The picture that will be analyzed throughout this paper is of an Apple store that is completely full of people. As a person views this picture, it is obvious that there are a lot of people there, either waiting or standing at a Mac, iPod, or iPad. The reason that this is significant is because this happens daily, depending on location. Apple is a company that has been around since the 1970’s, but has become very popular within the last 5-10 years. A person may ask why people would want to stand in an Apple store waiting around for hours at a time. There are countless reasons that will be explained throughout this paper.
People never have enough goods, and are always wanting more and more. It is human nature to want more than what we already have. Scarcity indicates that there is less of a good freely available from nature than people would like. Some of these people are waiting in the store, because they have to wait for their product that was not freely available. For example, most people have to order their iPhone 4s’s ahead of time, because the product is scarce. Scarcity also brings out rationing, which in this case the people who have extra money for an Apple product are normally the people that will get this product first. People also have a choice to select one product over another. Some of these people are waiting in this store because they have made the choice of selecting this Apple product over another product made by another company such as Windows.
The people that are sitting and waiting in this Apple store are choosing to be here over being or somewhere else or doing something else. This is called opportunity cost. These people believe that their time at the Apple store is more valuable to their time than doing something else such as working. A person that could be getting paid $10 an hour, instead is at the Apple store for 2 hours, so being at the Apple store must be worth more than $20 to that person. Economizing behavior is choosing the option that offers the greatest benefit at the least possible cost. These people that are choosing these Apple products believe that they are going to receive the greatest benefit from the certain product that they bought, and although many people say it is not cheap, they would agree that the quality is the reason for the price.
Apple provides many services and products, which allows for many different reasons for people to go to the Apple store. Some people may be going to buy a product, while others go to ask questions, resolve insignificant situations, and even get taught how to use their new product. The Apple store has been using their limited resources efficiently, which has allowed them to be as successful as they are. They offer just as many products as they do services, which is why there are so many people in the store daily. Their production possibilities has only grown outward in the past 5-10 years, and is continuing to grow outward, because they keep on offering more and more products and services. Apple invests their time, effort, and money in new products, which could potentially push the production possibilities outward. They are also top of the line in technology. When a company is further along in technology than other companies, then they will have a better chance in improving their possibility to make a sale, which in the end they will make a larger profit. Apple is usually the company that invents something new, or at least they have been the founders of new inventions over their competitors. When businesses invent something, then they have an advantage over their competitors because they have the first sale, they have more people’s attention, and they have more experience in the creation of the product, which will allow them to know and understand the new product better than their competitors.
Apple is extremely smart in their innovation and creative destruction. Part of the reason for Apple’s success is...