People who seek to purchase new phone in emerging markets are price-sensitive, whereas Apple’s iPhone models are normally set at higher price due to their better quality and satisfying apps performances. Apple’s continues to target at high-end market, even when demand for lower-price devices accelerates in emerging markets, is the primary reason why it’s losing market share worldwidely. 2) Competitors offer a broader selection of designs and prices than Apple’s iPhone. Competitors of Apple included HTC, LG, Blackberry, and the core competitor is Samsung. Each of them has different sizes, prices, and technologies on their products.
Apple: Apple, while trailing Samsung in the overall global market share , does retain the top spot in the U.S. (IDC, 2015). Apple has positioned itself as the trendy pick for most smartphone users, and while research shows that that is not necessarily the case, it is nonetheless an effective campaign. Before spending time researching the smartphone market share I would have thought Apple dominated the smartphone market
Despite the fact that many people in the world prefer using Android, Apple still is the best smart phone choice for Viet Nam. Apple, with its large offering of applications (apps), user-friendly technology, and superior speed compared to other brands make it the best smart phone option for consumers in Viet Nam. The first advantage of Apple as the best choice for Vietnamese smart phone users is its large offering of apps. According to Forbes, there were 998,919 apps as of Dec 9 and 138 apps being added everyday. Nowadays, not only are children addicted to video games but adults too.
One of Apples more recent iPhone model, the iPhone 5 which came out in September of 2012 was soon replaced by the iPhone 5c and 5s which came out a year late. Samsung stocks are slowly creeping past Apple's which have dropped 37% scene September 2013's all time high- just two days before the iPhone 5 was available in stores. In comparison IHS iSuppli, an industrial data website specializing in electronic/ media services reported that Samsung held 28% of global smartphone markets in the previous year. Samsung VS Apple A recent survey from a research investment firm called Canaccord Genuity concludes that more recent Galaxy phones sold more combined units in the U.S than Apple’s iPhone did in May of 2013. Respectively Android and IOS operating systems represented 91.1% of all smartphone shipments during the 4QT of 2012.
It is 2013 and the smartphone industry shows high profit potential when considering the Five Competitive Forces. While there are many firms in the market, Samsung and Apple are the two largest accounting for nearly half of the smartphones shipped worldwide. Samsung and Apple continue to offer differentiated products while their incumbents produce relatively inexpensive standard goods. The threat of a new competitor entering the market is high. Google offers its Android operating system free-of-charge and it is also free of any patent restrictions.
Those suggesting that Samsung will not win this battle are wrong. Samsung is a powerful and innovative company, which has worked hard to take the lead in this battle. Its new problem solving method and low cost high quality products seem to be making the company’s sales rise. Although this battle between the two most important smartphone companies is not over, Samsung’s victory can be predicted. It is currently leading Apple in two of the largest markets, India and China and has managed to produce low cost high quality products, which adapt to all customers tastes.
Therefore, despite Apple having numerous products, its primary competitors will be evaluated primarily from the smartphone product point of view. Apple’s primary competitor is South Korea’s electronics company Samsung. The two have held the lion’s share of the global smartphone market for a long time. As of April 2017, Samsung had outsold Apple, which led to the former having a market share of 26.1% when compared to Apple’s 16.9% during the same period (Reisinger, 2017). The improved performance of Samsung was on the backdrop of the failed launch of the Samsung Galaxy Note 7, which had problems with its battery allowing Apple’s iPhone to temporarily take the top spot (Reisinger, 2017).
As we see iPhone is the biggest revenue contributor for Apple and company heavily relies on it. Although there are many different competitors, Samsung has been the biggest one especially when it comes to high end smartphones. As of 2015 Apple market share of high end smart phones is 57%, it has been consistent high since first iPhone came out. However, Samsung is catching up with a market share of 27% in 2015, compare to just 18% in 2011 (Business insider). But situation looks different in smartphone market in general.
Back to 2007, when iphone released by Apple, Apple had own mobile phone market. Due to manufacturing prowess advantage, meanwhile enabled to produce and sell it lower price than other competitors. The great combination between good product and low unit cost leads outstanding result- giving Apple company about 30% profit margin and allowing it to a mass a staggering $150billion in cash. Samsung had tough time and struggling in the smartphone market but after few years Samsung become Apple’s biggest competitor by a very wild margin. There are some core strategy that leads the Samsung to be a great company.
No other manufacturing firm offers as many options as the Apple Inc. The third characteristic of Apple’s target market is the Media and Design that are 2 groups that make part of a huge market. Apple’s market share and success will increase in the next decade because our Generation X and Y who have been exposed to the internet... ... middle of paper ... ...tly, Samsung has joined partnership with PayPal. Furthermore, Nokia is trying to continue competing with the main smart phone leaders, Apple and Samsung after their introduction of their Smartphone, Nokia has decreased its sales drastically. One of its latest smart phone released is the Nokia Lumia 930 where it features with the latest Windows operating system.