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Market Position Analysis

MARKET POSITION ANALYSIS 1

Institution Affiliation

The marketposition of an organization determines its performance in the highlycompetitive business environment. As a result, businesses developtheir marketing strategies according to the needs of the clientele aswell as the existing competition dynamics (Weisbein, 2008). In thispaper, the primary focus of analysis will be on Apple Inc.specifically the study will examine the company’s iPod businessportfolio and identify the value proposition, market position and thecompetitive advantage of the firm’s product.

Apple Company wasfounded by Steve Jobs, Steve Wozniak, and Ronald Wayne in 1976. Sinceits inception, the firm has undergone various changes in its quest tobe the leading manufacturers of electronic gadgets in the world(Sigal, 2010). Through massive innovations, the corporation hasdeveloped a series of products to counter competition from otherelectronic giants such as Samsung and Sony (Weisbein, 2008). One suchproduct that revolutionized the market was the introduction of theiPod under the company’s “Digital Hub” strategy. The MP3 Playerlaunched on 23rd October 2001, highlighted the tremendous level ofinnovation and aggressive marketing techniques that have made Appleone of the leading firms in the technological world (Sigal, 2010).

Apple Companyintroduced the new product to fill a gap for the music lovers.Through the iPods, the customers were able to save several tracks ofmusic on their portable gadgets, and as such, the product was deemedto be more convenient (Malin &amp Finkle, 2011). One of the majorfeatures of the iPods that were incorporated into the company’smarketing team was maintaining the same exterior design for thegadget. As such, it was easier to recognize an iPod as soon as onesaw it (Weisbein, 2008). Despite Apple not providing any form ofdiscounts on the MP3 Players, the company offered various bundles forits customers thereby allowing them to purchase the iPod alongsideother products. The commodity was also made available throughdifferent online stores as well as the company’s shops and otherleading retail outlets such as Fry’s, Best Buy, and Circuit Cityamong others (Sigal, 2010).

Customersegmentation is the process through which a homogenous market issubdivided into various sections to meet the targeted needs(Weisbein, 2008). It is a strategy used by business organizations tomeet the demographic and budgetary constraints that may exist. Therebooting of the iPod nano and rolling back of the iPod shuffle wasan indication of the differentiation strategy being employed by Apple(Sigal, 2010). The former had other applications such as Liteinstalled and touch as the input method. On the other hand, iPodshuffle uses buttons as the input criteria (Sigal, 2010).

The company hasbeen able to satisfy their customer needs by focusing on the ease ofmobility. There has been a transition from devices that are wearableto those that are pocket-able over time. Additionally, the inclusionof additional programs such as iOS and MacOS has also appealed to theneeds of the company’s clientele (Sigal, 2010). Innovativepractices at Apple have ensured that the business organization staysahead of other competitors. The firm has maintained the periodicrelease of products thereby meeting the expanding demand for itsproducts. As a result, innovation is Apple’s primary source ofcompetitive advantage (Malin &amp Finkle, 2011). The innovativeaspect of the firm and the subsequent upgrades on the products hasensured that the business’ production process is sustainable in thelong run (Malin &amp Finkle, 2011).

According to thefinancial information, Apple continues to lead its competitors in thestock market performance (Sigal, 2010). In the first decade of the21st Century, the company launched three main products namely iPod,iPhone, and the iPad in 2001, 2007 and 2010 respectively. Within thesame period, Apple has outperformed competitors such as Google,Microsoft, Intel, and Dell (Sigal, 2010).

Matrix

Google

Microsoft

Intel

Dell

Apple

Mobility

2

2

1

1

2

Input

2

2

2

2

2

Applications

1

2

1

1

2

Price

1

2

1

1

0

Availability

2

1

2

1

0

Key

0 = need not met1 = need partially met2 = need fully met

References

Malin, M. &amp Finkle, T. (2011). Apple Inc.: Product PortfolioAnalysis. Journal of the International Academy for Case Studies(2011)

Sigal, M. (2010). Apple`s segmentation strategy, and the folly ofconventional wisdom. Radar. Retrieved fromhttp://radar.oreilly.com/2010/09/apple-segmentation-strategy-an.html

Weisbein, J. (2008). The iPod Success: Thank The MarketingDepartment. BestTechie. Retrieved fromhttps://www.besttechie.com/the-ipod-success-thank-the-marketing-department/