Rim vs Apple Case Study

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Problem: NEIL
RIM does not currently have the product strategies in place to keep a consistent stranglehold upon the Smartphone market with tougher competition coming.

MKTG 1102 David Wan

Key Findings: NIKE

Apple iPhone
iPhone users are very satisfied. The iPhone users we surveyed report very high levels of satisfaction with the product. They are using its features extensively E-mail is the #1 function. The most heavily used data function on the iPhone is reading (but not writing) e-mail. The iPhone increases mobile browsing... More than 75% of iPhone users say it has led them to do more mobile browsing. ...but it has drawbacks. About 40% of iPhone users say the iPhone has trouble displaying some websites they want to visit A quarter of iPhone users say it's displacing a notebook computer. 28% of iPhone users surveyed said strongly that they often carry their iPhone instead of a notebook computer. Users are young. About half of iPhone users are under age 30 (page 29) and about 15% are students Apple sells to its installed base. At least 75% of US iPhone users are previous Apple customers - they used either iPods or Macintosh computers. The iPhone increases phone bills. The iPhone has increased its users' monthly mobile phone bills by an average of 24%, or $228 extra per year. The iPhone leads people to change carriers. Almost half of iPhone users changed carriers when they got the iPhone.

RIM BlackBerry:

MKTG 1102 David Wan

SWOT Analysis: Adriana
Strengths · RIM's unique offering and strategy. RIM was the first company to understand that mobile applications need to be delivered as part of an integrated package, including hardware, software and services, that is both complete and simple to use. RIM’s business model is also a strong weapon against the competition, as it enables its resellers to charge for maintenance and support as part of a subscription, rather than charge an annual fee. This remains RIM’s main strength and weapon against its competitors. · RIM’s software is well designed. RIM’s software is designed to be easy for the enterprise gatekeepers (usually purchasing or IT departments) to deploy, offering simple enterprise server or desktop software integration solutions. These allow users an easy upgrade path as their requirements grow, without placing heavy financial and resource burdens on the enterprise. The solution is also designed to remove the need for any additional software, which is something that customers have come to appreciate. · RIM's brand is now very powerful. With just under 5 million subscribers, RIM now has more influence than many larger device and software vendors; so much so that BlackBerry is now almost a synonym for wireless email. · RIM’s offering is carrier-friendly. It is easy for MNOs to sell the BlackBerry solution to enterprise customers, and the product performs well in terms of throughput speed, latency and capacity requirements on 2.5 (and equivalent) networks, in part due to proprietary compression in both server and handheld device. Weaknesses · Scalability and global coverage. RIM’s business model (selling purely through operators) means that it is dependent on operators to launch the BlackBerry service. This takes time, and the cost associated with launching can be high for smaller operators. Global presence,...
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