Report Into the Tablet Pc Market: a Comparison of the Apple Ipad and Amazon Kindle
Report into the Tablet PC market:
A comparison of the Apple iPad and Amazon Kindle
MNGT 574
Group B
Executive Summary
During this report we have analysed the industry structure of the tablet PC market. We have examined the current strategies adopted by the current market leaders, Apple and Amazon, and their tablet PCs, the iPad and Kindle Fire. Having highlighted issues within the strategies they are operating, through the use of a SWOT analysis, we have identified key strategic issues that are affecting the sales and growth of each of these companies. By examining the value chain of each company we are able to justify the strengths of each company and suggest ways in which they can adjust their strategy to utilize these strengths for future growth. Having identified these key issues we were then able to provide recommendations for each company for better performance in the future; the key recommendation to Apple was to focus more on the developing business and enterprise market segments. The key recommendation to Amazon was to consider a more global strategy by expanding the markets they currently sell the kindle in; this should in turn provide them with global economies of scale allowing them to operate a more sustainable long-run strategy.
Industry analysis
Although tablet hardware has been around for many years, the modern tablet PC that we know today has only recently been developed with Apple at the forefront of this; the iPad was the first innovator in this industry to truly realise the potential that tablet PC’s could have. The versatility of tablet PC’s and limited function ability makes them useful for content use only, meaning that at present they pose no immediate threat to the laptop market. Tablet PC’s are designed to be lightweight, small and convenient to use; qualities which Apple perfectly adopted in the first iPad.
At present it is possible to divide the tablet market into the following main segments, each with different
A comparison of the Apple iPad and Amazon Kindle
MNGT 574
Group B
Executive Summary
During this report we have analysed the industry structure of the tablet PC market. We have examined the current strategies adopted by the current market leaders, Apple and Amazon, and their tablet PCs, the iPad and Kindle Fire. Having highlighted issues within the strategies they are operating, through the use of a SWOT analysis, we have identified key strategic issues that are affecting the sales and growth of each of these companies. By examining the value chain of each company we are able to justify the strengths of each company and suggest ways in which they can adjust their strategy to utilize these strengths for future growth. Having identified these key issues we were then able to provide recommendations for each company for better performance in the future; the key recommendation to Apple was to focus more on the developing business and enterprise market segments. The key recommendation to Amazon was to consider a more global strategy by expanding the markets they currently sell the kindle in; this should in turn provide them with global economies of scale allowing them to operate a more sustainable long-run strategy.
Industry analysis
Although tablet hardware has been around for many years, the modern tablet PC that we know today has only recently been developed with Apple at the forefront of this; the iPad was the first innovator in this industry to truly realise the potential that tablet PC’s could have. The versatility of tablet PC’s and limited function ability makes them useful for content use only, meaning that at present they pose no immediate threat to the laptop market. Tablet PC’s are designed to be lightweight, small and convenient to use; qualities which Apple perfectly adopted in the first iPad.
At present it is possible to divide the tablet market into the following main segments, each with different