We also use third-party cookies that help us analyze and understand how you use this website. But in the same industry, many companies produce Android devices as the android operating system is an open-source operating system. Overall, it looks like the Apple Watch is a good business move. Also, Apple has gained a positive image of innovation. We'll assume you're ok with this, but you can opt-out if you wish. They’ve done the “apple thing” where you can’t use just any old band, you have to use theirs (though there’s a kickstarter going for an adapter for normal watch bands)...and while they have a pretty decent variety, I don’t like the idea of having to pay several hundreds of dollars for a band that looks no better than the 18 dollar black stainless band I have on my pebble. Fitness Tracker. After nearly half a year of suspense, we finally have all the details about the Apple Watch, including when it'll launch, how much it'll cost, and what the user experience will be like. This gives them an opportunity to experiment the product in different ways and geographies to make sure it reaps benefits for them. Smart wearable is still a very new category, there are a lot of opportunities to explore and grow here. October 2015 2. So take a brief pause from the Apple Watch hysteria today to actually compare the device to some of the very best wearables currently out there. The threat of a new entrant to the marketplace that … 1) High brand awareness – The kind of brand value Apple enjoys is the dream of industry leaders. This website uses cookies to improve your experience. By that, we can understand that it has secured a distinctive advantage over other competitors in the industry. There’s even a picture floating around of FaceTime running on an G Watch R. So your decision may soon be much harder. There is a number of strategies that Apple uses to create its competitive advantages over other companies. 18 hour battery life of mixed use is kind of a game changer for me. Of course, the iPhone remains the crown jewels of the company, but Apple Watch offers a wide range of upside for Apple. Unlike Android Wear, which originally launched with only a few dozen apps, Apple is going to have upwards of 3,000 apps of varying quality and usefulness. Do I see one in my future? Apple competes primarily on price, product and service features, quality and reliability, design innovation… Do I regret not pre-ordering? Although we will be discussing the Apple Watch pros and cons in general, some of the things mentioned here apply specifically to the latest generation of the watch, the Apple Watch Series 6 (Apple … Competitive Advantages of Apple Inc. Apple’s Unique Differentiation. Want to use a fitness app? The Apple Watch is still months away from release, but if it delivers on its promises, it'll outshine the wearable competition in a few big ways. The Apple Watch is finally here in what has been one of the longest waits for an Apple anything in the company’s history. Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. Apple continues to grow its wearable category i.e., Apple Watch, AirPods, etc. What Are The Pros And Cons Of Starting A Freezone Company In UAE? Apple is widely known as one of a few companies that provide unique value products. Much like the iPhone, many third-party apps will be mere shadows of their full potential because of the hardware and software restrictions that Apple inflicts on developers. The Threat of New Entrants to the Marketplace. The factors such as innovative products, the longevity of product life, unique operating system, and the overall quality helped apple to achieve the trust among the Apple users. Hopefully by that time we’ll be on to hardware generation 2, and they will have figured some things out (i.e. Once a person buys an Apple product, s/he will never be satisfied with the products from other companies. The app situation gets even more suspect as some developers have had their apps outright rejected because their app supports the Pebble platform—one of the few main competitors to the Apple Watch currently. But how does Apple do it? Undifferentiated Marketing Strategy – Definition, Advantages, Disadvantages, and Examples, Environmental Factors of PESTLE Affecting Businesses, Social Factors of PESTLE Affecting Businesses, https://www.fool.com/investing/general/2015/05/18/apple-incs-sustainable-competitive-advantages.aspx, https://markets.businessinsider.com/news/stocks/apple-stock-price-competitive-advantage-over-facebook-google-2018-3-1019009278. And like almost every product in that storied produce lineage, the Apple Watch enters the retail world with some stiff competition. Without it or its sustainability, a company cannot survive for a long period. Overall, nothing that Apple Watch has is something that Android Wear won’t equally match in 2015 as many of these watches release their second generation. Apple is giving them this right by building device based monetization, not software-based. •Introduction to Apple Inc •Industry Definition •SWOT Analysis •Key resources •Products and Services •Main competitors of Apple •Competitive Advantage •Generic Strategy Followed by Apple … It is mandatory to procure user consent prior to running these cookies on your website. That gets a definite maybe...I have a Pebble Time on the way and I want to really put that through it’s paces before I decide I want something more. It has been smartly exploiting its core competencies, strengthening its competitive lead, and maximizing its value. Although Apple Watch and have some drawbacks, but still they remain a fairly popular product, and most importantly unique. 1. In addition, I find 350 to be a little bit pricey considering that’s the entry point. So, any person wants to buy iOS devices, that person must buy it from Apple. This product line was released in the year 2015 on 24 th April. Probably, that’s kind of what Apple does. Our other work on the SWOT Analysis of Apple has studied the strengths this company acquired. In the second quarter of the financial year 2015, Apple Watch … The industry is saturated with Google Android phones that are undifferentiated products. There’s also these things called apps, and the Apple Watch is actually going to have some. Ultimately I’m in it for email/text notifications and very little else...but then again, before I got my first iphone, my phone was for calls and texts only. Apple Inc. has established its economic moat by developing competitive advantages around the industry. Strategic Analysis of Apple inc_ 2015 1. In such a market, Apple has been offering unique differentiation. These cookies do not store any personal information. This category only includes cookies that ensures basic functionalities and security features of the website. Apple Inc.'s Sustainable Competitive Advantages Apple's closed ecosystem and brand appeal will protect its core iPhone business from hungry rivals. Such competencies are clear competitive advantages for the company’s long … ANALYSING APPLE’S STRATEGIES TO BUILD AND SUSTAIN COMPETITIVE ADVANTAGE BUSINESS STRATEGY MODULE CODE: 6WBS0009 ACADEMIC YEAR - 2015/16 SEMESTER - A MODULE LEADER – … A Magic Mouse from Apple. This minimizes the risk, timescale … The biggest advantage of these watches must be the fitness and workout tracking capabilities. Moreover, to have a sustainable profit growth, a company must achieve competitive advantage. Product Range :-. However, Apple follows device based monetization methods that allow it not to play with the private information of its users. Anyone who thinks opening retail stores wasn’t the single most brilliant thing apple has ever done is fooling themselves. From the inception of the company, Apple has been achieving competitive advantages throughout its life. The brand value of Apple Inc. is significant. The Apple Watch isn’t the wearable savior many were feverishly hoping for, but it’s definitely not terrible (for $350). If it is compared to other brands that are having equivalent specs such as Samsung, Asus, HTC, or Xiaomi, the price of Apple is pretty high. The Strengths of Apple Inc. The Apple Watch connects directly to the … But opting out of some of these cookies may have an effect on your browsing experience. It was what convinced me to buy the first iphone, the first ipad etc etc and so on. The watch looks nice, it feels nice, the touch screen screams to be played with. People who used iPhones or any other products became satisfied. Throughout the years Apple has had many competitive advantages that have allowed it to become the powerful leader in the technology industry that it is today. With a strong interest in developing and improving Business Strategy and to Conduct Business Analysis, he started The Strategy Watch in 2013 (Previously known as GotAbout Business Idea, Strategy, & Analysis). Only time will tell how … It has been able to create high perceived value. Apple competes in a highly competitive industry and has to continuously perform at its best to be able to stay ahead of its competition. People have the right to keep their information private. However, a company can only charge a premium price as long as it has a competitive advantage, and analysts believe Apple is on the way to losing its “aspirational” status. Apple consecutively introduced different types of tech products including Apple I, Apple II, iMac, iPod, iPhone, iTunes, and iPad. Apple has … According to many technologists, it allows Apple to build a competitive advantage over other companies. Apple Sources of Competitive Advantage Brand equity:. battery life). So maybe my thought process around it will change. For apple, there exists a strong unique differentiation. Click on the magnifying glass in the top left corner for a larger view. It preserves an image that only the people from upper-class society can have these products. Nope. In the year 2015, Forbes magazine has ranked Apple as the most valuable brand of all time and the worth was estimated 145 billion dollars. Apple Watch already has many competitors, with more to follow as the watch industry turns to smart watches. Apple’s Advantage of Device Based Monetization, Advantages and Disadvantages of Public Corporations. Want a metal band? The only watch with less battery life is the Pebble Steel, but it still gets by seven days on a single charge because of its e-paper display. For example, iOS was developed by Apple … Is it enough for people to finally take notice of smartwatches? Aside from price, screen resolution, and storage capacity, the Apple Watch is pretty run-of-the-mill from what we’ve seen from other smartwatches, and in the battery department it’s pretty paltry. In fact, the LG G Watch R and the Sony Smartwatch 3 have double the storage capacity of the Apple Watch. But that competition might be growing. Many people argued that the price is so high and it’s beyond the reach of many people. The market capital of Apple Inc., as of 2016, is 540 billion US dollar. But smartwatches are not just hardware. For example, iOS was developed by Apple is a different and unique operating system. The wearable space is one that needs to have a market leader and Apple seem to be the heir apparent. Apple Watch Series 4 is set for sports - water … Apple Watch has built-in GPS, which is the first big Apple Watch advantage and helps track workouts without the need to take an iPhone. Premium pricing is one of the superiority of Apple. iWatch or Apple Watch is a product from its owner company Apple Inc. For apple, there exists a strong unique differentiation. It’s almost futile to compare Android Wear and Apple Watch because your phone will likely dictate what you end up buying. These cookies will be stored in your browser only with your consent. The only watch with less battery life is the Pebble Steel, but it still gets by seven days on a single charge because of its e-paper display. Smart watches can be useful to athletes, because they have a large number of various sensors that show: 1. pulse; 2. the amount of burned carbohydrates and fats, or simply put the fitness tracker; 3. different other at the request of the user. It is a smartwatch and is associated with consumer electronics industry. The Pros of Apple Watch 1. A simple side-by-side shows where Apple Watch is much better and much worse then what we’ve already seen from Android Wear (Moto 360, ASUS ZenWatch, LG G Watch R, Sony SmartWatch 3) and the Pebble Steel. Things You Can Do Now to Make a Meaningful Impact to Overcome Depression, Reminisce your Favorite Memories with Mac Photo Management Maxims, Actionable Strategies To Cut Down Your Mobile Screen Time, Business Decisions That Can Benefit You Financially. But rumors say Google is planning iOS support for Android Wear. Apple's financial success in this market, as well as in the other markets that it participates in, has been significantly influenced by the company's competitive advantages. Necessary cookies are absolutely essential for the website to function properly. Every successful company has theirs. But with the Apple was able to build a brand image of exclusivity. The technology industry is full of undifferentiated products. A key competitive advantage for the company is its ability to develop innovative products that share the same operating system, software and applications. Apple is of one of those companies which have secured the status of a highly profitable and investment-worthy company. The Apple Watch tracks your heart rate automatically unless you turn the wrist sensors off to conserve power—which means you wind up with a daily record of your heart’s highs and lows. I’m a heavy user - my pebble vibrates all fucking day long. For any company, the importance of competitive advantage is significant. This website uses cookies to improve your experience while you navigate through the website. hardware and software restrictions that Apple inflicts on developers. Apple devices are unique and the sole producer is Apple itself. How to choose the right small business accountant? Save big on laptops, tablets, outdoor furnishings, everyday household items, and more! The technology industry is full of undifferentiated products. So I went into the apple store and tinkered with some demo units. But rather than redefining the wearable, Apple Watch is just joining the herd. Also, it has been able to take the first mover’s advantage in the tech industry. To be the Best Source of Business Strategy & Analysis. Strategic Analysis of AppleInc. The Apple Watch is a premium device, which sells at a premium price, at least compared to other smartwatches. Varieties Ranges of Products – Apple has product variety which gives it the way to earn a profit. One major source of competitive advantage for Apple is brand equity. Very great popularity wrist watches iWatch use in the following categories: 1. who passes the exams: students, applicants, schoolchildren; 2. employee… Hopefully hardware optimization with Apple’s Watch OS will help curb this alarmingly small battery, but with Apple already saying that you should only expect 18 hours of mixed use, we’re not expecting much. As a staunch member of the pebble camp, I wasn’t looking to buy (at least, not yet)...but I’ll admit, the Apple Store once again does what it does best: it makes you kinda want stuff. But where the iPod and the iPhone were stupid better than what we had at the time, the Apple Watch is neck and neck with the other smartwatches and wearables on the market. By that Apple has successfully created the digital ecosystem.