Preview

Personal Computing Market- Apple & Dell

Good Essays
Open Document
Open Document
1740 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Personal Computing Market- Apple & Dell
1. Introduction

This report will provide a critical insight into today’s personal computing market as well as looking into the strategies of Apple and Dell to analyse how they have become two of the leading players in the technology industry. The main body of the report will include Apple’s entry into the retail market and how they managed market innovation theory to their advantage.

2.1 Personal computing market

The personal computing market is ever expanding and is expected to continue its rise following 2012 and beyond (Mintel, 2012). The laptop market is set to return to growth in 2012, however, tablet sales are expected to outgrow combined laptop and desktop sales in 2012 (Mintel, 2012). Since the introduction of the iPad by Apple in 2010, the tablet market has shown rapid growth and is expected to grow again in 2012 by around 40% (Yang, 2012). This rise in tablet computing has contributed to the ever decreasing desktop market, which is again expected to take a hit come the end of 2012, and is expected to drop below the 1million market volume mark by 2017 (Mintelb, 2012). Some experts such as Goldsborough (2012) argue that tablets or comparative price laptops will never have the same productivity as a desktop as they aren’t simply as powerful. Big name brands within the computing industry such as HP are starting to lose their way however, as their market shares decline due to their inability to innovate and stay ahead of the pack (Brandler and Burke, 2012). Microsoft have detected this and are currently launching ‘Windows 8’, which some experts are predicting could claw back market share lost to Apple (Cross, Ralph and Albro, 2012). Research has also suggested that, because the operating system can run across all platforms, it will spark a huge rise in hybrid devices e.g. laptops that can turn into tablets etc. that could see them begin to dominate the technology market once more (Mintelc, 2012). Apple will no doubt however, have something in the

You May Also Find These Documents Helpful

  • Satisfactory Essays

    A huge collection of computers and products of electronics used by consumers such as television adapters, music players, smart phones and tablets are offered by Apple. These products bring factors such as innovation, strength of the brand, strategies of premium pricing and management of supply chain which gives them an advantage of competition.…

    • 481 Words
    • 2 Pages
    Satisfactory Essays
  • Best Essays

    This paper provides the historical background and financial data of two of the leading information technology (IT) corporations in the United States. Going beyond their humble beginnings to the present, an analysis is made of their current financial performance. This serves to compare and contrast the differing business strategies of the two financial juggernauts. The two companies are direct competitors in the IT market place. Developing cutting edge software that is futuristic and enticing is what Apple does best. Apple has the ability to offer a diverse product line that caters to a wide variety of consumers, especially tech savvy earlier adapters. Dell’s marketing approach is to create a product line that is affordable and easily used by the general computing public. Audit reports, ratios, cash flows and income statements are analyzed to gain a clearer picture of which marketing strategy is proving to be the more successful.…

    • 2760 Words
    • 12 Pages
    Best Essays
  • Good Essays

    Disclosure Analysis Paper

    • 903 Words
    • 4 Pages

    The publicly held company selected to use as the basis for this paper is Apple Inc. Apple Inc. designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and sells a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. The Company’s business strategy leverages its unique ability to design and develop its own operating systems, hardware, application software, and services to provide its customers new products and solutions with superior ease-of-use, seamless integration, and innovative design. The Company believes continual investment in research and development and marketing and advertising is critical to the development and sale of innovative products and technologies. (Form 10-K, 2011, p. 1)…

    • 903 Words
    • 4 Pages
    Good Essays
  • Better Essays

    Apple has been known to be an inherently personal computer company. However, it is also well known that there is no better example of innovative strategic thinking and execution. Apple’s strategy has remained to creating and sustaining value for customers across the world. Jobs returned to Apple in 1997 and the company never looked back since. However, it is also said that Apple lost the pc business because of ignoring the trends in pc industry. Apple’s business strategy is primarily based on innovation for creating differentiated products. It has built products that are cool to use as well as simple and intuitive. Its…

    • 3440 Words
    • 14 Pages
    Better Essays
  • Powerful Essays

    Apple has done an excellent job of developing a very distinct strategy through industry leading innovation. This strategy has allowed them to be the frontrunners in new product introductions and the improvement of existing products. Apple has employed a differentiation strategy in an attempt to meet the needs of a global market by offering customers innovative new products and improved existing products. An important part of their strategy involves meeting the needs of the evolving digital electronics and computer markets. Apple has chosen to implement its strategy by designing and developing its own operating systems and software technologies. This has allowed them to be very flexible in developing new products as they have complete control over the software and hardware.…

    • 2521 Words
    • 11 Pages
    Powerful Essays
  • Good Essays

    Case Study 1: Apple 2008

    • 725 Words
    • 3 Pages

    Apple’s golden years were marked between 1986-1991 because of the company’s ability to manufacture both hardware and software. In this way, Apple was able to control all aspects of its computers, offering a complete desktop solution that allowed customers to “plug and play.” Huge profitability in this industry in the last 20 years came as a result of strategic manufacturing solutions along with the ability to manufacture and sell integrated and complicated systems. In this way, computer manufacturers are able to obtain huge profits because they are able to change premium prices, thus cornering global market shares. For example, the Apple I series, by 1990, was selling well in the education market and the Mac dominated the desktop publishing segment, generating high profitability margins.…

    • 725 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Apple, like many successful companies, has gone through the business lifecycle multiple times. Apple went from introduction in Steve Job’s garage to a steep decline into near bankruptcy. The have most recently rode a new wave of growth and are now sitting in a mature stage as the most one of the most highly valued publicly traded companies. Apple has continued to be a laggard in the PC industry. Since inception Apple has taken a higher-end, less mainstream approach to their product offering. Thus, they have consistently lagged behind in global dominance of the industry. Although Apple was the disruptive force that started the entire PC industry, as the innovators of the PC itself, their continued reluctance to mainstream caused them to lag in the industry as a whole, “globally Apple’s market share rose steadily…, but remained below 5%.” However, despite their low global demand for overall PC’s, within specific PC businesses they prospered, “91% of PCs priced above $1,000 in the U.S. market were sold by Apple.” Apple’s was able to differentiate itself in the higher end market and delivered a “cutting-edge, tightly integrated user experience” that bode well with the educational institutions. Therefore, although Apple was considered a laggard for the entire PC industry, they were quite successful within their niche end of the PC business.…

    • 962 Words
    • 4 Pages
    Better Essays
  • Good Essays

    Apple had been a very successful company since its foundation in 1976. It has been a leader in the computer and mobile technologies field since its first release of the Apple- I to the most recent revolutionary product, the iPad. Through its core competencies innovative design, advanced technology, ease of use, and premium pricing strategy; the company has always positioned itself as a quality leader. Despite their disadvantage in pricing, Apple has seen consistent success throughout its history, specifically since the release of its new mobile devices, as is evidenced by the 15-fold increase of its share price since 2003. Since its early years, Apple has had a drive for innovation and excellence, striving to release new hit products every six to twelve months. This strategy has been greatly successful for the company, as their new products are redefining the industry every year. These products can continue to be refined and perfected to appeal exactly to the company’s target market.…

    • 738 Words
    • 3 Pages
    Good Essays
  • Better Essays

    Wilson Business Proposal

    • 1508 Words
    • 7 Pages

    Personal computers (“PC”) are an elastic product and the market structure is free competition. Though PC’s are elastic they display inelastic properties because of the large numbers in use, and the important roles PCs have in the lives of many Americans. In 2010, there were 950 PCs in use for every 1,000 people in the U.S. (Computer Industry Almanac). This does not account for business use or those that have multiple PCs, but these numbers indicate that most Americans own a PC. Four million Boomers turn 64 every year for the next 18 years (Baby Boomer Headquarters, 2011). The potential sales and profit in this market is significant.…

    • 1508 Words
    • 7 Pages
    Better Essays
  • Good Essays

    On September 8, 2011, Gartner, Inc. lowered its forecast for personal computers for the remainder of 2011 and 2012. Based on the recent surge of tablet PCs, personal laptops are experiencing a decline as consumers hold onto their laptops longer or replace them completely with tablets. Increased mobility and a need for social media may be two of the forces driving consumers to choose tablets over laptops. This journal seeks to explain the decline in laptop sales and whether tablets will lead to the extinction of laptops altogether.…

    • 1468 Words
    • 6 Pages
    Good Essays
  • Satisfactory Essays

    Dermavescent Lab Case

    • 496 Words
    • 2 Pages

    Apple has sustained itself as a fast-growing, competitive brand since the 1980’s. From the launch of the first iPhone and iPod, Apple started viewing itself as a “mobile device company”. Sixty percent of total Apple, Inc. sales in 2009 were strictly from the iPhone and iPod sales. Revenues and net income were still growing even in the severe economic recession. As Microsoft started introducing new software, consumers were becoming more open to the idea of buying PCs over Apple products, and Steve Jobs knew that he could not relax and had to come up with a new product in order to remain a top competitor. The launch of the first-ever iPad was expected to take Apple to the next level.…

    • 496 Words
    • 2 Pages
    Satisfactory Essays
  • Good Essays

    When Steve Jobs launched the iMac in 1998, he was quoted as saying, "these new product lines give people what they want most, a lightning fast laptop and a striking new consumer Macintosh." Is Jobs correct in this assessment? Is speed, look, and brand really the main drivers for consumers? Did Jobs' strategy to capture market share in the personal computer industry focus on the right aspects? This paper will venture to say no and suggest the following alternative strategy: Apple should build a new business in "Wintel" PCs, while continuing to sell Macs to the design and publishing segment of the market. In order to support this conclusion, Apple's competitive advantages and industry forces must be analyzed.…

    • 749 Words
    • 3 Pages
    Good Essays
  • Powerful Essays

    Microsoft Surface

    • 2207 Words
    • 9 Pages

    Microsoft recently unveiled its prototype, Surface, their version of a tablet or alternative device to a personal computer. It is questionable how Microsoft, a known software company, will be able to manufacture and sell a tablet device that is a contender in the marketplace against devices such as the iPad. Thesis: It is critical that Microsoft produce a device that overcomes the limitations of its competitors and adds features that set it apart, in order to define itself in the tablet market.…

    • 2207 Words
    • 9 Pages
    Powerful Essays
  • Satisfactory Essays

    External factor

    • 2440 Words
    • 10 Pages

    about how every company adjusts to external trends and prepares for them before they occur.…

    • 2440 Words
    • 10 Pages
    Satisfactory Essays
  • Best Essays

    Tablet Pc Research Paper

    • 4833 Words
    • 20 Pages

    The Tablet PC has had a serious impact on the way we look at the personal computer in just a few short years. Today it is not uncommon to see students, executives, and reporters alike carrying a tablet in the place of the once ubiquitous notebook / laptop computer. The Webb School in Knoxville, Tennessee is requiring students from fourth grade through twelfth to have an iPad for the school year, and we can expect that trend to continue as functionality, ease of use, and price point are all very attractive to teachers and…

    • 4833 Words
    • 20 Pages
    Best Essays