SM INTERNATIONAL MARKETING

SM International Marketing

SM International Marketing

BACKGROUND

Apple Inc is an American multinational corporation that designs and markets consumer electronics, computer software and personal computers. The company is best-known hardware products include the Macintosh computers, the iPod, the iPhone and the iPad. Apple software includes the Mac OS X operating system; the iTunes media browser; the ilife suite of media and the creativity software; the iWork suite of productivity software; Aperture, a professional photography package; Final cut studio, a suite professional audio and film-industry software products; and logic studio, a suite of audio tools. As of 2010, the company operates 284 retail stores in 10 countries and an online store where hardware and software products are sold.

Established on April 1, 1976 in Cupertino, California, and incorporated January 3, 1977 the company was previously named Apple Computer, Inc. for its first 30 years, but removed the word “computer” on January 9, 2007 to reflect the company's ongoing expansion into the consumer electronics market in addition to its traditional focus on personal computers. As of the end of 2009, Apple had 34, 300 full time employees and 2, 500 temporary full time employees worldwide and had worldwide annual sales of $42. 91 billion in its fiscal year ending, September 26, 2009

CUSTOMER BASE

Market research indicates that Apple draws its customer base from an unusually artistic, creative, and well-educated population, which may explain the platform's visibility within certain youthful, avant-garde subcultures. (Ian Fried) Apple store openings can draw crowds of thousands, with some waiting in line as much as a day before the opening or flying in from other countries for the event

MARKET POSITION

Apple has positioned itself to a certain type of customer, wealthy people, innovators, people with good jobs, good lifestyle, etc. If Apple targets the poor man type, the trendy guys will stop buying Apples, because everybody can and Apple is not the Porsche of the computers anymore, this would hurt more the brand than maybe the increasing sales because of lower prices, and in good times, where everybody has more money, Apple would have the problem that they cannot raise prices, because everybody expects a cheap Apple.

STAKEHOLDERS

THE MENDELOW MATRIX (1991) AUBREY MENDELOW

Level of Interest

Low High

A

MINIMAL EFFORT

General Public

Casual unskilled

Competitors

B

KEEP INFORMED

Press and Media

Unions Labour organizations

Regulatory bodies C

KEEP SATISFIED

Government

Creditors

Shareholders

D

KEY PLAYERS

Research and Development team

Managers

Suppliers

Customers

AUDIT

1. SWOT ANALYSIS

STRENGTHS

Apple products have good brand loyalty.

Strong research and development.

Web technology can be used improve product awareness and sales.

Apples niche audience provides the company with some lagging from the direct price competion.

WEAKNESSES

Weak presence in other markets other than education and publishing.

Apples market share is far behind from major competitor Microsoft.

Weak relationship with the major players like Intel and Microsoft.

The product life cycle of apple products are very small for that reason revenues are more depend on launch and services.

OPPORTUNITIES

Increase in worms and viruses on PCs so the anti-virus solution can be developed by apple.

The online sales of computers are increasing with rapid ...