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Purpose of the Study

1. To know what consumers think about Apple as a brand & its products. 2. To know the consumer behavior concepts that we studied so far are applied on Apple. 3. To know the closest competitor of Apple as per the consumers. 4. To know the changes that the consumer wants in the Apple iPhone. . To know the things that consumer takes into consideration while purchasing Apple products.

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Current Situation
Global Scenario
!oogle"s Android software continues to steamroll the competition in smartphones# posing bigger problems for companies like Apple. $esearch firm %&' found that Apple"s share of the global market slid to 13.2 percent from 1(.( percent. )andsets running Android# meanwhile# *umped to +,.3 percent from (,.1 percent. The decline in iPhone market share can be traced to the lack of a new model since the iPhone came out nearl- a -ear ago. .Apple"s market share was vulnerable to product launches from the competition but with a new iPhone and revamped i/0 + coming out later this -ear# Apple is well1positioned to recapture market share..

1st Quarter Result of 2013


U.S. ar!et Shares Apple2s smartphone market share inched up for the second month in a row from a recent low of 41.43 in April to 41.,3 in 4a- to 42. 3 in 5une Android2s market share decreased slightl- from 2.63 in 4a- to 1. 3 in 5une 7rom a -ear ago Apple2s market share has increased b- 3.3 points 83,.23 to 42. 39 while Android2s has fallen from 2.(3 to 1. 3 :hile ;lack;err-2s share has fallen significantl- from a -ear ago 84.63 to 1.139 it did tick up from 6.+3 in 4a:indows market share peaked at .(3 in 4arch and April and has fallen to 4.63 in 5une

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"U#

ar!et Shares $Great %ritain& Ger'any& (rance& )taly and Spain* Apple2s share bounced back from 4a-2s 1+.<3 share to 1<. 3 in 5une This reversed a five month share decline from its high of 2 .(3 in &ecember Android2s share fell from its all1time high of +6.43 in 4a- to (,.<3 in 5une ;lack;err-2s share has fallen from +.63 a -ear ago to 2.23 in 5une :indow2s share crept up to (.,3 in 5une but has onl- gained 6.1 point of share the past two months after rising from .43 in &ecember

China

ar!et Shares Apple2s share bounced back to 24.+3 in 5une after falling from 2 .13 in April to 23.(3 in 4aAndroid2s share took a bit of a hit falling from +1. 3 in 4a- to (+.<3 in 5une# down 3.+ market share points :indows was the big winner increasing its share from 2.,3 in 4a- to 4.,3 in 5une )owever :indows share is down from (.23 a -ear ago

+pple, "-pectation ./s Reality


Apple continues to outperform its competitors on all ob*ective criteria=profitabilit-# product >ualit-# brand e>uit-=but the compan- has been h-ped up so much# and for so long# that even a small disappointment leads to a big hit on the share price. The trouble is# the e?pectation market doesn2t operate independentl- of the real market=there is also a feedback loop. 0o now the top has been called# the markets are looking to *ustif- their newfound scepticism# and this feeds an?iet- among customers and emplo-ees. 7rom now on# ever- problem will be magnified# and everstatement 'hief @?ecutive /fficer Tim 'ook makes will be picked over for signs of weakness. %f prices are raised# Apple will be accused of abusing its powerful positionA if prices are lowered# it means it2s scrambling to retain market share. %f Apple launches too man- new products# it means the compan- has lost the laser1like focus it had when 0teve 5obs was aliveA if it launches too few# it means Apple2s e?ecutives are resting on their laurels. All this negative publicit- will be overstated# but unfortunatel- it affects the wa- customers behave# so it has a self1fulfilling >ualit-.

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Apple2s current situation reminds us that Bewton2s Caw of !ravit- still holdsD :hat goes up must come down.

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ar!et Se0'entation 1 Strate0ic 2ar0etin0


1. Geo0raphic se0'entation
Apple iPhone has been released in places which have the coverage of one of the wireless network provider# the AT&T 'ingular :ireless 8AT&T9. iPhone onl- supports this wireless network and due to this# Alaska# 'olorado# the &akotas# %daho# %owa# Eansas# 4aine# 4innesota# 4ontana# Bebraska# Bevada# Bew )ampshire# upstate Bew Fork and man- more are the places which are not served b- AT&T 'ingular :ireless will not have iPhones in their market.

2. 3e'o0raphics se0'entation
Apple iPhone 3 segmentation is based on gender and age variables. Around 2G3 of the 2.3 million H0 iPhone users are men 8Bielsen9. The research done b- 0olutions $esearch !roup has showed that (33 of its customers were under 34 -ears and average age of its customers is 31 -ears. The t-pical iPhone user is a -oung# wealth-# male tech geek t-pe. Foungsters are more interested towards apple iPhone 3 because it provides a features that are more attracted to -oungsters like i1tunes# video pla-er# net browsing# gaming# and more disk space for downloading.

3. Psycho0raphics se0'entation
Apple ver- carefull- investigates ps-cholog- of consumer2s trends and their life st-les. The lifest-le of a person is linked to his or her preference and is reflected in activities# interests and opinions. Bow different people have different lifest-les. Apple identified this and provided different features for different people in one phone like touch screen# iPod for a trendsetter -oungster# or calendar and fast web browsing for a sophisticated businessman. 4. Usa0e Rate iPhone is best for someone alread- living the Apple i.e. hea.y users# those who invested in companion products or services# iPhone is also e?cellent choice for someone migrating from a feature phone. Apple has two main

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target markets for iPhone D People with older models and those migrating from dumb phones# and there is a whole lot of the latter i.e. potentials.

#. %enefits
Apple iPhone offers the best# most complete mobile browsing e?perience. %t offers elegant st-ling retina displa- with sharper screen and user friendldesign.

6. %eha.ioral se0'entation
;ehavioral segmentation is dividing a market into groups based on consumer knowledge# attitude# use or response to a product. Apple uses this segment techni>ue ver- smartl- b- the innovations that lead to brand switching. Apple introduced its iPhone 3 b- considering consumer2s behavior# their attitudes towards new technological changes. :hat consumer e?pects from the one smart1phone that provides multifunction facilities. %nnovations of new features can appeal and influence in the behavior of customers. %Phone with its new technological features combines three products into one small and lightweight handheld device. iPhone3 is a mobile phone with a widescreen iPod# and the availabilit- of %nternet in -our pocket with best1ever applications on a mobile phone for email# web browsing and maps. Apple iPhone users in an era of software power and sophistication never before seen in a mobile device# which completel- redefines what users can do on their mobile phones hence it get fit in innovations categor- b- influencing behavioral attitude with their innovative product.

5. Undifferentiated 'ar!etin0
Apples target market segmentation is basicall- undifferentiated because in this strateg- of market coverage where firms ignore the specific market segment and go after the different market segments with one offer. %t is so because iPhone offers so man- different features that help them to segment its market on the basis of ps-chographic# demographic and behavioural segmentation. 7urther iPhone cost is competitive with the brands of same categor- in

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smart1phones provide Apple opportunit- to serve large pool of consumers of different segments. 6. The iPhone had made it so eas- to use in for their customers# together with all the functions that ever-one needs including personal information management tools 8P%49. ;ut according to !artner# an %T research compan- sa-s that the device is not -et suitable for enterprise use. This is because the phone is locked down and users could not download e?tra applications into iPhone.

7. 2ar0et
Apple iPhone mainl- targets -oung# affluent people who desire the latest technolog-# tend to e?pect their technological devices to perform manfunctions. This was seen as being the market that would most welcome the iPhone# and would make Apple the most profits.

10.Consu'er8rooted se0'entation bases


Apple has taken consumer2s social and ps-chological characteristics to heart in their advertising efforts for the iPhone. 'ommercials for the iPhone tend to show e?actl- how it could affect -our ever-da- life# without bogging the viewer down with too man- of the technical aspects. /ne particular commercial that showcases a phone"s fast web browsing speed features a man watching a scene from IPirates of the 'aribbean#J where a giant s>uid envelops a pirate ship. %nspired# the man then searches for calamari in his area and is directed to a nearb- restaurant b- Apple"s >uick web browser. ;- highlighting how their phone improves -our life# Apple also builds up their brand characteristics and personalit-. Enown as user1friendl-# simple# and hip# Apple products tend to attract specific personalities K personalities targeted bmarketing efforts.

11.(a'ily life cycle


Apple iPhone caters to all irrespective of their marital status# emplo-ment status as -oungsters have craLe for apple %Phone# presence or absence of children.

12.9+:S
+ction oriented, Apple introduced the highl- celebrated iPhone to an insatiable market continuall- seeking the ne?t .must have. device. The iPhone is Apple"s latest crowning achievement in lifest-le integration. The iPhone

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enables consumers to manage their lives and entertainment choices all from a single device# from music to photos# to video# internet browsing and email. And# b- the wa-# it"s also a phone.

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Consu'er

oti.ation

The strateg- that apple uses is to arouse consumer2s curiosit-. 'onsumers are attracted towards the things that are new to them. %t creates a desire within the consumers that the- want to know more. Apple 'ompan- has aroused the curiosit- of the consumer the information about iPhone . People around the world were keeping guessing# looking for information# and research about what will come out with iPhone . Apple2s motivation is to make great products people will love.

1. "-trinsic need
Apple devotees are granite like in their devotion to the brand. An Apple iPhone is more than *ust a piece of electronics e>uipment. %t2s a part of bu-er2s own self e?pression and lifest-le. %t is a status s-mbol in countr- like %ndia# china.

2. Product specific 0oals


'onsumers view product >ualit- as inseparable from apple. The compan-2s goal is not to be filth- rich# and create products that are designed to break and wear down to get constant re1bu-s. The Apple 4arketing Philosoph- stresses upon three points1 empathy# an intimate connection with the feelings of the customer# focus and impute. %t emphasiLed that people form an opinion about a compan- or product based on the signals that it conve-s. The idea is simpl- to be the best and perhaps that is one of the reasons wh- people specificall- go for apple branded products as their goals.

3. Positi.e 0oals
As users consumers now e?pect technolog- to make their lives easier# more convenient and more en*o-able. The- e?pect apple to pre1emptivel- and intimatel- understand how its new products will fit with their lives# will make their interactions more seamless# and help achieve their tasks more intuitivel-.

4. Rational 'oti.es
Apple is a robust product that is simple to use and functions well. 7astest browsing performance 7astest gaming performance Awesome batter- life

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%ncredible look and feel 8ever-one2s e-es bug out when the- hold it# it2s freakishl- light and has Lero fle?Ggive9 @?cellent camera# superb displa- 8vivid# accurate color rather than garish on Android phones9.

0o# Apple is doing what is necessar- to provide it to their customers.

#.

aslo; hierarchy of needs


Social needs, Apple allow consumers to sta- connected to their social circles of famil-# friends and social media communities 8e.g.# 7acebook9. "stee' <eeds, There is a reason wh- consumers choose the apple# each brand conve-s an image. Apple 8confidence# chic# cool# etc.9 to the outside world. ;esides the mere name of the brand apple signifies >ualit- as well as status.

Self8+ctuali=ation, Apple would be a prime e?ample of self1actualiLation being fulfilled. %n ever-thing Apple has done# the- have pushed the limits of how people create with technolog-.

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Personality 1 Consu'er %eha.ior


1. <eo8(reudian theory
Co'plaint indi.iduals, %ndividuals who desire to be loved# wanted and appreciated generall- want to purchase iPhone or Apple products onl- to get appreciation from others. These t-pes of individuals are more likel- be attracted to the brand name of Apple.

3etached indi.iduals, These t-pes of consumers are more likel- to shift to other brands and the- ma- prefer other mobiles of competitors over Apple.

2. Consu'er inno.ati.eness
Apple generall- tries to target the consumers who are high on innovativeness b- providing various features and technolog- in iPhone.

3. <on ethnocentric consu'ers


iPhone is targeting the non ethnocentric consu'ers who are tend to evaluate foreign made products ostensibl- more ob*ectivel- for their e?trinsic characteristics for e?ample8 how good apple iPhone isM9 for e?ampleD All in a

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beautiful aluminum bod- designed and made with an unprecedented level of precision.

4. "thnocentric consu'ers
Apple also tries to target the ethnocentric consumers. 7or instance# after all of the publicit- surrounding Apple2s use of companies like 7o?conn in 'hina# it is verclear in consumers2 minds that iPhones are made in 'hina. @ven the labels that e?hort that the products are I&esigned in 'aliforniaJ don2t necessaril- convince H0 consumers that the iPhone is a particularl- H0 product.

#. Consu'er 3o0'atis'
Apple generall- face problem of consumers dogmatism in %ndia. /ld age customers who are not familiar with the Apple iPhone features displa- rigidittowards the unfamiliar and toward information that is contrar- to their own established beliefs about the product.

6. )nner8directed consu'ers
These consumers rel- more on their own beliefs# values and standards and more likel- to tr- the new products launched b- the Apple. The- will be the first one to tr- them.

5. >ther8directed consu'ers
These individuals are less likel- to innovate with the products

6. <eed for Uni?ueness

Apple through this ad is tr-ing to attract the consumers who want uni>ue features in product. This is an ad of iPhone of group of people can be taken in one frame. which displa-s that how pictures

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7. >pti'u' Sti'ulation :e.el


'onsumers who are high on optimum stimulation level are the ones who like to e?plore various brands of mobiles phones such as iPhone# 0amsung# Bokia# 4icroma?# )T' and then purchase mobile.

10.9ariety See!in0
These individuals want variet- in their life and like to tr- man- things. %n order to attract these consumers iPhone gives variet- of features in one iPhone

11.@i0h <eed for co0nition


Apple is tr-ing to attract the consumers who want high level of information and see less on the backgrounds. These consumers generall- search for product related information in ever- ad.

12.:o; <eed of Co0nition


Apple uses more graphics onl- to attract the consumers who have low need for cognition.

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13. 9isuali=ers
Through the above ad Apple is tr-ing to target the consumers who are visualiLers

14.)nfor'ation )nfluence
There is a positive word of mouth for Apple ever-where. This positive word of move influences the consumers to purchase Apple products.

1#.9alue8e-pressi.e influence
'onsumers also want to enhance their social standing b- purchasing Apple iPhone. 'onsumers generall- attempt to be similar to those with whom theinteract and compare themselves.

16.Utilitarian influence
:hen an- consumer wishes to purchase Apple iPhone there is a peer pressure that restricts an individual to purchase of Apple iPhone of higher price.

15.Personality and color


'olor being offered in apple iPhone are black# silver and white. These specific colors associate personalit- factors for e?ampleD Ahite color s-mbolises goodness# puritchastit-#cleaniness#

delicac-#refinement# formalit-. %lac! color s-mbolises sophistication# power# authorit-# m-ster-. Sil.er color s-mbolises regal# wealth-# and statel-.

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16.2he +nthropo'orphic

Apple has posted their iPhone Hser"s !uide for all those of -ou who can"t get a hold of one# and all throughout are references to "iPhone".

17.Self i'a0e
Self8e-pressi.e benefits provide an opportunit- for someone to communicate his or her self1image. The- heighten the connection between the brand and the customer b- focusing on something linked to his or her personalit-. 0elf1 e?pressive benefits focus on the act of using the product# as opposed to the emotional benefits associated with the result of using the product. A self1e?pressive benefit can include the elegance and the feeling of being cool pro*ected b- the Apple iPhone

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Consu'er Perception
1. Percei.ed Quality
'onsumer2s perceived >ualit- of a product 8or service9 is based on a variet- of informational cues that the- associate with the product. 0ome of these cues are intrinsic to the product and others are e?trinsic. %ntrinsic cues for Apple iPhone is the characteristics of phone itself such as siLe# color# etc. 'onsumers of iPhone generall- base their evaluation of iPhone >ualit- on intrinsic cues.

2. Product positionin0
Apple has positioned itself brilliantl- in the minds of consumers b- offering uni>ue customer e?perience which is different from the competitors. I%f -ou don2t have an iPhone# then -ou don2t have and iPod in -our phone with -our music and pla-listJ

3. @alo "ffect
The popularit- of Apple2s iPod has generated enthusiasm for its other products and has helped in establishing halo effect for Apple2s other brands.

4. 2he 3ifferential threshold


Apple ever- time brings in products which are different in features and prices. These differences are higher than *ust noticeable difference of the consumers and this difference is clearl- noticeable for consumers. :hen Apple increases the pries of its iPhone ever- time a new model is launched this ma- become sometime negative for Apple.

#. Selecti.e e-posures
'onsumers activel- seek out messages that the- feel pleasant and which are related to their purchase decision. The consumers who want to bu- mobile# the- will probabl- give more attention to the advertisements of various brands of mobile and the- will evaluate the various brands on the basis of different parameter. These people are the potential consumers for Apple.

6. Selecti.e attention
People var- in terms of the kind of information in which the- are interested and the form of message and t-pe of medium the- prefer. People who are interested in price# appearance# and social acceptabilit- of the product are more likel- to be attracted to ads of Apple iPhone shown below.

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5. Product Place'ent
Apple invests highl- on the product placement in the 4ovies and TN 0eries. %n 2616# Apple wins Product Placement Award. Apple products appeared in ten 83639 of the 33 films that were number one films at the H0 bo? office in 2616.

)n the

o.ies

%n 266, and 2616 alone# the following films featured Apple products but didn2t make O1 at the bo? officeD 4orning !lor-# 0omewhere# $epo 4en# )ereafter# 4achete# !reenberg# 'atfish# &inner for 0chmucks# Cotter- Ticket# 0olitar- 4an# !oing the &istance# 'hatroom# )ot Tub Time 4achine# Please !ive# 0he2s /ut of 4- Ceague# 'hloe# Eillers# ;ook of @li# The 0p- Be?t &oor# :hen in $ome# )igh 0chool# 'ats and &ogs 2# 0tep Hp 3&# !ulliver2s Travels# Perc- 5ackson and the /l-mpians# Enight and &a-# Fou Again# Nampires 0uck# &rag 4e to )ell# /rphan# % Cove Fou# 4an# &uplicit-# 'rank 2D )igh Noltage# !hosts of !irlfriends Past# %magine That# 0ororit- $ow# Answer 4an# Post !rad# % Cove Fou ;eth 'ooper# All About 0teve# )urt Cocker# Bew Fork# % Cove Fou# %t2s 'omplicated# $oad TripD ;eer Pong# Caw Abiding 'itiLen# 7antastic 4r. 7o?# 7unn- People and 'ouples $etreat.

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o.ies 7ast 7ive !reen Cantern TransformersD &ark of the 4oon $ise of the Planet of the Apes Cittle 7ockers &iar- of a :imp- Eid Bo 0trings Attached 4ission %mpossibleD !host Protocol

+pple Product Place'ent 9alue P,#(+#62 P1 # +#,63 P36#46#43+ P46#(2#1 + P46#(<#643 P +#, #2( P ,#61#2,2 P2#3 #4<#626

(ast (i.e

<o Strin0s +ttached

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2he 2;ili0ht Sa0a

)ron

an

Percy Bac!son, 2he :i0htnin0 2hief

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)n the <e;s Channels

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)n the 29 Series

2he 9a'pire 3iaries

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odern (a'ily

Prison %rea!

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Si'psons

3e-ter
&e?ter owns an Apple laptop# and the Apple logo is prominentl- displa-ed throughout the show.

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@ouse of Cards

Californication

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@ouse

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Consu'er :earnin0
1. oti.ation
Apple through their ads and through placing its products in 4ovies & TN 0eries teaches the motivated consumer# how their product will fulfill the consumers2 needs. Hnfilled needs lead to motivation. Therefore# the- maseek information concerning the prices# >ualit-# and features.

2. Cues
Apple 0tore# Apple Cogo# Apple iTunes# Advertisements# etc. all serve as cues which constantl- remind consumer about the Apple Products.

3. Product :ine "-tensions


Apple initiall- introduced 4ac1;ook then# it added iPhones# iPods and iPads.

4. (a'ily %randin0
Apple works on a famil- branding as all its products are marketed under the same brand name. As we can see in the advertisements on TN# after ever- ads the logo of Apple displa-s.

#. Product 3ifferentiation
Apple adopts product differentiation strateg- as its products are completeldifferent from that of the competitors. %n the case of 4obile Phones# all the ma*or competitors work on Android while Apple iPhone works on an %/0 operating s-stem.

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6. Positi.e Reinforce'ent
Apple in their advertisements onl- talks about the good things as how it can fulfill -our needs.

5. Custo'er Satisfaction $Reinforce'ent*


Apple provide good >ualit- product as well as its after sale services are also good. 7or e?ample# if -our Apple product is having a problem and -ou go to Apple service store the- will immediatel- rectif- the problem and if it is not possible then# the- will immediatel- replace it with the new one.

6. "ncodin0
Apple uses its st-lish and distinctive insignia which help consumers in encoding the brand.

7. Consu'er in.ol.e'ent
Apple products represent high1involvement purchases because of its high perceived financial risk as well as social risk.

10.Central Routes
%n case of Apple# a central route is applicable as it deals in high1tech products which re>uire high1involvement purchases. Therefore# it don2t re>uire anendorser to endorse the product as in its ads it talks about the features.

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11.%rand "?uity
Apple is the well1known brand name. %ts name has become global# Icultural iconsJ and en*o- powerful advantages over the competitors.

12.Co8brandin0
<i!e 1 +pple Bike and Apple brought music and e?ercise together when thedeveloped the 0ports Eit# a wireless s-stem that allows shoes to talk to an iPod.

+pple 1 @P )P and Apple have released a co1branded version of Apple2s iPod# the latest in electronic consumer cool. 7or iPod# Apple brings the innovation# the cool product design# the reputation and the funk- brand. )P brings a brand that stands for business computers# reliabilit-# and conformit- to industr- standards= >ualities that do not represent iPod.

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Consu'er +ttitude (or'ation 1 Chan0e


'onsumer behavior specialists specialiLes that consumers improve some negative and positive emotions that help forming consumer2s attitude towards a brand or product. 'onsumers have different attitude and the- gain them during their e?periences. A person is not build with an idea that iPhone is better than 0amsung !ala?-. )ow we get those attitudesM %t is important for consumer researches to understand the nature and power of attitude.

1. 2he +ttitude82o;ards8>bCect 'odel


This model is suitable for measuring attitude towards a product 8or service9 categor- or a specific brand and evaluation of certain product1specific beliefs and or attributes. Bow this is where Apple iPhone scores high. Attitude of consumers towards Apple iPhone is prett- positive and favorable and consumers believe that iPhone have an ade>uate level of attributes that theevaluate as positive.

2. 2he +ttitude82o;ards8beha.ior

odel

This model is designed to capture the individual2s attitude toward behaving or acting with respect to an ob*ect rather than the attitude toward the ob*ect itself. Bow this is where Apple iPhone fails. The attitude toward behavior 8i.e. purchase intention9 is not skewed in favor of the Apple iPhone in %ndia.

3. Personality factors,
Personalit- also pla-s a critical role in attitude formation. 7or e?ample# individuals with a high need for cognition 8i.e. those who crave information and en*o- thinking9 are likel- to form positive attitude to ads that are rich in product1 related information. Apple iPhone publishes ads that are rich in product related information in order to attract people who score high in need for cognition.

4. +ttribution theory
'onsumers generall- have internal attribution for Apple iPhone as Apple has build a brand image in the minds of consumers and consumers bu- iPhone onl- because of the brand name and not because of an- e?ternal attribute.

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#. Central route
Apple generall- adopts central route in their advertisement in order to change the attitude of consumers as consumers activel- seeks out information relevant to the attitude ob*ect itself.

6. Chan0in0 the o.erall brand ratin0


Apple has tried to change the overall brand rating of iPhone through its advertisement b- using a statement ICoving it is eas- that2d wh- so manpeople doJ. :ith this ad Apple is tr-ing to set its brand iPhone apart from all its competitors.

5. Utilitarian function
'onsumers hold certain brand attributes particularl- because of brand2s utilit-. %f a product of Apple has been useful or helped consumer in past# consumer2s attitude towards Apple tends to be favorable. 7or e?ample# iPhone have several features and benefits in mobile phones.

6. +ddin0 an +ttribute
Apple had added an attribute b- bringing technological innovations in Apple iPhone. %t brought technological innovation b- launching iPhone ( with i0ight

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Pro camera in international market. ;- launching this new model of iPhone Apple is tr-ing to attract innovators.

7. Co'ponents of 2ri8co'ponent +ttitude

odel

2he Co0niti.e Co'ponent, According to this component of this model if a consumer will develop some belief and attitude towards Apple iPhone onl- on the basis of past e?perience and ac>uiring relevant information about Apple from other sources.

2he +ffecti.e Co'ponent, The affective component is a consumer2s emotions and feelings about iPhone or Apple brand.

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Co''unication and Consu'er %eha.ior


Apple is using st-listic properties of ad picture to communicate with consumers.

1. "-posure effect
:hen Apple released the iPhone # what made consumers to stand in line and compete with other Apple lo-alists for the limited suppl- available on the first da-M :as it because the- needed a new 0martphone to communicate with their friends and famil-M :ere the- interested in the new upgrades or appsM &o the- even know wh- the- needed to purchase the new iPhone M Perhaps it was because the- were constantl- bombarded with information about the iPhone in a variet- of formsD 7acebook advertisements# tweets on Twitter# or pictures of the iPhone on other social media sites. This generalltells how man- consumers were e?posed to the message conve-ed b- iPhone in their ads.

2. Persuasi.e effect
As per how man- consumers were generall- able to receive# understand and interpret message conve-ed b- iPhone in their ads. %t will help the marketers of Apple to evaluate that how man- consumers correctl- encoded an ads.

3. Sales effect
This helps to measure the effect of ad on sales of Apple iPhone.

4. Co'parati.e ad.ertisin0
Through this ad Apple is tr-ing to claim its product 8iPhone9 superiorit- over 0amsung2s smart phone. This t-pe of comparative advertising has been done b- Apple as the- were confident that comparative ad will e?ert positive effect on brand attitudes# purchase intentions and actual purchases of consumers.

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#. %u==
:hether it"s launching its latest iPhone or iPad# Apple sure knows how to create buLL with consumers and the media 8recent maps debacle aside9. :hile other companies fight for attention# Apple seems to effortlessl- dominate the media11not to mention the hearts and minds of customers11with its new product launches. Apple created a cliffhanger as the media and bloggers speculated# I:hat could it be11the new iPhone or something elseM All the bottom1up speculation in the media and blogosphere generated phenomenal consumer interest11for free. /nl- after weeks of free buLL did Apple launch a paid media campaign to keep the momentum going.

6. 9iral 'ar!etin0
Niral marketing leverages the power of word1of1the1mouth publicit- to promote products or services. %t is a form of entertaining online advertising is increasingl- gaining traction due to its cost effectiveness and power.

The loss of the ne?t generation iPhone looks like a go for viral marketing. IiPhone 4-ster-J Bew !old iPhone 0 0neak Peek 8vs iPhone Teardown9 4 da-s ago 2#< #, 1 views

5. +d.ertisin0
Apple also does billboard advertising in various countries. %t has also done lot of advertisement in metro stations.

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6. Celebrities endorse'ent
%n the most recent Apple iPhone advertising campaign promoting and humaniLing the phone2s 0iri feature# the compan- decided to recruit the >uirk- actressGindie songstress Qooe- &eschanel and high profiled celebrit-# 0amuel C. 5ackson to showcase 0iri2s capabilities. The ads are short# sweet and honestl- not all that e?citing with 5ackson and &eschanel giving 0iri orders while acting like Iever- da-J people. The- follow the compan-2s marketing strateg- of depicting Inormal people doing amaLing things with Apple productsJ.

7. +d.ertisin0 and Public Relations


Apple advertises in all wa-s# through television# phone companies# newspapers# and online. The wa- Apple advertising brings their consumers in to what pa- close attention to what the product has to offer. 4ost of the time the- are able to catch the attention of their target market and have them purchase an- product the- are advertising. :hen Apple is advertising on television# the- make sure to do it in a smooth manner. The- show how light

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weight their products are# how fast it is to access an- app of even browse the web. :hen using product advertising# Apple goes into depth about their products. The- want to inform consumers on how well their newl- made product works and its benefits to -ou as the consumer.

10.Co'parati.e Reference 0roups


'omparative reference groups are the upper level e?ecutives at one2s place of emplo-ment as their lifest-le# clothing and possessions like an iPhone admires these individuals to purchase iPhone.

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2he (a'ily and Social Class


1. Consu'er sociali=ation
'onsumer socialiLation which is defined as a process b- which children ac>uire the skills# knowledge# attitude and e?perience necessar- to function as consumer. The- have different attitude *ust b- purchasing a brand name apple which comes under premium class categor-. Apple iPhone enhance a skill set of an individual as it can improve -our @nglish speaking skills for business and academic needs.

2. Gro;in0 up in a 'aterialistic ;orld


That2s true that we are being nurtured in the world of materialism. @arlier children at the age of to 16 were satisfied with the things lie dolls# cars# bikes but these unsatisfactor- needs come to the new innovative applications provided in smart phones of 0amsung# apple. The- are addicted to the applications in the phones.

3. Social class
0ocial class and status are ke- factors to the -ounger generation# because the power of the consumer market is so great. This isn"t new# in fact# as social class has been dominated b- var-ing factors over the -ears# from cars to houses# and in most cases this still e?ists. 'arr-ing the iPhone reflects the status s-mbol and social standards of the person which apart from the status provides them inner satisfaction

4. Class consciousness
Apple iPhone is a premium class product so people bu-s it for the sake of consciousness of class.

#. Sin0le .ariable indeThis uses onl- one socio1economic variable to evaluate whether it is occupation# education or income Apple iPhone can relate to the income variable# if the individual have high earnings he can easil- purchase the apple iPhone to satisf- his need.

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6. Geo8de'o0raphic clusters
A segmentation strateg- that uses both neighborhoods and demographic variables e.g. income# occupation Apple iPhone introduced various series of phone but now it is launching its new iPhone 0 which is targeting the people of high income level and blocks of elite class people.

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)ntroduction to Research

ethodolo0y

$esearch 4ethodolog- comprises defining and redefining the problem# formulating h-pothesis or suggesting solution# collecting# organiLing and evaluating the data# making deduction and reaching to conclusions and determines whether the formulated h-pothesis is right and wrong. $esearch 4ethodolog- is a wa- to solve research in stud- and solving research problems along with logic behind them are defined through research methodolog-. Thus while talking about research methodologies we are not onl- talking of research methods but also consider the logic behind the methods. &uring m- pro*ect# % collected data through various sources primar- & secondar-.

Research 3esi0n
A $esearch design is purel- and simpl- the framework of plan for a stud- that guides the collection and anal-sis of data. The stud- is intended to find the consumers preference towards the Apple products. The stud- design is descriptive in nature. $esearch design is the conceptual structure within which the research would take place. The presentation of such a design facilitates research to be as efficient as possible -ielding ma?imum information.

2ype of research desi0n used


3escripti.e
% used a descriptive t-pe of research. &escriptive stud- is a fact1finding investigation with ade>uate interpretation. %t is the simplest t-pe of research and is more specific. 4ainl- designed to gather descriptive information and provides information for formulating more sophisticated studies. %t is one which includes surve-s and fact K finding# @n>uiries of different kinds. The ma*or purpose of such research is description of the state of affairs# as it e?ists at present.

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Sources of 3ata Collection


There are 2 t-pes of data. The- areD a* Pri'ary data b* Secondary data

Pri'ary source are those# which are collected afresh and for the first time and
thus happen to be original in character. Primar- data will not onl- be relevant for research pro*ect but it is also reliable# accurate and dependable. %t includes1 19 &iscussion with team members 29 &iscussion with consumers 39 &ata collected from >uestionnaire.

Secondary source are those which have alread- been collected b- someone else
and which have alread- been passed through the statistical process. 7or m- research data has been procured from both primar- and secondar- sources. &ealers# customers and organiLation constituted the primar- source. Bewspapers# magaLines and websites constituted the 0econdar- data.

Research +pproach
There are 2 basic t-pes of approaches to research. The- are# a* Quantitati.e +pproach b* Qualitati.e +pproach

Quantitati.e +pproach involves the generation of data# which can be sub*ected


to rigorous >uantitative anal-sis in a formal and rigid fashion. This approach can be further sub classified into inferential# e?perimental and simulation approaches to research. The purpose of inferential approach to research is to form a database to infer characteristics or relationships of population.

Qualitati.e +pproach to research is concerned with sub*ective assessment of


attitudes# opinions and behaviorA research in such a situation is a function of researcher2s insight and impressions.

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%n this research a Ruantitative as well as Rualitative approach was used.

Research )nstru'ents
The various research instruments at the hands of the researcher are as followsD 1

a* )nter.ie;, %t involves presentation# oral1verbal# stimuli and repl- in terms of


oral1verbal responses. This method can be used through personal interviews and if possible# through telephone interviews.

b* Questionnaires, %t consists of number of >uestions printed or t-ped in a


definite order on a form or a set of formsA the respondents have to answer the >uestions themselves.

Sa'ple Si=e
0election of stud- areaD The stud- area is ;HC4%4. 0election of the sample siLeD <6

Sa'plin0

ethods

'onvenience method of sampling is used to collect the data from the respondents. $esearchers or field workers have the freedom to choose whomever the- find# thus the name IconvenienceJ. About <6 samples were collected from ;HC4%4 and most of the respondents were customers who were using or used Apple products.

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Ques. )ave -ou ever owned an- Apple productsM


Particulars Fes Bo <o. of Respondents $in D* 413 ,3

)nterpretation, :hen we asked respondents that how man- of them own anApple product then# ,3 of the students said that the- own Apple products and 413 don2t own an- Apple product.

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Ques. )ow long have -ou been using Apple productsM


Particulars Cess than 1 -ear 1 1 2 -ears 3 1 4 -ears or more <o. of Respondents $in D* <63 1(3 33 13

)nterpretation, :hen we asked respondents who own Apple product that from
how long the- have been using Apple product then we anal-LedD <63 of respondents who own Apple product have been using Apple from less than 1 -ear 1(3 of respondents have been using Apple from 112 -ears 33 of respondents have been using it from 314 -ears. /nl- 13 of them have been using it from more than -ears.

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Ques. :hat do -ou think about the price of the Apple productM
Particulars Ner- )igh )igh Average Cow Ner- Cow <o. of Respondents $in D* , 3 3 63 63 63

)nterpretation, :hen we asked <6 respondents about what price of the Apple
products b- asking closed ended >uestion and giving options# , 3 of respondents said the- feel that price of Apple products is ver- high and 3 feel that price of Apple is high.

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Ques. :hat factor would affect -our decision on purchasing iPhoneM 1. Price
Ran! 1 2 3 4 ( + <o. of Respondents $in D* 343 133 1,3 1(3 ,3 33 (3

)nterpretation, 343 of respondents ranked price as the ma*or factor in their


purchasing decision. 133 of respondents ranked price as 2 nd most important factor. 1,3 ranked 3rd# ,3 ranked 4th# 33 ranked price as
th

most important factor and 3

ranked price as (th most important factor that affects their purchase decision.

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2. (unctions
Ran! 1 2 3 4 ( + <o. of Respondents $in D* 2,3 323 133 133 +3 33 33

)nterpretations, 323 of respondents ranked functions as the 2 nd most importance


factor in their purchase decision# 2,3 ranked functions as 1 st factor# 133 of respondents ranked functions as 3rd and 4th factor# +3 of respondents ranked functions as
th

factor and 33 ranked function as (th and rest of the 33 ranked it as +th factor.

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3. +ppearance 1 3esi0n
Ran! 1 2 3 4 ( + <o. of Respondents $in D* +3 <3 133 3(3 363 33 33

)nterpretation, +3 of respondents ranked appearance as 1st factor. <3 of the respondents ranked appearance as 2nd factor. 133 of respondents ranked appearance as 3rd factor. 363 of respondents ranked appearance as affecting their purchase decision.
th

factor. 33 of respondents

ranked appearance as (th factor and rest of the 33 ranked appearance as +th factor

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4. Social 2rend
Ran! 1 2 3 4 ( + <o. of Respondents $in D* 213 1+3 3+3 123 163 33 63

)nterpretation, 213 of respondents ranked social trend as 1 st factor. 1+3 ranked


social trend as 2nd factor. 3+3 of the respondents ranked social trends as the 3 rd most important factor. 123 ranked social trend as 4th factor. 163 of respondents social trend as decision.
th

factor. 33 ranked social trend as ( th factor affecting their purchase

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#. (a'ily 1 (riends )nfluence


Ran! 1 2 3 4 ( + <o. of Respondents $in D* +3 2,3 1<3 263 2 3 13 63

)nterpretation, +3 of respondents ranked famil- & friend influence as 1st factor


affecting their purchase decision. 2,3 of respondents ranked famil- and friend influence as the 2nd most important factor. 1<3 ranked famil- & friend influence as 3rd most important factor. 263 ranked famil- & friends as 4 th factor. 2 3 ranked famil- and friend influence as
th

factor and rest of the 13 respondents ranked famil-

and friends as (th most important factor affecting their purchase decision.

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6. %rand <a'e
Ran! 1 2 3 4 ( + <o. of Respondents $in D* 63 63 63 33 ,3 +3 313

)nterpretation, 33 ranked brand name as 4th most important factor. ,3 ranked


brand name as
th

most important factor influencing them to purchase an- mobile.

+3 of respondents ranked brand name as (th important factor. 313 of respondents ranked brand name as +th important factor affecting their purchase decision.

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5. 9ariety of +pplications
Ran! 1 2 3 4 ( + <o. of Respondents $in D* 63 63 63 63 43 2,3 (+3

)nterpretation, 43 of respondents ranked variet- of applications as

th

important

factor. (+3 of respondents ranked variet- of application as +th important factor. 2,3 ranked variet- of applications as (th important factor affecting their purchase decision. Therefore# it is clear that price# functions# social trends and influence of famil- and friends are the most important factor affecting the purchasing decision of respondents.

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Ques. :h- do -ou choose Apple productsM 1. (ashionable 3esi0n


Ran! 1 2 3 4 <o. of Respondents $in D* 133 223 363 223 133

2. +ppropriate Price
Ran! 1 2 3 4 <o. of Respondents $in D* 1 3 133 363 2 3 1+3

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3.

ultiple (unction
Ran! 1 2 3 4 <o. of Respondents $in D* 1+3 223 1+3 1+3 2(3

4. (a'e of %rand
Ran! <o. of Respondents $in D*

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1 2 3 4

2(3 1+3 ,3 363 1+3

#. @i0h Quality
Ran! 1 2 3 4 <o. of Respondents $in D* 223 363 223 ,3 1+3

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)nterpretation,
:hen we asked our respondents to rank on various dimensions as to wh- the- choose apple product# 1. 133 of the respondents ranked fashion design as number 1 criteria for choosing apple products# 223 of the respondents ranked fashion design as 2nd most criteria. A large chunk of respondents i.e. 36 3 of them ranked it on number 3 position. 7or 223 of the respondents# fashionable design holds 4 the rank and the rest 223 respondents ranked it on
th

place.

2. 7or 1 3 of the respondents price was the top most reason and the- ranked it number 1. 133 of them ranked it at 2nd position. A large number of respondents 836 39 ranked it as 3. 7or 2 3 of respondents it holds 4 th position and rest 1+3 of them ranked it as . 3. /ut of <6 respondents# for 1+ 3 of respondents multiple function holds number 1 position on their priorit- list# 22 3 of them ranked it as number 2 criteria for apple product purchase# 1+3 of them ranked it 3#again 1+ 3 of them multiple functions holds 4th position and the rest 2+3 gave it
th

rank.

4. 7or 2(3 of the respondents#fame of apple brand is number 1 criteria for their purchase of apple product. 1+ 3 gave it 2 nd rank# ,3 of the respondents consider is at 3rd most important factor. 7or 313 of them it holds 4 th place and rest 1+3 ranked it on
th

position.

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#. 7or 223 of the respondent high >ualit- holds the most important criteria for purchase of apple product. 363 ranked it on 2 nd position. 7or 223 of them it holds 3rd position# ,3 of them ranked it on 4th place and 1+3 on
th

position.

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Ques. )ow do -ou like Apple productsM


Particulars 'annot live without them Cike them ver- much %nterested in them 5ust average Bot interested in them 'annot bear to live together with such products <o. of Respondents $in D* (3 1,3 4,3 1+3 ,3 63

)nterpretation, The graph represents that 4,3 of the respondents are interested in Apple
products. 1,3 of the respondents sa-s that the- like the Apple products# 1+3 sa-s *ust average# ,3 sa-s that the- are not interested in having an Apple products and onl- (3 sa-s that the- can2t live without the Apple products.

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Ques. Are -ou planning to bu- an- Apple products in the futureM
Particulars Ees <o <o. of Respondents $in D* ,63 163

)nterpretation, :hen we asked respondents are the- planning to bu- an- Apple
products in future# ,63 of respondents said that the- are ver- much planning to buApple product in future and 163 said no and the reason the- gave were that the compatibilities of Apple Products are >uite limited.

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Ques. &o -ou prefer an Android or an iPhoneM


Particulars Android iPhone <o. of Respondents $in D* <63 263

)nterpretation, :hen we asked our respondents whether the- prefer android or an


iPhone# <63 of the respondents said that the- prefer android and 263 of the remaining would go for apple.

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Ques. &o -ou think Apple iPhone is more popular than its competitorsM
Particulars Fes Bo <o. of Respondents $in D* < 3 1 3

)nterpretation, :hen we asked our respondents if the- think apple iPhone is more
popular than its competitors# < 3 of them said -es and 1 3 don2t think so.

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Ques. :ould -ou recommend others to bu- AppleM


Particulars Fes Bo <o. of Respondents $in D* ++3 233

)nterpretation, :hen we asked <6 respondents if the- would recommend others


to bu- Apple# ++3 of the respondents would recommend others to bu- Apple and 23 3 of them will not do so.

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Ques. :ho do -ou think to be the closest competitor of iPhone and :h-M
Particulars 0amsung )T' 0on- @ricsson Bokia ;lackberr<o. of Respondents $in D* <13 (3 23 43 <3

)nterpretation, This is an open1ended >uestion and <13 of the respondents replied


that 0amsung is the closest competitor of iPhone. /ther than this# <3 sa-s ;lackberr-# (3 sa-s )T'# 43 sa-s Bokia and onl- 23 sa-s 0on- @ricsson as the competitor to iPhone.

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Ques. :here did -ou hear about Apple brandM


%nternet T.N. 4agaLine or Bewspaper 7rom 7riends or $elatives Apple 0tore

)nterpretation, :hen we asked this >uestion to our respondents most of them


marked all the options as Apple products 8especiall- iPhone9 are visible on all these options. 0o# it becomes difficult to make a graph for it.

Ques. :hat are the improvements -ou want to be in the iPhoneM )nterpretation, This was an open1ended >uestion. :hen we asked this >uestion#
we got mi? repl- as ever-one wants different improvements but the improvements that most of the respondents wants areD ;luetooth# 'hange in &esign and Add more and uni>ue features.

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(indin0s
1. Apple invests heavil- on product placement in the movies and TN series i.e. in the 16 movies out of the 33# Apple product will be there. 2. 0amsung is considered to be as the closest competitor and it also replaces the Apple as it attained the 1st position in the smart phone market over the globe. 3. Apple uses different wa-s to advertise its products. 4. The consumers want numerous changes to be made in the Apple products especiall- in the case of iPhone as man- wants that its design should be change and ma*or changes in its features should be brought. #. Price is the main point that the consumers take into consideration before bu-ing Apple products as their costs are ver- high. 6. 0ome consumers also believe that the Apple2s products are not price worth-. 5. Bumerous 'onsumer ;ehavior concepts that we studied so far are applied on the Apple.

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Aay for;ard for the %rand


1. Apple must bring some ma*or changes in the iPhone in order to attain its 1 st position in the market. The changes especiall- related to design and features. 2. Apple must bring products in an affordable range so# that more customers can use Apple products. 3. 0ince Bokia is taken1over b- 4icrosoft# Apple should be read- to fight against this. 4. $ecentl-# 0amsung has launched Bote3 to fight against this Apple must launch its iPhone 0 or iPhone (. #. Apple is planning to launch iTunes $adio# % suggest that it should be launched as soon as possible as it is free and it increases the interest among the consumers 8especiall- -outh9. The reason is that the station will be genre1 focused station.

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