EXPERIENCE FROM OLD MARKETING STRATEGY AND POSITIONING OF APPLE:

DOES STRATEGIC MARKETING STRATEGY IS SUITABLE FOR UPCOMING iPHONE?

KESHAB PUDASAINI
Business Analyst
b
KENWITS Consultancy Ltd
London

1.

BACKGROUNG

1.1 Brief Introduction: Apple International (Apple Inc.)

Apple International (Apple Inc.) was branded for designs and manufacturing of computers, communication devices
and wide-varieties of related software, peripheral IT networking solution throughout the world. However, closest
competitors; Microsoft, Dell and other for computer brands and accessories but Apple Inc. was genius in
manufacturing industries like as; Mac-desktop and portable systems include MacBook Pro, MacBook, MacBook Air,
Mac Pro, iMac, Mac mini and X serve. The Apple iPhone combines a mobile phone, a widescreen iPod with touch
controls, and an internet communications device in a single handheld product. In addition, Apple's iPod line of
portable digital music and video players include the iPod shuffle, iPod nano, iPod classic, iPod touch are designed and
manufactured according to the customer psychological interest and demand of market.
Nevertheless, Apple Inc. has taken customer-driven business policy and lunching forestry products on-demand with
requires unique operational systems that enable high quality of supply-chain, efficient distribution system and smart
financial caliber. As a result, subsequently 215 stores in US market and 56 additional stores had been operating for
smooth delivering its products and services globally. The differentiation of software and products, Apple Inc focused
on penetration strategy (in market and product) that helps to lead computer and software market globally. Still,
Apple's current strategy in the PC market revolves around a business of software manufacturing that drives the
hardware and retail categories. The official focus is on growth by concentric diversification into a portable (mobility)
and wireless communications, the digital lifestyle and music, iPod, iPod mini and iTunes.
1.2 Current iPhone Supply-Chain Strategy
Silverman (2007) stated that in 2007 mid, the Apple iPhone was released and the groundbreaking style of the iPhone
was touted for months before the initial release and has remained the best of the best when it comes to cell phones
over the past several years. Apple drives lean supply chain by functioning as a wholesaler, retailer, and distributor and
maintaining a healthy just-in-time inventory system. For this, a well-established panel source providing the most
complete product line in the iPhone line. The supply-chain strategy is that rather than visiting multiple vendors
outlets, clients go to panel source with confidence for one-period building materials shopping. Apple's percentage is
barely over 10 percent, if one combines the market share for both Macs and iPhones. Macs account for 9.63 percent of
computers online. In addition, Apple iPhone marketing strategy is very readable, simple and cunning. Apple focuses
on the pure modern style of their products without all the "fluff".
Moreover, the Apple iPhone is popular for simplistic but catchy commercials. Nonetheless, iPhone market strategy in
video commercials is that "There's an App for that" is the new catch phrase that places a solid focus on the apps
available from the App Store. Apple iPhone marketing strategy; especially is that "every category-from games to
business, education to entertainment, finance to health and fitness, productivity to social networking seems leading
marketing strategies have been contrived to accept advantage of iPhone features; Multi-Touch, the accelerometer,
wireless, and GPS. Also, the targeted potential successful younger men were the target audience that Apple iPhone
had originally focused on (Apple Inc., 2009).
a.
b.

Keshab Pudasaini has done twice times MBA from the UK and Nepal. And has been working as Management Consultant and Business Analyst.
KENWITS Consultancy Ltd is leading Management Consultancy and registered in the Company House, UK. Visit: www.kenwitsconsultancy.co.uk

1.3 Apple Inc: iPhone Marketing Plan

The Apple Inc marketing plan is design according to combination of product specification, value service, renowned
brand and expected product line. Hence, iPhone marketing plan is the overall outcome of Apple Inc business plan
although it has solid marketing activities and strategy applied to be more popular but Apple management believes that
iPhone is best combination of product and services together.
The product iPhone has fixed targeted customers. Because of unique storage capability information and data at
different mode, iPhone is widely popular among the segmented customers. However, Apple target segments include
various backgrounds of customers; corporate and professionals users, business and entrepreneurs, social and health
care workers, students and other sectors covering market for high-end use strategy. The iPhone market plan looks
increase level of products sold (movement) through comparatively cheaper pricing but greater power to deal
customers
needs and expectation. The below mention table shows the iPhone users based on the marketing
plan.
Target Segment
Consumer Needs
Corresponding Features/Benefits
Professionals
Stay in touch while on the go
E-mail, instant messaging and phone
Record information while on the go
Applications from Mac OSX for notes and
record-keeping
Perform many functions without
carrying multiple gadgets
Style and individuality
Input and access critical data on the
go

iPod, phone video, TV shows, internet, PDA

apple branding as fashion statement

Entrepreneurs

Organize contracts, access contracts

and schedule details

Wireless access to calendar and address book to

easily check appointments and contacts

Medical users

Update, access
medical records

Wireless access to calendar and address book to

reduce paperwork and increase productivity

Students

Corporate users

and

exchange

applications from Mac OSX for notes and

record-keeping
compatible with widely available software

Table No 1: segmented iPhone Users

The Table No 1: stated the large variety of iPhone users in order to improve the market positioning. Apple Inc.
segmented customer according to the age and iPhone users features. However, marketing plan applied in favor of
iPhone is significantly become more effective to hold in cell phone market. It also extracted that iPhone users
continuously concern over the new application features added in iPhone. Such as, a new outlook with added new
version of iPhone 4G is the rational example of marketing plan.

2. APPLE INC. POSITIONING ANALYSIS: iPHONE

The Apple iPhone is an outstanding product which leads to its competitors. The touch screen user interface, sleek and
beautiful design, true masterpiece of technology and combination between mobile phone and laptop computer are help
to sep-up the strong marketing strategy. However, Apple Inc. has been able to develop a revolutionary change in ICT
particular in cell (mobile) product and also change the paradigm in the mobile phone market globally. Although,
iPhone has captured saturated market globally but Apple Inc. has done notable serious mistakes in the marketing of
the iPhone as well. For example, failed in initial pricing strategy- at market lunch time, the iPhone retail price was
$599. According to the product life-cycle, at the growth stage, iPhone retail price reduce by 33% ($399) which affect
faithful costumers.
Further, other competitors tried to copy the iPhone features along with the similarities in their phones, but they could
not overcome not even in applications. The market differentiation strategy that iPhone has retained dominance in the
market for the upgrade features in iphone applications added uniqueness. Apple Inc basic market positioning strategy
is guided by the following strategic tools.
Market
Segmentation

Market
Targeting

Market Positioning

Identify bases for

segmenting the
market

Develop measure of
segment
alternativeness

Develop positioning for

target segments

Develop segment
profiles

Select target segments

Develop a marketing mix

for each segment

Figure No 1 Market Segmentation, Targets and positioning, adopted form Kotler

(sd)
The Figure No 1 described the basic strategy to understand the market segmentation, target and positioning.
However, Apple Inc market positioning can be expressed on the following pie-chart.

Figure No 2: Pie-chart showing the Apple Inc positioning, Source: ITCandor

(2011)
The Figure No 2 highlighted the Apple Inc market positioning as compare with competitors globally. However,
ITCandor (2011) claimed that Apple smart phone has 40.8% market share in 2010 out of total competitor
market: Basic and Smart Phone Handsets in 2010. Like as, it also reveals that in about 39% industry share has
covered by Apple Inc itself in the year 2010. In given both pie-charts show that Apple Inc is leading world
market through number of output sold and generating revenue and profit margin together.
In addition, the following figure also discourse the Apple position holding between 2008 to 2010
period.

Figure No 3: Worldwide ITC market by offering Revenue, Revenue Growth and Net Profit 2009 3rd Quarter to 2010
nd
2 Quarter period. Source: ITCandor (2011).
The Figure No 3 shows about the worldwide market position of different ITC providers. The size of each bubble
represents annual profit for the period of 2009 to 2010, however the x axis shows absolute revenue in US$ and y axis
shows the revenue growth in the given period.

3.

APPLE INC. SEGMENTATION STRATEGY

3.1 Market Segmentation Strategy

Market Segmentation is the process of splitting market into distinct subsets. It behaves in the similar way that
homogeneity is needed in attitudes and marketing strategy. It is likely to have same feeling and ideas about the
marketing mix comprised about the product or services at the said price, sets of distribution channel and promotional
modalities. However, the process of segmenting is distinct on targeted markets and product positioning but
segmenting process (see Figure No 1) depends upon three different phases.
The Apple is segmenting iPhone markets based on the users segmentation strategy. The above given Table No 1
represents the iPhone users group segmentation. The fundamental concept of market segmentation strategy applied at
Apple iPhone is mention below on the figure.

Branding

Experience

Promotions

Conversation

Figure No 4: The Fundamental Strategy,

The Figure No 4 denoted fundamental strategy. In particular Apple Inc case, iPhone customers are segmented (seen
Table No1 also) under the users groups. Because globally, still smart phone market is relatively narrow as compared
with other general phone market but the demand of smart phone will rapidly increasing in recent years due to Apple
Inc pricing strategy lower price greater deals or power.
3.2 Product Segmentation Strategy
Ries and Trout (2001) stated the positioning can affect the price of product and place of product sold. For example, in
2007, Apple Inc lunched iPhone from US market, the demographic data revealed that only 300 million inhabitant in
US and there were more than 350 million inhabitants in European countries. Moreover, prime competitors; O2,
Orange, T-Mobile Vodafone etc. already have in existence in European market. As a result, Apple Inc. faces multiple
difficulties to stand European business environment. As well, Gilligan and Wilson (2009) expressed their view on
market segmentation, targeting and positioning consists of different eight process begin with situational analysis. The
below Appendix (ii) also shows the different states in strategic marketing plan implementation process.

3.3 Marketing Activities and Target Market

In 25 years successful history, Apple Inc. has initiated series of creative activities performed and segmenting markets
and products by new one targeting potential customers globally. For that becoming humble organization, Apple Inc
will focus on designing and manufacturing consumer electronics product relating to software products most.
Market positioning is a trick process. However, Apple Inc significantly analysis about the consumers satisfaction and
market demand over the new product. It is initial strategic part that reflects the ultimate response about the new
products into new market using Ansoffs BCG matrix. Apple Inc wants to attract upper and middle class customer
with offering high quality products comparatively cheapest cost. As example, Apple Inc reduced price (cost) three
months after the iPhone lunch is theoretical guided by new product with low cost marketing strategy.
The above Table No 1 shows the iPhone users segmentation with their interest and corresponding advantages. But, it
is consider that PESTLE analysis is also a major determinant factor for marketing activity. However, the two areas,
activities and target market is co-related because whatever the activities are done that is particularly design with
Ansoffs model; new product in existing markets.

4.

APPLE INC. MARKETING MIX

4.1 Apple Inc. iPhone Marketing Mix

The approach marketing mix is a model of crafting and implementing marketing strategy. Although, marketing mix
or blend of organizations overall activities in order to fulfill the consumer needs and organization objectives
simultaneously, for this organization must consider the Maslow need hierarchy while examining the 4Ps or 7Ps
elements. Here, I have mention iPhone marketing mix 7Ps Product, Place, Price, Promotion, People, Process and
Physical Environment.

Figure No 5: Marketing Mix

The Figure No 5 represents the marketing mix in relation with different 7Ps. The figure, herewith briefly mentioned
about marketing mix (7Ps elements) base on market analysis. However, the details below in Appendix (v) about Apple
Inc. marketing mix has mentioned with specific configuration of each elements.

Apple Inc. Marketing Mix

The detail description of Apple Inc. Marketing Mix (7Ps) is mention
below.
a.

PRODUCT
Portable Computers including Mac products such as Mac Book Pro, iMac, MacBook Air, Mac Mini,
Xserve
Servers including Xserve, Xsan, MacOS X Ser, MobleMe.
Accessories including MagicMouse, Keyboard, Led Cinema Display.
Wi-fi Based Stations - including Airport Express, Airport Extreme, Time Capsule.
Developer including Developer Connection, Mac Program, iPhone Program.
iPod including iPod Shuffle, iPod Nano, ipod Classic.
iPhone including iPhone3GS, iPhone3G, iPad.
iTunes including movies, TV shows, audio books, games.
Periphal products including Printers, Storage devices, digital videos and cameras.

b. PRICE
Apple is a premium brand computer that does not attempt to compete on price. The company has
reduced prices after some initial product launches. It uses skimming and preimuim pricing strategies.
The AppleiPad is priced at a minimum of $499.
The Apple iPhone costs begin at $99.
The Apple iPod Classic is priced starting at $249.
The Apple iPod Nano costs $149.

The Apple Mac Book costs $999.

The Apple MacBook Pro is priced at $1199.
The Apple Quicktime Pro for Windows costs $29.99
Apples iPad pricing strategy includes the flexibility to lower the prices if consumer response dictates
such action. This would be consistent with a similar $200 price cut on the iPhone in 2007.
In 2009 Apple announced a reduced cost pricing structure for iTunes - songs will cost 69 cents, 99 cents or
$1.29. He said the "vast majority" of the songs will cost 69 cents. Changes are said to be a response to a
slower pace of music downloads.

c.

PLACE
Apple, Inc Headquarters are located at is located at 1 Infinite Loop, Cupertino, California.
The Apple Consultants Network includes independent professional service providers and technology
consulting firms that specialize in Apple and third-party solutions. Certified on Apple technologies,
these providers deliver on-site technology services and support to home users and businesses of all sizes.
Apple service providers are certified technicians, who complete regular Apple training and assessments, and
offer repair services, and exclusive access to genuine Apple parts.
They are located in Asia/Pacific, Africa, the Middle East Europe and Latin America.
Apple has over 200 retail stores worldwide including the US, UK and Canada. Apple recently opened a
new retail store in Shanghai China.

d. PROMOTION
Apple, Inc offers special discounts on refurbished MacIntosh computers, iPod Nanos, and the 8GB iPod
Touch. In each case a 1 year warranty is included on the all products.
Apple, Inc authorized Training Centers are located throughout the U.S. each provides instruction in Mac
systems, Mac OS X, and Apples professional applications. A wide range of certification exams and
courses offer innovative learning opportunities for IT and creative professionals, educators, and service
techniciansdelivered exclusively by Apple Certified Trainers.
The Apple Consultants Network website provides a search tool allowing visitors to locate nearby certified
Mac product consultants in the U.S, Canada, and a number of international locations.
The online Apple Store offers free shipping for orders over $50.
The online Apple store offers iTunes gift cards.
Apple provides a $100 rebate when you purchase a Mac or specific printers from the online store.
Apple has packaged back-to-school offers, including some aimed at college students.
e.

PEOPLE
Stephen P. Jobs was the Chief Executive Officer of the Executive Board at Apple, Inc which lead
into market due to his roles
Non Executive Board Directors include William V. Campbell, Millard S. Drexler, Albert Gore, Andrea
Jung and Author D. Levinson.
Key Senior Management team members include Timothy D. Cook, (COO), Scott Forestall, Jonathan
Ivey, (Industrial Design), Ronald B Johnson (Retail), Robert Mansfield Mac Hardware Engineering),
Peter Oppenhiemer (Chief Financial Officer), Mark Papermaster (Devices Hardware Engineering), Philip
W. Schiller (Worldwide Marketing), Bertrand Serlet (Software Engineering), and D. Bruce Sewell
(General Counsel).
Some certified Apple service providers offer additional services beyond repairs and parts such as such
as data transfer, data recovery, upgrade services, and onsite deployment and installation.
Every Mac, iPod, iPhone, and display comes with complimentary telephone technical support for 90
days after your purchase and a one-year limited warranty. The AppleCare Protection Plan extends your
service coverage and gives you one-stop service and support from Apple experts.
The AppleCare Professional Video Support gives you direct access to Apple's Professional Video Technical
Support team via telephone and email 12 hours a day, seven days a week.

f.

PHYSOCAL EVIDENCE

 Apple Incs main website is located at http://www.apple.com

The Apple logo has evolved from its original depiction of Sir Isaac Newton under a tree to the
memorable rainbow apple to the present blue Apple with a bite taken out.

PROCESS
Apple converts new customers and secures their loyalty through a corporate emphasis on customer service.
Apple seeks to attract its target market through bold public relations events (such as the MacWorld Expo) as
well as advertising imagery which borrows from contemporary modern art.
Apple has expanded its distribution channels in recent years including the addition of Wal Mart.

g.

5.

APPLE INC MARKET POSITION AND STRATEGY

5.1 Market Positioning

According to the Apple Inc official websites, the summary of iPhone market positioning is overwhelming success in
the last few years through innovative particular products; iPhone, smart iPod and iTunes product combination, along
with combination of great hardware piece with great style, great software, great performance, user friendly interface,
and good e-business service. For example, the data revealed that in the 5 years (2003-08) period; the Apple Inc share
value increased 25 times more, from $7.5 to $180 per share and stock market capitalization was $160 billion.
In addition, the following table and charts show the global market positioning of Apple Inc during the first quarter of
year 2010 to 2011 periods.
Global Handset Vendors Market Share
(In %)

Global Handset Shipments

(in Millions of units)
Name of
Companies

Years

Change in
%

Year (in %)

2011

107.80

108.50

0.70

0.65

Nokia

36.10

31.00

-5.10

Samsung

64.30

68.90

4.60

7.15

Samsung

21.50

19.70

-1.80

LG

27.10

24.50

-2.60

-9.59

LG

9.10

7.00

-2.10

Apple Inc

8.80

18.60

9.80

111.36

Apple Inc

2.90

5.30

2.40

ZTE

8.60

15.20

6.60

76.74

ZTE

2.90

4.30

1.40

Others

81.8

114.4

32.6

39.85

Others

27.4

32.7

5.30

Total

100

350.1

250.10

Total
298.4
350.1
51.7
17.33
Table No 2 Global Market Positioning Source: compile

2010

2011

% change

2010

Nokia

Number

Name of
Companies

Global Handset Shipments and

Global Handset Vendor Market

Graph No 1: Global Market Positioning. Source: Compile

The Table No 2 and Graph No 1 represent the global market position of ITC providers. However, the Apple Inc
Presents at 2010 to 2011 first quarters, the percentage change in global handsets shipments and global handsets
vendors market share are 111.36 and 2.4 respectively although there were five major ITC providers in competitive
environment. It represents that Apple Inc percentage changes at both areas are significantly high as compare with
others.

Market Segmentation, Targeting and Positioning steps

Situation
Analysis
Market
Segmentation
Market
Targeting
Product
Position
The Marketing
Mix

1. Identify the organizations current position, capabilities,

objectives and constraints
6. Identify the segmentation variables and segment the markets
7. Develop the priorities of each segment
4. Evaluate the potential and attractiveness of each segment
5. Select the target segment(s)
2. Identify the positioning concept within each target segment
3. Select and develop the appropriate positioning concepts
8. Develop the marketing mix strategy

Figure No: 2 Market Segmentation, Targeting and Positioning steps, adopted from Gilligan and Wilson (2009)

Differences between Strategic Planning and Marketing Planning

Strategic Planning
Marketing Planning
Concentrated with overall, long-term organizational
Concerned with day to day performance and
results direction
Provides the long term frameworks for the
Represents only one stage in the organizations
organization
development
Overall orientation needed to match the organization Functional and professional orientation tends to
to its environment
predominate
Goals and strategies are evaluated from an overall
Goals are subdivided into specific targets
perspective
Relevance of goals and strategies is only evident in
Relevance of goals and strategy is immediately
the long term
evident
Table No 1: Differences between Strategic Planning and Marketing Planning, adopted from adopted from Gilligan
and
Wilson (2009)

5.2 Marketing Strategy

5.2.1 Apple Inc Short-term Strategy
Moreover, Apple Inc marketing strategy first, guided with marketing mix and second by four major elements;
segmentation, positioning, market entrance and time. However, combined efforts of these elements have equal
importance to success in market. Malley, (2007) mentioned that the official iPhone website does not provide more
information about the product; however the website provides top tips and tricks for the use of an iPhone. Almost the
entire iPhone page displays images of apps, provides the "App of the Week," the website also contains sections titled
"Apps for everything," and the "Top Apps." Apple's website is a primary great marketing tool for current iPhone users
and consumers that have an interest in purchasing the iPhone. The forecast of potential buyers for the day of the
release ranked a majority of T-Mobile customers, AT&T's only GSM-based product competitor, at 15%. Also, next
largest group expected to purchase the new iPhone was AT&T's existing customer base, at 12%. At the initial stages,
iPhone customers; 72% of males, and 28% of female and likely to investigate the iPhone minimum price was of $499.
Significantly, current target audiences for the Apple iPhone include young people between the ages of 20 and 35
affluent teenagers, "jet-setters", and "mobile" employees who work outside of the offices are significantly popular.
Thus, Apple Inc has positioned itself to a certain type of customer, wealthy people, innovators, people with good jobs,
good lifestyle etc among the whole.
5.2.2 Apple Inc Long-term Strategy
The Apple Inc long-term marketing strategy is influenced by Ansofts strategy that existing product into new market.
As a result, Apple product series are quite famous in Russian ITC market particularly among the young and
professional customers. However, global economic environment also associated with the market extension strategy
but, it depends on market segmentation policy.
In addition, Apple Inc is planning to offer Apple brand Television and musical instruments that might be another
profit centers. For that, Apple Inc has planning to invest on television and music instruments manufacturing process
because of wide popular in iTune. On the other hand, it is said that, still in China and Russia case, millions of units of
Apple series has been demanding and frequently people are in search of Apple iPhone and iPod in this countries.
However, in these two country, business policies has been controlling through the national politics so that it is not
easy access to enter in Chinese and Russian market. Because of high economic medium class population in China,
and likely similar environment in Russian market, the contemporary long run marketing strategy is to presence in
Chinese and Russian market.

Marketing Strategy Selection

Marketing Strategy
Alternatives

Factors affecting Strategic

Situations
Strategic Situation
Determination

Figure No 1: The Marketing Strategy Process, adopted from Gilligan and Wilson (2009)

5.2.3
Apple Inc iPhone: SWOT Analysis
However, the four pillars; Strength, Weakness, Opportunity and Threats are use for scanning environment internally.
The iPhone SWOT analysis mention below in specific areas is mare concern of assignment purpose.
STRENGTHS
Innovative: An innovative technology touch screen with dynamic function recognized iPhone because smart phone
industry is fast growing in terms of sold units and profit margin both in short
time.
Compatibility: iPhone itself combined features of computer and cell phone. Although, comparatively size is bigger
but outstanding software is installed to perform multiple tasks because the touch screen interface recognizes multi fingers gestures.
Brand support and Price: Apple symbolic picture from fruit Apple uniqueness and recognized among the
potential customers. As well, it is essential gadgets like iPhone and iPad supporting technological innovations.
Second, pricing strategy used in iPhone is also notable because iPhone would be sold at realistic price rather than other
values.
Quality: The most differentiating factors in iPhone are scratch resistant screen, durable and light metallic finish
software used to resist computer viruses. Moreover, Apple products are widely popular because of quality assurance
and added configurations.
WEAKNESSES
1
Users Interface: Apple Inc is also suffering the charge gorilla Arm in its touch screen feature because long term
users may suffer or feel uncomfortable because of flat and sold surface. However, still it is not enter under the legal
statutory case but Apple should rethink about this issue.
Balance Relationship: The grievances regarding relationship among major competitors; Intel, Microsoft and others
has been flooring massively. Being a leading competitor, Apple Inc has not given enough attention in response the
business relation with its competitors that is not found healthy. Apple Inc also failed to presence in business arena,
low profile on corporate and social responsibilities like sponsoring and donating for international humanitarian
agencies. As a result, sophisticated criticism must welcome to build core business relationship with external
business competitors and other social institutions as well.
Weak Internal Attention: Apple Inc is listed for quality assurance. In addition, Apple Inc is sets of combination of
multi divisional tasks; administration and finance, production, sales and marketing, research, innovation and
1 Gorilla arm is a side-effect that humans face when using touch screens for long times as humans are not built to
hold their arms at waist or head-height, making small and precise motions. After a short period of time, cramp may
begin to set in, and arm movement becomes painful and clumsy. This is now considered a classic cautionary tale to
human-factors designers.

development and so on. It is also being common laboratory for technocrats or techno-scientists, and numerous
personalities but in reverse the high attention to research and development division that others are complaining to be
treated balanced equally because it is said that organizational achievement is joint force of multiple wings.
OPPORTUNITIES
Developing New Partnership Modalities: ITCandos (2011) discoursed that there is collaboration between ITC and
smart phone competitors in regards of technological support. Like as, upcoming feature Facebook facility into
ordinary cell phone device. This business modal might be worth full for innovative ITC provider in terms of reducing
marketing cost and may be multi-functional revenue creature if Apple Inc deals long-run agreements.
Techno-Political Benefit: However, it is concern with integrated development of nation but associated with business
environment. The market segments strategy also helpful for Apple Inc if some countries where geo -political and
socio- economic atmosphere are favorable to establish as resource centre. For example, India is becoming resource
centre for ITC providers. Keeping in mind, Apple Inc can receive other technological benefits if part of the revenue
donated for institutional development of a country. Therefore, in induction phase, transfer of techno-political
opportunity might be vital assets of organization in long run perspective.

THREATS
ITC and Competitive Market: ITC market is fast moving and high level of competition. Often it is said that there is
unanimous battle between the ITC providers. In order to be successful, Apple Inc has paid high attention regarding
research and development, marketing so that competitive position will be holding regularly. However, data reveals
that most of the Apple profit margin gained (contributed) by iPhone and iPod. Hence, in competitive world, if this
situation fails due to collective or collaborative competition against the Apple Inc, economically it will not viable for
Apple Inc to strength the market because of product substitute effects.
Downward Pricing Pressure: Although iPhone is renowned between the age 25 to 45 years people. This is also a
market segmentation strategy. As well, iPhone is marketed high end phone among smart phone market but its price is
going fall because of product life cycle. It is understood that iPhone market almost stable at developed countries but it
facing difficulties to extant market into Asian countries due to economic and unsupported technological development.
Thus, Apple Inc might be bearing pressure on pricing strategy.
Legal or Statutory Situation: There are humble features added at Apple Inc product series. For example, iPhone and
iPod has multi-functionalist features. However, for example, YouTube, iTunes and music player facilities into phone
format. On the other hand, there are number of music industries working at competitive environment. In case of filing
case against these features without prior statutory approval, Apple Inc might be face legal or statutory situation if it
will not take seriously or address legally.

6. CONTEMPORARY ITC WORLD AND APPLE INC MARKETING ENVIRONMENT

As we know that the optimum application and utilization of ITC has taken particular instruments for social and
economical transitional of a country. Even, it can be argued that the two ways of globalization can be notified the
initiated rapid size of technological changes and countrys integrated development but the narrow side of ITC is equal
part of study. Hajela (2005 highlighted that the potential of ICT to improve productivity, foster sustainable
development, empower people, reduce poverty, build capacity and skills, assist individuals and small and medium
sized enterprises (SMEs), and reinforce popular participation and informed decision making at all levels is enormous.
The organizational ability to serve customers is considered through contemporary social and economical
environments. The revolution in ITC has reflective implications of these two environments, although marketing
environment has two different folds; internal and external environment but affects to sail on business world. As we
know, these two environments are measures or examined through SWOT and PESTLE analysis, however it is taken as
part of marketing strategy but study about PESTLE is more concern about macro marketing environment.
However, Apple Inc marketing environment tends to fluxgate in between technological benefit and market driven
product offer or in other words, demand oriented product development strategy.

Thus, Apple Inc is equally sustain in product offering market and economical advantage that help Apple Inc to stand
first class first choice in ITC world. In addition, Apple Inc has given potential attention regarding the well
combination of marketing mix 7Ps and organizational driving forces Five Ms (men, money, materials, method and
market) for the overall development. As a result, Apple Inc and its products series is becoming choice less products
from customers perspective.
Hence, these market and product segmentation strategy give more delight to become success. Apple Inc market and
product segment strategy as Kotlet et al (2009) stated that marketing environment consists of two aspects; task
environment and broad environment, but both carries consumer value positioning, calibration of technological support
and credibility of product marketing.
The pace of ITC growth is unpredictable. The organizational should aware on consequence of changes taken place in
ITC and its applications, so that the degree of effects can be minimized and quantifiable. For that, Apple Inc marketing
activities are drive to immediate response on changes environment.

7. CONCLUSION
Apple Inc is extensively renowned in product design, smart phone and communication device series, web solution,
portable digital music instrument accessories, and software and services.
The portfolio offering product series are likely remarkable and static in its quality assurance. Nevertheless, integrated
financial indicators are also discourse the positive indication, but major contribution is gained from smart phones and
communication series like iPhone and iPod.
In addition, Apple Inc has been offering fixture ITC software and product line in modern society. However, critical
analysis of PC markets, basic and smart phone strength and weakness would be significant for detecting competitors
as well. This inspection is entirely centered on Apple Inc at whole but the iPhone is the center of attention because of
extremely customer choice product that Apples are going to launch new version of the iPhone. It indicates how old
marketing strategy and market positioning still leading market logically and does it will suitable to lead market for
upcoming iPhone also.

REFERENCES
Books, Journals and Articles
Apple Inc Timeline (2010).Official Websites: [online] Available at:
th
http://www.apple.com [Accessed on: 20 April, 2011 and 23tha April, 2011]

http://www.apple-history.com and

Apple International (Apple Inc.) (2009). Apple: iPhone. Retrieved April 26,
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