingenious products. Apple devices such as the iPhone, iPad and the iPod are a “marvel of creativity” and they also have that ease of use and fun that excites customers (Kroenke, 2014). The quality of the devices and their features inspires loyalty in their customers and it leads to more sales for Apple.
Apple also achieves its success through customer focus – the company encourages customer visits to their shops. The customers are met by a qualified work force that is well-trained and highly disciplined (Kroenke, 2014)....