Competitive Strategies and Government Policies
Apple's Competitive Strategies and Government Policies
ECO/365
April 27, 2014
Michael Blakley
Apple's Competitive Strategies and Government Policies
The Apple IPhone Company has created quite a name for itself through the creation and sales of the phone that is leading in innovation, technology, and consumer popularity. With many large cell phone competitor companies, such as T-Mobile, Verizon, At&t, and Sprint, the IPhone has managed to continually create a product and service that continues to beat the competitors in technology and innovation. The smaller cell phone companies such as Cricket, Metro PCS, and Boost Mobile are able to stay in business only because they sell somewhat of a different marketing strategy, which is a cheaper service plan, with older phones.
The Apple IPhone has profited from the recent horizontal merger of T-Mobile, a large cell phone provider, and MetroPCS, a smaller cell phone provider. Two companies made this merger in the same industry that came together in hopes of increasing revenue for both organizations (Investopedia, 2014). The profit that came to Apple Iphone from the merger was increased sales of the IPhone; MetroPCS has access to the unlocked IPhones and can now offer sales to nine million additional consumers that otherwise would not have access through MetroPCS (AppleInsider, 2013). A merger of this type offer other benefits such as “infrastructure and branding strength,” for the smaller organization, and creates stronger competition for other large cell phone providers as well (Yglesias, 2013). This competition will force other companies to create new service plans with reduced rates and better services in order to continue to remain successful in the industry. This will in-turn push prices down for consumers and level the playing field.
The Apple IPhone Company participates in globalization through contracting the manufacturing of the IPhone product through a company named Foxconn Technologies, which is
ECO/365
April 27, 2014
Michael Blakley
Apple's Competitive Strategies and Government Policies
The Apple IPhone Company has created quite a name for itself through the creation and sales of the phone that is leading in innovation, technology, and consumer popularity. With many large cell phone competitor companies, such as T-Mobile, Verizon, At&t, and Sprint, the IPhone has managed to continually create a product and service that continues to beat the competitors in technology and innovation. The smaller cell phone companies such as Cricket, Metro PCS, and Boost Mobile are able to stay in business only because they sell somewhat of a different marketing strategy, which is a cheaper service plan, with older phones.
The Apple IPhone has profited from the recent horizontal merger of T-Mobile, a large cell phone provider, and MetroPCS, a smaller cell phone provider. Two companies made this merger in the same industry that came together in hopes of increasing revenue for both organizations (Investopedia, 2014). The profit that came to Apple Iphone from the merger was increased sales of the IPhone; MetroPCS has access to the unlocked IPhones and can now offer sales to nine million additional consumers that otherwise would not have access through MetroPCS (AppleInsider, 2013). A merger of this type offer other benefits such as “infrastructure and branding strength,” for the smaller organization, and creates stronger competition for other large cell phone providers as well (Yglesias, 2013). This competition will force other companies to create new service plans with reduced rates and better services in order to continue to remain successful in the industry. This will in-turn push prices down for consumers and level the playing field.
The Apple IPhone Company participates in globalization through contracting the manufacturing of the IPhone product through a company named Foxconn Technologies, which is