Apple Incorporation recently presented an innovative device known as the second generation IPad 2. A new product that is designed as a tablet computer that serves as a conveyor of audio visual media, including books, periodicals, movies, music game and unlimited presentations. One can even access the web and preform all the tasks of a computer. The Ipad2 has a battery life of 10 hour and boasts a VGA front-facing and 720 rear-facing camera capable of still images and face to face communication.
Apple company objective is to make as much profit as possible while keep their good reputation.The company is always moving ahead with fresh and innovative ideas to improve their products. Apple’s CEO is thinking one step ahead of the competitor as to the needs of the consumer and user of the iPad2. The CEO’s wants to know how their customers feel and give them what they had not imagined the wanted.
Who would have through of a tablet computer that is light weight, 15% than its predecessor, has a dual core Apple A5 system-on-a-chip and a built-in-lithium-ion polymer battery that last up to 10 hours (Wi-Fi), 9 hours browsing and 10 hours video shooting.The Marketing Objective of Apple’s Incorporation for the iPad2 uses the Apple brand to compete across several highly competitive markets including the personal computer industry with its Macintosh line of computers and related software, the consumer electronics industry with products such as the iPod , digital music distribution through iTunes Music store, the smart phone market with apple phone, magazine, notebook, games and applications publishing, the pasture for phone and iPad tablet computing device, movie and TV content distribution with apple TV.The company has established a very strong presence to rival Google in the advertising market, via its apps business and aid network. For the past several years Apple’s product strategy involved creating innovative products and services aligned with a “digital hub” strategy, whereby Apple Macintosh computer products function as the digital hub for digital devices. Devices include the apple iPod, cellular phones, digital video and still cameras. The company is offering an in line, synchronized, and integrated user experience across all of its main devices, using cloud as the hub.
Cloud enables Apple to extend the brand experience across all of apple’s mainstream products. Apple has invested in a 500,000 (soon to be a one million) square foot Apple Data Center in rural North Carolina. This data center will be used as the core of a data repository for Apple’s iCloud services, which will enable Apple to leverage its customer franchise into an even broader market space. Apple iCloud is one of many ways in which Apple and Google are fast becoming arch rivals.Apple strives for continuous improvement in our environmental, health and safety management systems and in the environmental quality of their products, processes, and service.
This reflects the mission statement: “Committed to protecting the environment, health and safety of our employees, customers and the global communities where we operate”. Apple recognizes the important of integrating sound environmental, health and safety management practices into all aspects of the business, they can offer technologically innovative products and service and yet enhance resources for generations to come.The company’s best–known hardware products are the Macintosh line of computer, the iPod, the iPhone and the iPad. Its software includes the Mac OS X operating system. Apple is the largest publicly traded company in the world by market capitalization and the largest technology company in the world by revenue and profit.
In September 2011the Apple Inc. had over 60,000 permanent full-time employees and 2,900 temporary full-time employees worldwide. The company grew $108 billion in 2011 through the annual sales worldwide.The iPad uses Wi-Fi network trilateration from skyhook wireless this provide location information application such as Google Maps and the 3G support A-GPs .
September, 2011 was the best financial reporting that Apple had ever had. The $28. 27 million was the quarter’s revenue record-breaker. Tim Cook and Peter Oppenheimer, CEO of Apple’ s Inc.
expanded on the numbers during the conference. iPad sales were a record breaker with sales up 166%. The fiscal year ended in September 2011with Apple Inc. financially new heights of $108 billion in revenues and nearly $82 billion in cash reserves.
Apple announced plans for a $2. 65 per share dividend beginning in fourth quarter of 2012 per the approval of the board of directors Upon the launching in March 2011 the iPad2 sold out in many major city stores within hours and the online shipping delays had increased to five week within five days with a predicted sale of 35 million iPad2s in 2011. The iPad 2 was released internationally in 25 other countries. Countries included Australia, Belgium, Canada, France, Germany, Ne w Zealand and the United Kingdom to name a few. The 32 and 64 GB models were iscontinued with the launching of the third generation in March of 2012, but in the past five years the stock has gained an average of 56% a years.
Apple incorporation is marketing to people who have the following characteristics; 1. The middle/upper income folks who are willing to pay a bit more for a better experience with new technology. The technical and computer geek do not mind paying $500 for a computer. 2. The people that like have fun with technology and are computer savvy. The people that like to shoot digital photos or videos.
Apple offers many entry level tools.It’s the whole digital hub concept that people are starting to buy into. 3. Music enthusiasts and fans from age 12 and up.
Downloading music, pictures and videos is a love of most young at heart and will be made easy with the 720 HD still and video camera there is a 20Hz to 20,000 Hz audio formats, MP3 VBR , audible, apple lossless, AIFF and WAV, which support 5. 1 Dolby digital surround pass –through sound. The introduction of the iCloud is a plus of the music and video lover. iCloud is an online storage and syncing service of music, photos, files and software which replace MobileMe.
4. Professionals in media and design.The ipad2 is has the graphics power VR. It is also offered in black or white frames. The iPad has added a dual core apple A5 processor that has double processing speed and graphics processing nine time the speed of it predecessor. The first two groups do overlap, but the Apple ipad2 has a huge market, more than 5%.
The markets are for those that will pay to have the newest gadget and don’t mind paying for seat warmers. Apple’s target market problem is the status quo. Apple’s Incorporation market share and success will grow in the next ten years for the simple reason that generation X and Y have been exposed heavily to the internet.The ‘compatibility’ problem died when the people who believe in the ‘compatibility’ are no longer young. The iPad2 is a tablet device that has several features; it looks like a bigger iPhone, or iPod Touch Pad.
It has four physical switches, including a home button near the display that return the user to the main menu, three more on the side for wake/sleep, volume and switch that rotate the screen or lock it in place. The iPad2 has reduced the size by eliminating the stamped sheet metal frame, they integrated new thinner glass technology for the touch screen overlay, and reduce the space between the display and battery.Yet it is stronger and lighter than the original iPad. The iPad2 supports screen mirroring via the digital AV adapter and airplay as of IOS 5 (iPhone Operation System).
It is powered by a rechargeable lithium-ion polymer battery that is only 2. 5 mm thick, 59% smaller than the original and has three cells instead of two. The battery is stated to last up to 10 hours with a power adapter that provides 4x the power of the conventional USB port. The iPad2 has a smaller footprint than the original, the rounded edges means it more comfortably in the hand and comfortable to hold.This makes the iPad2 the sleekest tablet computer on the market.
The outer shell is complemented by a “smart cover” that removes smears of thumbing and prodding the screen. The iPad2 can be purchased at multiple price points. The base model 16gb without 3g capability is the cheapest at $499, the 32gb cost $599, and the 64gb will retail for $699. If a customer wants 3g capability they will have to pay an additional 4130 on top of the base price. The place that the iPad2 will be sold is Apple outlets that Apple product are sold.
Example; retail outlets, AT&T, Best Buy stores, Wal-Mart, online and every retailer in the states that sales Apple along with the 25 international countries, including; Finland, Luxembourg, Mexico, and Portugal to name a few. In the United States alone there are 284 Apples stores that one will be able to find the products that fit their life style and price point. Apple held a press conference to debut the product. The CEO at that time Steven Jobs introduced the second generation of the device in that press conference in March 2011. Several major techblogs and websites (zdnet, gizmodo, engadget) also covered the event.
Given Apple’s track record of heavy promotion and advertisement of it marquee products , the iPad2 had a high probability of getting the advertising treatment. The iPad2 was already highlighted on the front page of Apple’s website with the hour long keynote by Steve Jobs regarding the iPad 2. There had not been a TV advertisement for the iPad2 before it was released to the market. There was high anticipated heavy promotion within the months as the iPad2 was due to be released around March. Apple retailer had customers lined up in the first few hours of launching the iPad2 and within hours were sold out. 0% of iPad2 buyers were new customers.
The record number of was on track to be sold in the first opening weekend, 400,000 to 500,000 units. The breakdown percentage for iPad2 customers Mac-PC ownership is 51-49compared to 74-26 for the original iPad buyers. Some survey finding: 53% purchased the iPad2 for the wi-fi only compared to the original na. 38% will use the iPad2 to surf the web compared to37% with the original.
Those that have PC’s or a Mac and know the iPad2 will use both 97% and only 3% will replace the Computer.The greatest immediate draw to the iPad2 will be the cameras which is claimed to be the user’s most wanted function. The rear-facing camera is best used with FaceTime, Apple’s video functions. It is through most people will not want to walk around in public with a 10 inch x 7inch computer.
Who are most likely to buy the iPad2; age 18-34 and the men are among the first user outnumbering the women 2:1. The business professional that keeps research and plan for presentation will use the new iPad to keep data close not to carry notebooks making carrying much lighter.Those that are among the brand loyalty and multi-touch screen (37%) they trust Apple will try new products and get it right. Do not forget our music lover.
Playing music over the internet and easy to carry everywhere with all other feature at hand. The demographic data is outstanding, with a iPad application one may create demographic and statistics, as did the State of the Union, and with a tap of the screen stats can be displayed that will visualize any number for an entire country. Demographic, death, births, diseases, risk factures and the living status. Apple’s Inc. Pad2 competitors still can’t match their design efficiencies.
The IOS operating system that is controlled by apple allows it to reduce cost by limiting memory quantity and utilizing thinner batteries. the ownership of Paten’s and control of both the operating system and hardware design help to attain design efficiencies that other tablet manufactures cannot. The economic environment has not affected the growth or sale of the iPad2. There were record sales and profit margin. There was no surplus as through to be in the beginning.
Apple tend to be very cautious when it come to the environment and how it affect the sales and profit.The kindle Fire and Samsung Galaxy tab series may be cheaper but lake in features. One of the most successful strategies from Apple is it way to build a “brand fanaticism’. The customers have a psychological conception that Apple’s products are trendy, fun and sound. They created a single point of app stores that is obviously a tremendous way to keep its users coming back.
Currently there are about 65,000 apps specifically built for iPad’s. This do not include the 290,000 phone apps that can still be used in iPad as a lower resolution. Apple controls its interface and application ecosystem and any program that oesn’t fit with the Apple vision is strictly forbidden, no matter the necessity to regular web or internet use.As we look at legal and political, Apple Inc. had it share of optical. One of the battle between a little known Asian company and the world’s most valuable technology corporation dates back to a disagreement over precisely was covered in a deal for the transfer of the iPad trade mark to Apple in 2009.
Proview accused Apple of creating a special purpose entity, IP application Development LTD or iPad to buy the iPad name from it concealing Apple’s role in the matter. A Chinese firm try to stop Apple Inc. rom using the iPad name in China and has filed lawsuits in china and in California that accused it of employing deception when it bought the trademark.A court in Southern China has rejected an Apple claim that a Hong Kong-headquartered tech company has violated its iPad trademark, the latest development in a case that could affect the tech giant’s financial prospects in a huge emerging market.
In spite of the difficulty with a lawsuit in 2009 the company has crossed all continence with the sales of the iPad 2. In March 2011 Hong Kong, Japan and south Korea was a part of the internationally 25 countries that the iPad2 was released.The released of the iPad and the large sale volume around the world has change how people read books, do business, and play games. With the gaming system people can set in their home in North America and play game with someone in Portugal or Spain. Global cultures and social environment gap is closing.
The Apple Incorporation has it strength, weakness, opportunities and threats. The strength of being on the cutting edge of technology and designing a product that appeal to Apple’s loyal customers. The weakness is the completive pricing. The products are often expensive and only certain group can afford to purchase.Better quality control implementations-the Apple Inc. can implement better quality control procedures to enable in providing more magical and revolutionary quality product to consumers.
The treats are strong with the tough competition in today’s global oligopoly as industry is being influenced by many major competitors such as Nokia, Samsung and Dell. Apple may face political instability in some countries as internal political power struggle transpires. This may stop the launching of new product in countries such as Asia and South Africa, even with vast market opportunity.
