Iphone in South Korea

Topics: Mobile phone, South Korea, Marketing Pages: 13 (3702 words) Published: December 3, 2012
Table of Contents

Table of Contents1




1. What are some of the competitive forces that have made the business environment for Apple more complex in recent years?4

2. Which aspects of the South Korean market have significant implications for the success or failure of the iPhone in the market and why?6

3. Besides market entry strategy and marketing mix, what other aspects of the planning process should Apple consider before entering the South Korean market? 8

4. Discuss the relative pros and cons of each of the marketing mix elements Apple might consider implementing in its strategy. In your opinion, how should Apple approach the iPhone’s entry into the South Korean market?10

5. Assuming Apple implements the strategy you have outlined in question 4, identify some ways in which Apple might monitor the progress and success (or failure) of the marketing mix.14



Assalamualaikum w.b.t, first of all, we would like to thank ALLAH for blessing us. With ALLAH blessing, we have managed to complete this case study report.

This report represents the endless efforts of a continuous learning process involving many individuals. For those who have contributed their time and ideas, we are sincerely appreciated it, especially to our Global Marketing lecturer, Prof. Madya Dr. Roaimah Binti Omar that has guides and supervises u. Without their ideas, support and guidance, this report would probably be null and meaningless.

Our gratitude also goes to our fellow classmates and friends that have shown a good assistance to us during the process of completing this case study report. They have given us a guidance, inspiration, motivation and full cooperation throughout the process of this. Not to forget our thanks to our parents and family for their time and efforts in giving us strength to finish up this report on time.


The enthusiasm for the IPhone launch in 2007 seemed universal. However, Apple decided to not enter the South Korean market until 2008 as the market requires special attention since many other failed before due to a lack of research and the wrong strategy. The case study discusses the implications of the South Korean market conditions and its environmental factors in regard to the special market requirements in context to the entry mode and marketing mix for a successful launch of the IPhone.

The competitive forces in the market environment force Apple to clearly position its product and be aware of its micro-environment. South Korea is a ‘Newly Industrialised Economy’ and ‘Emerging Market’ wherefore a profound research in regard on the macro-environment is substantial to identify opportunities and threats.

In this case study, we will considers these environmental opportunities and threats and puts them in relation to Apple’s global product strategy in regard to the Korean customers needs and wants by adapting its marketing mix accordingly.

1. What are some of the competitive forces that have made the business environment for Apple more complex in recent years?

Before entering the South Korean market, Apple needs to critically evaluate the competitive forces that have made its business environment more complex in recent years, by taking into account Porter’s five forces

Porter’s Five Forces:


The threat of new entrants seems to be a problem for Apple because as South Koreans concern in using mobile phones with the latest technology and features, there are high possibilities for them to switch phones. The customer switching costs and their brand loyalty are very low, which makes it easier for new entrants to compete....
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