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Place, Promotion and Price Strategies ZTE Computer Tablet Market Entry in the US - Research Paper Example

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Computer Tablet Market Entry in the US
To date, it is currently dominated by Apple Inc.’s Ipad 2 cornering around 75 percent of the total market share in September of 2011 leaving leaving only a 25 percent market share for its rivals (Huff Post, 2011). …
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Place, Promotion and Price Strategies ZTE Computer Tablet Market Entry in the US
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Download file to see previous pages “According to leaked screenshots leaked by an Amazon source of its internal inventory management system Alaska, and published by Cult of Android, the Kindle Fire is on its way to outselling even the Apple iPad” (Barbara, 2011).
Kindle Fire’s Tablet recent robust performance in the market is a positive development in marketing computer tablet in the US because it demonstrates that Apple’s Ipad is not invincible to the competition as initially perceived. This is an encouraging development for ZTE because it manifests that given with a right product and strategy mix, it is possible that ZTE can outsold Apple’s Ipad. This development tells that ZTE’s aggressive marketing objective in 2015 is realistic and doable.
ZTE is not new in the U.S. market. It currently sells smartphones, feature phones, modems and devices within the U. S. market and has worked with U.S. carriers like AT&T Inc., Verizon Wireless, Sprint Nextel Corp. and T-Mobile USA (Khariff, 2011). In terms of brand recall, ZTE is no longer a stranger to American consumers. Such that when it introduces its tablet computers in the American market, it already has brand awareness where it can capitalize to gain more market share. ZTE Corporation is the second largest manufacturer of mobile phone gear in China. Being such, it has the advantage of scale to be able to sell its products at a lower cost. In contrast, Apple Inc is only the fourth selling computer brand in its own domestic market (America) dominating only the computer tablet market segment. This leading position is even currently threatened by Amazon’s Kindle Fire Tablet’s recent robust sales performance. ZTE also had a successful launch of its tablet outside the U.S., offering global tablet markets Google Android based tablets, like the one used in the Kindle Fire and Samsung Galaxy Tablet (Khariff, 2011). Considering these factors in competition, the possibility that ZTE’s inexpensive product offerings will establish them as the tablet PC market share leader by 2015 as predicted by TechGadgetWeb.com (2011). ZTE however has to employ the right marketing mix to successfully penetrate the US market and become a market share leader by 2015. To be able to employ the right marketing mix, it is necessary to elaborate the aspects of marketing mix which are; Table I Place Distribution and retail channels, online presence, geographic considerations, public appearances and performances (also an aspect of promotion), and delivery Promotion Marketing materials, initial offerings, social media /internet, press and PR, advertising, relationship marketing and public appearances and performances Price Market penetration goals, competition, customer buying power, regional and segment differences, current economic conditions (Source: www.businessmate.org) Place For ZTE to successfully enter the US market, ZTE has to capitalize on its existing marketing channels. Currently, it has a partnership with five majore carriers in the US that includes Verizon, the dominant US mobile phone carrier. Capitalizing on the existing network of this mobile phone carriers provides ZTE an easy penetration in US the market. The major carriers in the US has an established marketing network that makes it ideal for a new entrant like ZTE as a place of distribution for its products. ZTE’s exposure to Verizon and other mobile phone carr ...Download file to see next pagesRead More
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