Global Marketing Strategy of Apple Inc. Get Free Solution

Question: 1. Describe about the Apples global marketing strategies in terms of developing the competitive edge and sustainability strategies? 2. What should Tim Cook extrapolate, and why? 3. Please address John Tarpeys concerns? Answer: 1. In the globalised world, Apple Inc is one of the major telecommunication provider brand. Apple is offering their product users in obtaining best possible experience. Apple is empowering customers demands their innovative products and services. Apple Inc is facing intense challenge from the global competitors like Blackberry, Samsung, HP, Nokia, Microsoft, HTC, Lenovo and Motorola. Mainly Apple Inc is offering global customers with hardware, software, and peripherals regarding the telecommunication and computing devices via online shopping channels from the year 2010-11. The organisation is having high brand value (Apple.com, 2015). In addition, Apple Inc is offering post sales services and internet policies for the global customers. In addition, in the post-recessional market, people are looking for technological advantage for meeting daily actions and lifestyle related action strategies. Business strategy of Apple is emphasising on the design and features of operating systems tha t are used and self developed for mobile or cellular devices like I-Phone, I-Pad and many other Apple Mac Book by the year 2008-09. These are all Apples operative policies. On the contrary, Increasing IT market competition is limiting the share of the market. Therefore, marketing and advertising campaigns are required to be modified in terms of managing customers attraction and perception. Apple Inc is proving to have the capabilities of developing positive brand awareness among the global customers. The logo of Apple is playing a vital role in creating stronger demand of products in UK other global markets. Apple is incurring the annual advertising budget of more than $1 billion during the years of 2013 and 2014. They are promoting products rapidly to meet the competition from Samsung Electronics, Google, Microsoft, and Dell who are mainly the leader of IT industry (Apple.com, 2015). 2. Tim Cook being the CEO of Apple Inc must be aware of the market state as well as developing certain competitive strategies that will increase the rate of market share and profitability. In addition, he is supposed to manage the threat of Samsung Electronics, IBM, Dell, Google, HTC, Microsoft, Motorola, LG, Hewlett-Packard Company in terms of mobile or computing devices. Apart from this apple is also facing the challenge from the Lenovo, Sony, Blackberry, and many other regional organisations. Therefore, he must be employing proper policy of marketing and promotion in meeting the challenges from the market. However, he will face certain complexity of selecting viable channel in meeting the market attributes. Moreover, he will faces the complexity of image related problem that Steve Jobs have on the customers and after his death Tim Cook will face an uncertainty among the peoples. Therefore, he bmust be involving the brand value by producing more fault free Apple products. Tim Cook must be employing proper strategies in terms of managing threat of competitions, economical sustainability and managing technological development. Apple is facing intense level of competition that is hampering the growth in technology markets (Viju, Yeung Kerr, 2013). Tim Cook must be developing research and development related strategies to develop products as per customers demands and perception. In addition, products pricing strategies must be concentrating on the financial and purchasing power of the customers. Mainly, Apple is offering luxury products and marketing policy must be designed in obtaining feasible competitive proportion. However, market analysis is providing certain faulty reports in the products like iPod and Apple Mac operating systems. Therefore, CEO Tim Cook must be developing certain strategies to mitigate the faults and develop the products to attract customers more. Distribution policy of Apple must be developed in certain manner that they can reach more customers (Apple.com, 2015). 3. John Tarpey, senior financial analyst of Apple, has some serious concerns about the financial growth of company. Tarpey implemented a comprehensive analysis of the 2010 financial performance and strategic strategies of Apple Inc. He was concerned about how Apples performance continued to be outstanding, while the world and US economy was falt to negative. He soughed answers to the question that if Apple could sustain this high level of performance and major innovation. Tarpey noted that there were nine positive Increases versus three negative ones and that Apple need to take some solid steps to outweigh the negative effects of 2009 world-wide crisis. He was also concerned about the important supply as well as pricing risks of company while achieving an outstanding economical growth in even negative and flat fiscal conditions. After analyzing Apples most recent balance sheets and Income statements and integrating that information with his knowledge of the company, Tarpey was unsure if he should tell his customers to buy, hold, or sell Apples common stock. Apples stock price had done very well over the past few years and the company was still the leader of the industry and a solid performer. However, Tarpey had a number of concerns about the companys future. For example, how dependent was Apple on Steve Jobs and how long would it take for Apples competitors to catch up with the companys lead in product development and perhaps even surpass Apple? It is essential that Apple continue to grow to remain a strong competitor in the industry. Tarpey should advice shareholders to hold their current stocks. If company continues to grow, shareholders would Increase in value. Tarpey outlined concerns in the Zero based economy or the world-wide crisis faced by leading technology provider like Apple. He was also concerned about stakeholders. In addition, he is also concerned for index pricing risks of company while achieving an outstanding economical growth in even negative and flat fiscal conditions (Apple.com, 2015). It is essential that Apple continues to grow to remain a strong competitor in the industry. Tarpey is facing the complexity in terms of advising shareholders to hold or sell their current stocks. However, Apples continues to grow and accordingly shareholders can Increase the values of their stock (Apple.com, 2015). In addition, global sales of the apple products are reducing due to competition therefore stakeholders are confused regarding dividend payout and liquidity of the organisation. As well as Tarpey is concerned about the prospective fall in sales after death of Steve Jobs who is mainly the face or image of Apple group of companies. In addition, it is observed that the Apple is earning growth in the sales and profitability during the year 2008 to 2010 so Apple is able to cope up with financial crisis related challenges. References: Hoffmann, A. (2014). Zero-interest Rate Policy and Unintended Consequences in Emerging Markets. The World Economy, 37(10), pp.1367-1387. Viju, C., Yeung, M. Kerr, W. (2013). Zero Tolerance for GM Flax and the Rules of Trade. The World Economy, 37(1), pp.137-150. Moustafa H. A., Hitesh , J. A., et al. (2011), Apple Inc.: Performance in a Zero-Sum World Economy, General Issues in Strategic Management, 7(4), pp- 1-15. Apple.com, (2015). Apple (United Kingdom) - Apple Press Info. [online] Available at: https://www.apple.com/uk/pr/ [Accessed 13 Feb. 2015]. Apple.com, (2015). Apple (United Kingdom) - Apple Press Info - Apple Reports Fourth Quarter Results. [online] Available at: https://www.apple.com/uk/pr/library/2014/10/20Apple-Reports-Fourth-Quarter-Results.html [Accessed 13 Feb. 2015]. Apple.com, (2015). Apple (United Kingdom) - Apple Press Info - Product Images Info. [online] Available at: https://www.apple.com/uk/pr/products/ [Accessed 13 Feb. 2015]. Apple.com, (2015). Apple (United Kingdom) - Apple Press Info - App Store Sales Top $10 Billion in 2013. [online] Available at: https://www.apple.com/uk/pr/library/2014/01/07App-Store-Sales-Top-10-Billion-in-2013.html [Accessed 13 Feb. 2015].