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Microeconomics : Apples iPad - Term Paper Example

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This paper talks about the unprecedented market success of the Apple’s iPad. The iPad is the perfect model of a successful immersion into an unknown market and a guide as how to dominate the market. It became the model, in which other companies based their pricing, features and distribution methods…
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Microeconomics Term Paper: Apples iPad
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Download file to see previous pages However, with the seed planted 20 years prior, the buildup was effective. What Apple was effectively doing was creating a demand for a product whose main purpose was not yet fully realized. Come the second quarter of 2010, customers were lining up outside Apple stores to purchase a product that had no proven track record in terms of usefulness. In this way, Apple joined the exclusive club of companies that create demand for a specific good or service purely based on superb marketing and effective company culture. The launch of the iPad can certainly be considered a success, with over 3 million units sold in the first 2 months (Bajarin, 2012). This success continues today, with iPad (all generations) having sold over 50 million units and currently dominating over 60% of the tablet computer market share. Today, there are scores of tablet computers to choose from – with prices ranging from $100 to over $1000. Yet, for a company with no competition in which to compare their price with, Apple had to figuratively shoot in the dark with their pricing scheme. The most similar product on the market at that current time was the net book PC, mostly produced by Microsoft. When Apple decided to launch the iPad at a modest $499, most critics, such as PC Advisor, complemented the pricing, having estimated a higher entry price point (Bajarin, 2012). With Apple recognizing this good entry point, they established a platform that would not only allow them to achieve success, but maintain it to this day. Because Apple controls such a large market share, their pricing is still considered the model which others companies launch their tablet to. It is quite common to hear about the features of other tables touted in terms of how it compares with the...
This paper describes the main components of the highly effective marketing policy, employed by the Apple corporation in the promotion of the Apple’s iPad
The iPad's successful launch can be directly attributed to the many years of strategic planning taking place prior to the launch.The iPad was designed for an audience that desires to view pictures and movies, listen to music, and surf the web from a versatile and mobile device, with a screen large enough to fully enjoy the media. As the Apple company famously markets, “A computer for the rest of us”. This strategy has been proven incredibly successful, as Apple has turned what was considered to be a niche, luxury product, into what many computer users consider a necessity.
the iPad, perhaps because of the head start and popularity, has already experienced global adoption into the educational and corporate markets. In 2012, Apple updated iTunes and iBooks, two of Apple's most popular software, to tailor towards school and educational use.
The enterprise market was taken over by the iPad. In a study conducted in 2012, it was found that 94% of Fortune 500 companies had tested the iPad in their corporate environment. In fact, Apple has tailor made specific apps to fit the needs of certain companies, ranging from accounting software to schedule planning.
By perfecting the manufacturing process, creating product innovations before their competitors, and properly pricing its product, Apple has firmly seated itself in first place in the tablet market. ...Download file to see next pagesRead More
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