Apple Marketing Case Study

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Marketing Strategy from 1970-1999
Marketing Strategy: 1. The Early Years 1976- 1980 • By the end of 1970’s Apple had a staff of computer programmers and designers and a production line. After Apple II they introduced Apple III in May, 1980. The main competitors for Apple were IBM and Microsoft competing for market share. In 1984 Apple launched Macintosh which was initially sold well but the follow up sales were not strong. The computer industry destiny changed when the Laser writer were introduced. The Mac was powerful in the market due to its advanced graphics capabilities which was already necessarily built in to create the intuitive Macintosh GUI. At that time it has been suggested the combination of these three products was caused for the creation of desktop publishing market. As the desktop publishing became widespread, the sale of Apple has reached new heights and the company has offered its first public offerings in September 7, 1984.

2. ‘first golden age’1 • After the failure of Bulky Macintosh, Apple changed its strategy and offered Macintosh Portable in 1989. In 1991 Apple introduced PowerBook which made the basis of the modern form of ergonomic layout of laptop computer In the same year Apple came up with its new operating system ‘System 7’ which added color to interface and enhanced the networking capabilities. The Apple’s strategy to attach the market with other products like digital cameras, portable CD audio players, speakers and video consoles did not work well for Apple. The main focus of Microsoft was to gain market share with Windows, focusing on delivering software with cheap commodity where as Apple was even though was rich in engineering matter but was bit expensive. In 1994, Apple allied with Motorola and IBM. The aim was to create a new computing platform ‘Power PC Reference Platform which would use IBM


MacAddict a famous magazine named the period between 1989 and 1991 as the ‘first golden age’ of the Macintosh.   1


and Motorola hardware coupled with Apple’s software. The AIM alliance worked for Apple and Apple’s software left the PC far behind. Apple introduced Power Macintosh the first time of many Apple computers to use IBM’s PowerPC processor. Branding and Customer Strategy: • Target customers: knowledge workers use productivity applications in all of Apple's traditional market segments: business, education and home. In order of priority, Macintosh is horizontally targeted at knowledge workers in the following U.S. markets: a. Medium Business (Sales > $ 5 million and < sales of Fortune 2000) b. College c. Small Business (Sales < $ 5 million) d. Large Business (Fortune 2000) e. Home It is anticipated that the three...
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