This paper discusses the life cycle of Sony

and Apple; the advantages of Iphone and

Ipod in emerging economies; a product
change in saturation of Apple Company

Discussion
Module 2
International Business and
Trade

Jessie Franz Radomes

I. Briefly compare the lifecycle development of Apple to Sony. What factors might have

caused the change in the life cycle?

A. Sony

Since its establishment Sony is making profit as the leading electronics company sales in fiscal

year March 2001 were $58.5 Billion for example. One of the latest Introduction of its product is

folding laptop as the one and only product to be sold on the market. However some products

enter the decline stage and then cycled back to the growth level through strong effective

Advertising and promotional activities so called as re-birth of the brand with some difference.

B. Apple

Apple Inc. was incorporated on 1977 by Steve Jobs and Steve Wozniak. For more than 3 decades

Apple computer was dominant in manufacturing of personal computers, but in 1990’s the

company faced low sales and market share. Jobs subsequently instilled a new company vision of

recognizable products and simple design. With the Introduction of iPod music player in 2001 and

iTunes Music Store in 2003, Apple established itself as a leader in electronics and media sales.

Business lifecycle of Apple

Source: http://www.schencksc.com/education-center/articles/plan-proactively-throughout-the-life-of-your-business, retrieved June 17, 2016. For
illustrative purposes only.

C. Factors that might have cause a change in the cycle

With the Introduction of new products and competitors both company experienced shift in the

life cycle. However, Sony had a hard time facing and blending in the emerging economies.

Apple Company on the other hand became the leader of electronics. It became the successful in

innovating new products and designs that would fit in the changing interests of the market.

Electronics usually have short life span and people wants to stay in style. The company that is

mindful of innovating and successful in making a trend will surely step on the limelight.

II. Why will Apple’s iPhone and iPad continue to grow in emerging economies?

The company is known for IOS range of smart phones, media player, and tablet computer

products that began with the iPhones, followed by the iPod touch and then iPad. IOS is a mobile

operating system created and developed by Apple Inc. exclusively for its hardware. It is the
unique characteristic of Apple products which continue to make it different against its

competitors. The market is always waiting for the launch of updated products.

III. Is there a possibility to anticipate product change in times of saturation for Apple?

Discuss.

“Market saturation is a situation that arises when the volume of a product or service in a

marketplace has been maximized” [ CITATION Mar19 \l 1033 ]. At the point of saturation, Apple

Inc. can only achieve further growth through new product improvements and by taking existing

market share from competitors, or through a rise in overall consumer demand. Apple Inc. is

known for launching new products in times of saturation. It is most probable that the company

will continue this marketing and selling style in future times ahead.

“While Apple did experience a style shift at this year’s reconstitution, it is still primarily a

growth stock – 92% growth versus 8% value. By looking at the Russell Style Index

methodology, we can examine the factors that contributed to Apple’s style shift and why Apple

is not a value stock within that methodology just yet” [ CITATION Cat16 \l 1033 ].

V. References

Hargrave, M. (2019, July 7).

Yoshimoto, C. (2016, July 11). Retrieved December 10, 2020, from https://www.ftserussell.com/.
http://www.schencksc.com/education-center/articles/plan-proactively-throughout-the-life-of-
your-business, retrieved June 17, 2016. For illustrative purposes only.