Apple Company has realized the fact that tablets are the new driver of its growth in the current market patterns. The company noted that tablets have become the second largest income source by injecting close to 26 billion dollars in 2013. Hence, the company has moved on to devise concrete marketing approaches to ensure that the tablet would become a stronger revenue contributor for the organization. The majority of technology companies have put more emphasis on smart phones rather than on tablets. This situation has led to a decline in the overall prices of tablets and hence this is a threat for apple which intends to make much out of tablets. As a result, the company has laid down strategies that would help to counter the price competition that exists in the market. The company has experienced tremendous competition from Samsung which has increased its production of smart phones and tablets.
For this reason, the company has been able to create the amazing Macbook Air and iMac, as well as the gorgeous iPhone 5. In simple terms the company does not only emphasis on the aptitude of the components of a product but it lays focus on the entire product. Consequently, pricing has been an important segment of ensuring that the company remains relevant in the technology sector. Apple sets higher prices in their products compared to majority of its competitors. The company believes that with a redesigned product that contains benefits and feature that cannot be matched, customers would not be hindered to purchase their products on the basis of price. However, the company had to set aggressive prices on their tablets so as to counter the increasing competition from Asian technology giants. This step was adopted for the reason of fostering the long term performance of their tablets in the market.
The company utilizes the highest level of professionalism to deliver products that would be passionately loved by their customers. Hence, the price differentiation brought about by their competitors would not be that risky to their business. Lastly, the company has been able to boost its popularity all over the world to the extent that it has created a tribe which is composed of customers who have a common interest. Apple desires to be the market leader and to achieve this it has to have a huge fan base that would drive the company to higher levels. Having acquired a favorable amount of the market share the company is confident that its growth would not be jeopardized by their competitors in the market.
Work Cited
Wakabayashi, Daisuke, & Ian, Sherr. "Apple Adjusts Tablet Strategy - WSJ.com." The Wall Street Journal - Breaking News, Business, Financial and Economic News, World News & Video - Wall Street Journal - Wsj.com. N.p., 20 Oct. 2013. Web. 27 Feb. 2014.
