The “five competitive forces and competitors” (Kotler & Keller, 2009, p.154) described by Michael Porter are the “threat of intense segment rivalry, the threat of new entrants, the threat of substitute products, the threat of buyers’ growing bargaining power, and the threat of suppliers’ growing bargaining power” (pp.154-155).
Mac stands alone from their competitors although they do advertise against the PC letting the public understand Mac is not the typical computer. Apple advertises Mac letting consumers know if they purchase a Mac they do not need an anti virus protection like PC owners as hackers haven’t been able to break Apple’s code. This could be a threat to Apple if a hacker does break the code and Mac’s start to crash.
Mac doesn’t feel the “threat of new entrants” (Kotler & Keller, p.155) as they have innovated the computer, targeting consumers who want the latest in computer technology. Apple does what others don’t do, they sell their computers from either their own store or from a licensed retailer who has an Apple representative available to answer any consumer questions.
I enjoyed your write –up on Mac vs .Industry. You are correct in stating that Mac doesn’t feel the threat of new entrants at all. Their product, although a bit more expensive than one would like to spend, provides overall the best quality without the constant fear of virus attacks. It is removing that fear is what keeps the customers loyal and willing to pay whatever the amount t...
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...rgaining power” (Kotler & Keller, p.155).
In conclusion, Apple is a market leader with Mac as they have advanced technology preventing hackers from invading the computer without anti virus protection. They are also able to sell Macs for a price double or triple the cost of a PC. The market challengers for Mac are HP, Sony, Toshiba, and Dell to name a few. For Mac to monopolize the market they must defend and continuously innovate upgrades to meet consumers needs and wants within the computer market.
Apple. (2010, January 21). Apple reports first quarter results. Apple Inc.. Retrieved February 1, 2010, from http://www.apple.com/pr/library/2009/01/21results.html
Kotler, P. & Keller, K.L. (2009). Crafting the brand positioning and dealing with competition. A Framework For Marketing Management 4th ed. Pearson Prentice
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