MARKET SURVEY PROJECT REPORT

ON

"Apple"

Submitted in partial fulfillment of the requirements for the award of the

degree of-

BACHELOR OF BUSINESS ADMINISTRATION

to

Chhatrapati Sahu Ji Maharaj University, Kanpur

Under the Guidance of Submitted by

Miss Jyoti singh Shiv Pratap Singh
Designation BBA- 4th Sem
Roll No. 0004852

Session 2022 – 2023

 Maharana Pratap College Of Professional
DECLARATION
Studies, Mandhana
Kanpur Nagar.
DECLARATION

I hereby declare that the Market Survey Project Report entitled “Apple ”
submitted to Maharana Pratap College Of Professioanl Studies,
Kanpur in partial fulfillment of Degree of Bachelor of Business
Administration is the original work conducted by me. The information and
data given in the report is authentic to the best of my knowledge.

This Market Survey Project Report is not being submitted to any other
University for award of any other Degree, Diploma and Fellowship.

Place: Kanpur (ShivPratapSingh)

Date: Roll No: 0004852

 Table of content

S.NO CONTENTS PAGE.NO

01 Introduction 1-7
02 Company Profile 9-16
03 Market Research 17-28
04 Financial Analysis 30-32
05 Research Methodology 34-39
04 Objective of study 41-44
07 Analysis and Interpretation 46-48
08 Suggestion 49-50
09 Conclusion 52

10 Reference 54
11 Annexure 55-58
 EXECUTIVE SUMMARY

Apple Inc. Executive Summary Group 4 Apple Inc. is an American multinational company that designs, develops,
and sells consumer electronics, computer software, and personal computers. In the past five years, the cumulative
total return on Apple stock has increased by 331%. The reason for this growth is twofold: the technology sector has
transformed and Apple has capitalized on this wave of technological dependence; and Apple has captured the
computing market through improving existing technology and creating demand for new products through pervasive
transformative innovation. While Apple is enjoying market dominance in the United States, its growth depends on
the production of new and improved technology for emerging and developed markets. Apple has yet to demonstrate
true multinational flexibility; however, Apple‘s phone 5C is an initial attempt to penetrate emerging markets with a
product aligned with local customer demand and buying power. Forecasts show that the iPhone is where the
international growth opportunity exists. But Apple needs to open its software to outside hardware to compete in the
global market. This control on software and hardware has allowed Android a further reach. Until Apple bends on its
strategy, it is going to leave unrealized global opportunity on the table. Unless Apple addresses the needs of middle
and bottom of the pyramid markets, scaling, and market penetration will be challenging. Apple needs an array of
models from low to high-end to compete in emerging markets. Apple should disrupt these markets by leveraging its
core capabilities to come up with ―frugal innovations.‖ Alternatively, Apple could just offer its software to the
emerging markets. This allows Apple to penetrate with lower risk, greater reach, and a lower cost to the end
consumer. This would be targeted at emerging markets only as Apple would not want to cannibalize its own
hardware sales in developed markets. These are not just options for Apple, rather oxygen for sustainable, global
growth.
 PREFACE

A professional course in Bachelors of Business Administration is incomplete unless the theoretical

knowledge acquired in the class room is backed up by practical exposure, as theories alone do not
give perfection to my discipline, the gap between theory and practical is bridged by the practical
experience, which has been an integral part of the syllabus.

This present project report is an image of what I have done and obsessed during my survey
in Market Survey on Apple Inc.

I was assigned a project on A Market Survey On Apple Inc.

I have tried my level best to be as systematic as possible and to avoid any sort of biases.
 CHAPTER-1

INTRODUCTION
 INTRODUCTION

Background in Brief

Apple is an American corporation that develops and sells computer electronics, software, personal computers
and portable devices internationally. Founders Steve Jobs, Steve Wozniak and Ronald Wayne established Apple
in 1974, with its incorporation in 1977. Apple has a history that spans over 30 years, and during that time the
company has experienced its ups and downs in financial performance.

It was after 2007 when Apple finally achieved widespread success with the launch of the iPhone, the iPod touch
and the iPad. It is traded on the NASDAQ under the ticker AAPL. It is also a part of the NASDAQ-100 and S&P
500.

The Subject of the following elaboration is the analysis of the strategy of the Apple, Inc., formerly Apple Computer.
It begins with the emergence and development of Apple and his initial public offering (IPO), followed by proceedings
of inter-nationalization. Focused on segments worldwide and United States the macro-environmental analysis consist
a SWOT analysis and a PEST analysis. Afterwards Porter‘s Five is presented, followed by a product portfolio
overview and trading result of the financial year 2011. In addition the Corporate Identity and the Corporate Social
Responsibility will exemplify objectives of Apple‘s strategic formulation. Finally the strategic analysis will be
completed with a conclusion. 2. Historical development ―He was the only person I met who knew more about
electronics than me.‖ Steve Jobs, explaining his initial fascination with Wozniak. ―Steve didn‘t know very much
about electronics.‖ Steve Wozniak On April 1, 1974, Apple Computer was created by founders Steve Jobs (1955-
2011) and Steve Wozniak. Incorporated on January 3, 1977, in Cupertino, California, it was the dominantly
manufacturer in personal computers for more than two decades. Pre-foundation 1969-1984 The ―two Steves‖ had
withdrawn from Reed College and UC Berkley. In 1975 the only microcomputer CPUs (centralized processing units)
generally available were out of Wozniak‘s price range. So he

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watched, and learned, and designed computers on paper, waiting for the day he could afford a CPU.

Later Wozniak met his old friend Jobs, who was interested in the commercial potential of the small hobby
machines. Jobs took a purchase order with COD (cash on delivery) payment terms and ordered the components
they needed to assemble the Apple I, from a national electronic parts distributor. By delivering on time, Jobs had
a tidy profit left over for the next order and had found a way to finance his soon-tobe multimillion-dollar
company without giving away one share of stock or ownership.

Further designing the Apple I machine was fairly simple. Using far fewer parts than anything in its class, it was a
masterpiece of design. Meanwhile Steve Jobs started looking for cash, but banks were reluctant to lend money; he
eventually met Mike Markkula, who co-signed a bank loan for US$250,000. The three formed Apple Computer
on April 1, 1976. The Apple II, which included graphics and color, was presented to the public on April 16 and
April 17, 1977. With both cash and a new case design in hand, the Apple II became the computer generally
credited with creating the home computer market. Millions were sold well into the 1980s.

By the early 1980s, faced increasing competition, in spite of a successful business-ready platform, the Apple III
was designed to take on the IBM PC in the business environment. Unfortunately, the physical design of the case
wasn‘t sufficient, to be prone to overheating, thousands of them were recalled and, although a new model was
introduced in 1983, the damage was already done. On December 12, 1980, Apple went public with an initial
public offering (IPO) at US $22.00 per share.1 On the NASDAQ stock market, the Apple Inc. shares were traded,
initially with dividend payments from June 15, 1987 to December 15, 1995. It generated more capital than any
IPO since Ford Motor Company in 1956 (cf. iCon: Steve Jobs) and instantly created more millionaires (about
300) than any company in history. In addition Apple Computer‘s business division, a separate group was focused
on a computer that would change the world. In return for the right to buy US $1,000,000 of preIPO stock, Xerox
PARC granted Apple Computer three days access to the PARC facilities. Apple Computer benefited new ideas
from the first GUI computer for the Apple Lisa. Introduced, in 1983 at a cost of US$9,995, it failed to penetrate
the market.2 In October 1983, the Macintosh was announced to the press and by a single national broadcast of the
now famous US $1.5M television commercial, ―1984‖. Directed by Ridley Scott, it aired during the third quarter
of Super Bowl XVIII on January 22, 1984, and is now considered a ―masterpiece‖. The costs almost ruined
Apple.3 In November 1984, Apple spent more than US $2.5M to buy all 39 of the advertising pages of
Newsweek‘s special postelection edition.4 At the ―Test Drive a Macintosh‖ promotion 200,000 people
participated. Because many computers were returned in such a bad shape that they could no longer be sold,
dealers disliked the promotion.5 This marketing campaign caused that former CEO John Sculley raise the price
from US$1,995 to US$2,495 (adjusting for inflation, US$4,417 to US$5,525 in 2012). Two days after the ―1984‖
ad had aired, Apple sold 72,000 computers in 100 days, 50% more than even its most optimistic sales predictions.

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For Apple‘s Macintosh Office business computing system a similar high concept spot, Lemmings had been
produced. It wasn‘t successful. Apple closed three of its six plants that year and lay off 20% of its employees.

Eventually Steve Jobs left the company in the post-Lemmings aftermath.7 In 1985, Steve Jobs sold his entire
Apple shares except one (about US$ 70M). As though by chance, he had been attentive to Star Wars director
George Lucas‘ visual effects house.

Jobs bought it from Lucas for US$ 5M and spent another US$ 5M in the company, which known as Pixar. Also
went on to found NeXT Inc., that built machines with futuristic designs, was bought by Apple Inc. for
US$402M.8 Through Apple‘s partnership with Adobe Systems, which introduced the laser printer and Adobe
PageMaker, the Macintosh brand was a success for Apple. Macintosh became well known as the defacto platform
for many industries including cinema, music, advertising, publishing and the arts. Until the 1990s, Apple didn‘t
allow other computer makers to ―clone‖ the Mac. Long after Microsoft‘s dominating marketplace with a broad
licensing program, Apple, Inc. lost market share except only 3%, it was too late for Apple, Inc. to reclaim its lost
market share. In 1997, Jobs returned to Apple as ―Interim-CEO‖, at that time Apple had 90 days before going to
bankruptcy. He brought a new corporate philosophy of recognizable products and simple design. In the turn of
events, there were radical impacts. Jobs cleaned up the management of Apple brutally, and reduced the product
line dramatically.

Contracted out of agreements with manufacturers of Macintosh-Clones and of all things brought Bill Gates, his
antagonist on board. At MacWorld Expo, Bill Gates announced the continual development of the office package
for the Mac and the buying of Apple shares with a value of US$ 150M. Jobs removed all deadbeats and layabouts,
but not everyone had been struck by iCEO‘s wrath. Some of them allusion to old Apple-Logo, they would bleed in
six colors. One of these frustrated and undiscovered geniuses was the young designer Jonathan Ive. Jonathan Ive‘s
ideas were inspired by Dieter Rams, an industry designer. In Truth, Jonathan Ive stole Dieter Rams ideas.

The slogan ―less is more‖ was the new designing credo of Ive and Steve Jobs. Ive transformed the typical beige
colored computers into semi-transparent candy-like icons (iMac G3). In September 2000, Apple released the first open
beta version of the new operating system Mac OS X, which was based on NeXTStep-Software After 11 years of
improving and re-modeling the Mac OS X continually, today it‘s known as ‗Lion‘ (version 10.7). The mobile system
iOS for iPhone, iPod touch and iPad derived from this Mac OS X. After one year of development, the release of the
first iPod was announced, however six weeks after terror acts on September 11, 2001, the people in the United States
still in shock. As then the iPod works with Windows-computers, the white Apple headsets went more public. It was
not alone about a portable device to play music on the way. It was clear, that illegal file sharing services like Napster
and Kazaa ruin the music industry. Particularly there were not barely legal alternatives, to download the song easy. So,
Jobs wanted an as simple as possible pricing model (‘99 Cent per
2
song‘). The revenues via iTunes did not compensate the whole losing of lost business by records, CDs or DVDs. With
iPod and iTunes, Jobs changed the laws of the music industry and Hollywood forever; and extended the basis of
revenue for Apple in a new product category significantly. The introduction of the successful iPod music player in
2001 established Apple as a leader in the consumer electronics industry, so it dropped ―Computer‖ from its name.
Apple sold until his first financial quarter 2012, end of December 2012, 183M iPhones. Only Google keep up the
competition on the iPhone. Steve Jobs was convinced until his death, the success of Android was only possible
through betrayal of Google-chief Eric Schmidt. From 2006 to 2009, Schmidt was on board of directors and get
processes of development of the iPad and the iPhone. Schmidt had driven on the developments of a competitive
system. As the conflict of interests was obviously, Schmidt resigned his position on Apple-board. Jobs get fit of rage,
for him was Google a thief. For Steve Jobs, it has been a triumph, which under his leading Apple could establish the
iPad in the market as new product category. Because in the last ten years, Bill Gates, his old antagonist, tried to
present tablet computers on fairs like CES repeatedly. But they were complicated to work

on it, and expensive and defective, that no buyers were be founded.

Apple‘s 183M iPhones sell until Q1/2012 Environmental analysis 3.1 Company description Apple, Inc. designs,
manufactures and markets a range of personal computers, related software, media devices and portable digital music
players (iPod), mobile phones (iPhone), also tablet-computers (iPad). (Figure 6: Apple net sales by product 2010,
2011). Therefore, it is the only company in the personal computer industry that designs and manufactures the entire
personal computer. It sells its products through its online store, direct sales force, thirdparty wholesalers and resellers,
and the retail segment operates Apple-owned retail stores in the U.S. and in international markets. The company
operates through the Americas, Europe, Japan, Asia-Pacific segments. Apple operates in 13

3
 countries: United States, United Kingdoms, Canada, Japan, China, Italy, Australia, France, Netherlands,
Switzerland, Germany, Spain and Hong Kong.9 Apple is convinced that personal computing has entered a new
era, in which computers should now be designed to simplify the user‘s (digital) life10 by combining computing
with consumer electronics11 and by pursuing this strategy Apple is uniquely positioned in the PC industry.12
In identifying Apple‘s main customer groups, it is clear that those are computer users who don‘t see themselves
as part of the mainstream: graphic designers, students, and anyone else who like to think that they are different.

Who Uses What?

Mac users consist of:

Home Office users such as authors & lawyers
Startups such as Twitter & Monster Designs
Accountants such as Nelson Accounting Professional
Architects such as KAA Design Group
Creatives such as LinkedIn, T-Pain, Hallmark, and Francis Ford Coppola
Health industries such as hospitals

IT professionals such as MailWise

Law firms
Real Estate agents
Retail stores such as Paul Frank
Scientists such as The University of Manchester

Windows users basically consist of the following:

Home office users

IT Professionals
Developers
Business owners
Schools
Hospitals
Banks The priority of use Apple PCs are to manage ambitious graphical tasks, to lay out magazine or create printed
matter. In publishing houses, graphic design offices and agencies, the Macintosh operating systems (Mac

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OS) is counted de-facto standard. They are used in education, domain level and common users. Furthermore Apple Inc.
runs the internet platform iTunes media, on which users could download music tracks, movies, TV shows, audio books,
podcasts and various applications (apps), digital editions of newspapers, magazines and books for the iPhone and the
iPad. The applications, photos and documents could be saved in the iCloud automatically. All applied Apple-devices
supports a pushservice, which users have full access to their personal data. With beginning of iPhone, iPod Touch and
now iPad, the company has been in the iOS range of products very successful.

5
 The Organization Today

As of August 2012, Apple has 393 retail stores in fourteen countries. Apple is also the third-largest mobile phone
maker after Nokia and Samsung. Recently, it introduced a variety of new products such as the iPhone 5, iPad
mini, iPad 4 and the All-new iMac. The reported net income of the fourth quarter is about 24% higher than that
in the year-ago quarter. Sales of iPhones represent 58% unit growth over the year-ago quarter. However, those
high numbers in earnings have not met investors‘ expectations. The share price of Apple dropped after the fourth
quarter earnings report and also recently following the iPad mini launch.

1
MISSION, GOALS & STAKEHOLDERS
Mission

Apple is committed to bringing the best personal computing experience to individuals around the world
through its innovative hardware, easy-to-use software and sleek product design.

Goals and Objectives

To provide customers with high-quality services with a knowledgeable sales staff

To bring best user experiences to customers through its innovative products and technologies

To design and develop its own operation systems, hardware, application software and services.

To increase sales volume by opening more stores, launching new products, streamlining production and using
smart marketing tactics.

Stakeholders

Main stakeholders include: investors, customers, employees, communities and competitors

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7
 CHAPTER-2

COMPANY PROFILE

8
 Product profile

Breaking through with several inventions in the world of technology, Apple Inc. has been carving infinite
milestones ever since its inception. Even though its innovations speak for themselves, this highly-valued giant
corporation has invested heavily in its marketing team to soar high up as a tech maestro. Apple Inc. realized the
role of brand marketing in the success of a venture from the start as a crucial way to connect with its target
audience. This brand's marketing is so vigorously carried out and well-thought that it is often an inspiration and
a place of research for marketing professionals. Here we bring you a well-curated case study on Apple's
marketing strategy, the key takeaways to learn from this venture, and how to incorporate the same in your
business and marketing strategies.

Apple Segmentation, Targeting and Positioning

Apple segmentation, targeting and positioning represents the core of its marketing efforts.
Segmentation, targeting and positioning is needed because no company or product can be all things to all people.
Apple segmentation targeting and positioning initiatives include the following stages:

Segmenting the market. Segmentation involves dividing population into groups according to certain
characteristics. Market segments need to be measurable, accessible, sustainable and actionable in order to be used
for marketing purposes.

Targeting selected segment(s). This stage involves identifying segments that are most attractive for
the business. In other words, targeting implies choosing specific groups identified as a result of segmentation to sell
products to. The multinational technology company positions itself as a premium brand offering products and
services with advanced functions and capabilities for additional costs.

Accordingly, Apple target customer segment comprise well-off individuals who are willing to pay extra for
technology products and services with advanced design, functions and capabilities. A common set of

10
characteristics shared by Apple target customer segment include appreciating design, quality and performance of
technology products and services over their prices.

Particulars Apple Target Audience

Areas Urban

Gender All

Age 20-45

Life phase Bachelors to Married both

Earnings High

Job Working professionals, managers &

executive level workers

Positioning the offering. Positioning refers to the selection of the marketing mix that is the most
suitable for the target customer segment. It is the final process, where companies attempt to associate their products
and services with needs and wants of selected customer segment. Apple targets its customer segment by tailoring
products, services and overall business approach to appeal to the members of segment to a maximum extent.Under
the leadership of late Steve Jobs, Apple mainly used mono-segment type of positioning, appealing to the needs and
wants of a single customer segment. However, after Tim Cook became CEO, the multinational technology company
has been consistently increasing its product ranges shifting from mono-segment type of positioning to multi-
segment positioning.

As the name implies, multi-segment positioning attempts to target multiple customer segments at the same time
with different product or service packages. Accordingly, ―no longer do the barista and the corporate executive use
the same iPhone — today, there are high-end models, consumer models, and a long line of old products the company
keeps around to fill every niche and price point.‖

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problem statementWhen a company decides to start a company, it faces problems and has to take risks to
boost its business growth. However, the risks involved need to be well managed so that they do not affect the
income and potential growth of the organization. Among the most common risks are financial risk, credit risk,
market risk and operating risk. In fact, the performance of a company is also influenced by internal and external
factors. Although Apple Inc. is a large and powerful company, it is not immune to the problems arising from
intense competition from other companies in the same industry. Apple Inc. is a multinational technology
company that manufactures mobile products such as laptops, personal computers, mobile phones, watches and etc
but the price is quiet high. Because of these weaknesses, it has given other companies the opportunity to compete
with them in producing products similar to Apple Inc. However, in terms of price, it is cheaper than Apple Inc.
products. As the company's growth and finances depend on product sales, Apple Inc. need to reduce financial risk
by focusing more on ways to attract customers to use the products offered while offering affordable prices. In
addition, other risks, such as financial risk, market risk, operating risk, credit risk, and liquidity risk may
adversely affect the company's performance

Apple Inc. is a company that deals with mobile electronic devices. It was founded by Steve Jobs. The
company uses the Apple brand to market its products and compete in the highly competitive global business
environment. Some of the areas that this company deals with include: the manufacture of personal computers,
notably the Macintosh line of computers and other consumer electronics such as the iPod and iPhone.

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The company has a heavy presence in the consumer electronics products industry and has done its best to remain
the top brand in this industry. Over the years, one of the branding strategies that this company has used has been
the creation of innovative products. This has kept the company ahead of its competitors and has helped it cut a
niche for itself in the competitive global business environment.

When a company wants to do a brand promotion, a multi-product strategy is usually adopted. This means that
the name of the company is used as the common name under which all the products of that particular company
are being marketed. Apple Inc. is one of the companies that have chosen to direct its energies towards branding
its corporate name instead of focusing on individual products that it manufactures.

Apple Inc. is a renowned electronics company based in the US. The company is involved in the designing and
selling of electronics, computers and computer software. Finding a niche in the competitive business
environment globally is not a cheap and easy venture (Alan, 2000).

Companies globally are increasingly becoming aware of the importance of corporate branding to any business
enterprise. Branding basically involves distinguishing a company‘s goods and services from the rest in the
market through the creation of exceptional identity and position of these products in the competitive business
environment. Apple Inc. is one of the corporations that have identified the value of branding of its products and
uses it to create a distinction between its products and those of its competitors in the market.

This paper shall look into the branding strategies of Apple Inc. as well as the advantages and disadvantages of
these strategies. An analysis of this company using secondary data shall then be provided and
recommendations given.

Branding strategies of Apple Inc

A Store Just for Apple

As a strategy for branding, Apple Inc. opened stores that only deal with its products only (Apple‘s Competitive
Strategy, 2011). This has helped this company to set its unique products apart from the rest that are in the same
business environment. The stores are customer friendly and customers have the opportunity to explore some of
the technology that Apple Inc. offers. This move has helped the company create loyal customers.

Offering complete solutions

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Apple Inc. products come in packages that complement one another. Moreover, the products complete one another
(Kahney, 2002). This means that most of the programs that Apple Inc. products need are also produced by the same
company. The customer does not have to struggle looking for these programs elsewhere. Solutions for most

of their needs when dealing with Apple Inc. products are also provided by the same company.

Advertising strategies

While promoting its products, Apple Inc. tries as much as possible to identify with everything that is young,
smart and trendy (Dairymple, 2008). For example, the company ran a campaign dabbed ‗I‘m a mac‘, which
depicted ‗a mac guy‘ as one who is young and bold. This attracts many people because everyone would like to
identify with whatever is young, smart and trendy.

Manufacture of varied products

Due to the high cost of buying some Apple Inc. products, such as Apple computers, the company has diversified
its products to come up with products that are not as costly as the computers. Customers who are not able to buy
high cost products such as the computers are able to buy products such as iPod, which they can afford (Seeking
Alpha, 2011).

This provides the customers with an opportunity to sample some of the Apple Inc. products. This also makes it
easier for the customers to consider buying the high cost products such as the computers when they are in need
because they have confidence in the Apple brands.

Selling of products used in the education sector

Apple Inc. sells most of its products to education institutions. Young people in schools and universities are
introduced to Apple Inc. products at a tender age. When these students desire to buy their own electronics
in future, chances of buying apple products are very high.

This is because the students feel more comfortable using the products that they have used all along while in school than
buying new brands that they are not familiar with (Inside CRM Editors, 2008.). Apple Inc. is therefore able to capture
customers, who are very young. The company retains most of its customers after their first purchase.

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Manufacture of products that always deliver

Before Apple Inc. manufactures any of its products, an extensive research is done to identify the needs of the
customers (Rosenthal, 2011). This helps in ensuring that the company manufactures products that meet the
needs of the customers, resulting to high customer satisfaction. This also makes the customers happy and willing
to buy products from this company in future, because they are assured that their needs are going to be met.

Consistency in manufacture of the products

Apple Inc. is very consistent in the way it manufactures its products. This means that all the new products that
are developed follow the same basic architectural structure.

person who is conversant with any of the Apple Inc. products has some basic knowledge of what to expect
whenever they are buying a product from this company. A person who has prior knowledge of Apple
products adapts to new hardware from this company more easily than one who has never interacted with the
company‘s products. Consequently, such people are likely to make repeat purchase.

New innovations

Apple Inc. products are innovative and diverse (Jeffrey & William, 2005). This gives the customers an
opportunity enjoy the services of Apple Inc. products in various locations and at their convenience. It is possible
for consumers to have variety of products, ranging from those that can be used in the office, at home of even
while one is away from these places.

Manufacture of attractive products

Apple Inc. manufactures products that are colorful and generally attractive to the users. The use of smiling
icons, as well as bright colors, makes the products look attractive and appealing to the customers.

Advantages of branding of Apple

There are immense benefits experienced by Apple Inc. as a result of their branding strategy. One of the advantages
that Apple Inc. has as a result of branding is having a platform where new products can be launched in future. Due
to superior branding that this company has created, consumers are likely to buy products because they are viewed
by many as an epitome of technological superiority and modernity (OGrady, 2009).

15
Through branding, Apple Inc. has been able to differentiate its products from the rest in the market, in terms of the
quality and value of the products. These products are usually identified with positive factors, such as being of high
quality, trendy and reliable, among other qualities.

This positive brand image has helped the company to sell the existing products to the customers easily and
introduce and sell new products without struggle. Apple Inc. relies mostly on the corporate name that it has
created and the unique products brands it offers to market its products.

Disadvantages

High costs

One of the major disadvantages of branding is the high costs involved in advertising. In order for a company to set
up a local or an international brand, a lot of time and resources are needed. There are high costs incurred in issues
related to public relations, advertising and in offering exceptional customer care service.

This is because; it takes a lot of time to create a brand name both locally and internationally. During this time, a
lot of advertisement is required, since a brand name cannot be created within a short period or by running a few
advertisements (Miller, Vandome&McBrewster, 2009).

The adverts should continue being aired, even during economic turndowns, in order to avoid giving competitors
a loophole that they can use to outdo Apple Inc.

Brand image

The brand image can also be a disadvantage to a company. If a brand becomes associated with a particular
person, their departure, either due to natural causes such as death, or if they willingly walk out of the company,
can affect the brand image. For example, when there were rumors that Steve Jobs, the founder and chairman of
Apple Inc, was on the verge of death due to cancer, most of the people sought to withdraw their shares from the
company. This was a big blow to the brand image of Apple Inc.

Poor customer service

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The issue of poor customer service by retailers is also a disadvantage to branding of Apple Inc. This arises when
the retailers fail to treat customers well. Even though the company has done its best to create a good brand image
both locally and internationally, such ill treatment can cause customer dissatisfaction, which may be detrimental
to the brand image (Morgan, 2011).

Recall of products

Issues with the manufactured products that may lead to the recall of the products may also be dangerous to the
brand image. This may cause customers to lose their trust in Apple products, regardless of the long time that the
company has taken to create a positive brand image. Moreover, recall of the already manufactured products
would mean that the company has to incur more costs, which may lead to the company registering losses for that

17
 CHAPTER-3

MARKET RESEARCH

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 Marketing Research

Apple uses marketing research to improve their products by getting customer feedback and they also try to keep
a good relationship with their customers by pleasing them and keeping them up to date with their products and
informing them if there‘s any new updates available for them.

Marketing Planning:

A marketing plan is a broad document or design that outlines a business advertising and marketing efforts for
the upcoming year. This plan describes business activities involved in completing specific marketing objectives
within a specific time period.

Apple uses marketing planning while producing new products for their current target markets. By having a
marketing planning it helps Apple stay organised and make quick decisions. It also helps the brand meet
their tasks and deadlines and it also helps them create everything.

Understanding customers:

Understanding customers is important for a business, this is because they are the people who are buying
the products from a brand and they are the reason behind why a business becomes successful.

Apple understanding Customers:

Apple understands their customers by getting customer feedback and by getting customer feedback they get the
opportunity to improve their products by releasing a new product or by updating their IOS. So by making
changes on their products Apple understands their customers‘ needs as they adapt to their needs and wants which
attracts more new customers into their store. If Apple did not listen to the feedback and suggestions from the
customers then the customers would not purchase their products which would create a big loss for the business as
they wouldn‘t be making any money if customers didn‘t purchase their products. This is why it is important to
understand the research from the market research so they would be making much more money as a company.

Understanding competitors:

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Understanding competitors is also important for the business. This is so they can compete with their competitor‘s
price wise and software wise to make sure that they are the best company within the category which in this case is
Apple.

Apple understanding their competitors:

Apple competes with brands like Samsung. Apple and Samsung both look at each other‘s sales and the
products that they launch. They both try to compete each other by having similar price ranges and getting out
similar products. For example Apple and Samsung both have a smart watch. The Apple one is known as the
‗Apple Watch‘ and the Samsung one is known as the ‗Samsung Gear S3‘

Understanding market environment:

Understanding the market environment is also important as it would help businesses during the market research.
During market research businesses have to analyse its external environments. A useful way to do this is by using
a SWOT Analysis. This analysis observes the relationship between a business and as well as its marketing
environment.

20
 SWOT analysis

The SWOT Analysis of Apple, Inc.

SWOT stands for Strengths, Weaknesses, Opportunities and Threats, and is essential to

define the currently and could-be position of a business. In order to find out Apple‘s

position and strategy, internal factors (strengths and weaknesses) and external factors

(opportunities and threats) are analyzed. (Figure 8: structure of SWOT analysis).

Strengths

Strengths are internal factors that a firm may build on to develop a strategy, which are

marketing strengths like a strong brand or access to a good distribution network. Operations

strengths like high level of efficiency, flexible production systems and high quality level.

on Windows as well.

The good brand loyalty of Apple Computers

21
to Apple to obtain them.

Weaknesses:

because they are under the control of that business. Marketing weaknesses are such

as limited distribution, a poor product range and ineffective promotion. Operational

weaknesses are such as old, inefficient equipment and poor quality.

production of new products and services has to be constant.

educational areas

Opportunities:

Opportunities are external factors that influence the company‘s current and future

position. They are presented as offers, trends, needs that promise beneficial outcomes for

the company.

-viruses, which are increasing on PC‘s

erships with other companies

22
Threats:

Threats are negative external factors the company has no control over. In cases of threats,

a company can identify them and workout solutions of how they can be turned beneficial.

ession, which might influence Apple‘s sales in the near future

The most influential competitors

f the competitors?

23
Issue 1: What are the strengths and weaknesses of the competitors?

Dell has been even awarded for customer services. So they need to focus more on

the customer support and improve the areas they already have problems.

Hewlett Packard does business in 170 countries gave them opportunity to dominate in the

market by selling printers. Has its own printer accessories segment. Have to focus more in

marketing, which will catch people attention.

Microsoft Corp. operates multinational in more than 60 countries, people feel more

comfortable with their services. Bill Gates his own makes Microsoft weak, because as

being the head of Microsoft he didn‘t develop still a band of products.

IBM does diverse businesses geographically and is leading provider of IT services. It has

strong research and development capabilities. But it is weak in mobility product portfolio

and hasn‘t portable products.

Amazon‘s content commerce model delivers digital music, movies, TV shows and books

(kindle). Have to go a long way to managing and accessing contents beyond standard PCs

and basic mobile devices.

Android, Google‘s OS for smartphones, is quickly evolving into a product. Stronger

customer services for applications, because of incompatibility of wide range of smartphone-

products. Sony has movies, music, e-books, and console and mobile games. Sony should

create a Sony-driven user environment that manages its own content across an ecosystem of

Sony products.

24
 Issue1 : What is the dynamic of competition in the industry like?

Apple and all computer producer firms depend on components and software from suppliers.

Processor is the core component of computer because the general performance of computer

is usually associated with processor speed. Apple merged with Intel Company, because of

rapid innovation of processor. Intel Company develops every 3months new CPUs. Besides

computer need operating system software, to provide environment for applications.

Microsoft is dominating the OS market share as the main competitor. More than 90% PCs

using Microsoft Windows. It is hard for Apple to get back market share, because of high

switching costs. To be a little more specific, on below left is a graph that illustrates which

operating system versions are most popular in the market share.

The graph below gives you an idea about how the market was moving between the different operating
systems, starting from September 2009 to July 2010.

25
 Apple PESTEL Analysis

Political Factors:

Government policies are a vital factor that affects the expansion of a business organization in a state/country.
The regulations imposed by the government include tax, labor laws, anti-corruption laws, foreign trade policy,
and more. These aspects form the core of the political part of PESTEL analysis.

● It charts the role and rules of the government concerning the scope of business in the country/state.
● Apple Computers figures at $195.57 billion concerning cash balance. In the USA, the highly publicized cash
balance has led to questions over corporate tax legislation. The pandemic has already worsened income
● inequality. Apple outsources manufacturing to China, and the conflict ensuing between the USA and China has
imposed restrictions on imports for renewing the US manufacturing business.

In 2001, joining China to WTO created opportunity as well as threat for Apple. Lower investment barrier and
market barrier gives Apple opportunities to take advantage of low cost labor and getting potential market,
however for competitors to. Apple had to respond to move its plant to China, to become more efficient or get cost
inefficiency disadvantage over competitors.16 In financial 2010, international sales contributed between 52% and
58% (figure p12). Bad international relations, wars and terrorism might influence Apple and there is no way to
control this by Apple. Producing many of parts and products outside the United States like Ireland, Czech
Republic, Korea and China, Apple may have awful outcomes, because of political conflicts between the United
States and any of this states.

Ecological Factors:

The economic factor is immensely vital as it deals with the overall revenue of the organization. To acquire a
comprehensive picture of the economic factor, one should consider several aspects. It includes employment rate,
production cost, cost of raw materials interest rate, and more. This factor provides the business owners with a clear

26
 concept of the purchasing ability of the customers. The business owners can therefore plan their selling
strategies accordingly to ensure a good profit margin.

● The demand for higher wages among the Chinese workers can affect the production cost of Apple gadgets
that will harm the cost advantage.

Social Factors :
The socio-cultural factor helps in understanding consumer inclinations. This factor is essential for gauging the
demand for a particular product in the given niche. The vital aspects considered under this pointer include
heritage and culture, population density, and level of education.

● Consumers have gladly accepted the use of smartphones. Hence, one can deduce that once a person starts using
a smartphone.
● It will be replaced or renewed after one or two years. But social status is no longer an effective force for
upgrading mobile devices as consumers are looking for cost-effective and functional solutions. Hence, Apple
needs to diversify as they cannot earn from just smartphones.

Technological Factors:

The advancement in information technology and the latest innovations influence the market a lot. Hence, it is
an essential factor in the PESTEL analysis.

● Apple has to compete against formidable competitors Google, Samsung because they produce advanced
products like gadgets and smartphones for consumer use. Often Apple‘s signature products. Hence, further
innovation is required to develop truly unique services.
● Currently, the firm is providing pricey accessories to its consumers. Now, this does not match with high-
end innovation.
● The technology market for computers and mobile phones has become huge, adding more competition in the
market. Technology innovations are almost as fast as light, the products lifecycle is very short. Investing largely
in Research and Product Development makes the work for the competition to follow, but it‘s still better because
innovation is a big part of the brand and has shown to pay out.
● The Wintel (Windows Intel) family created a large number of competitors as threat of new entrant. The platform is not
produced by single firm. The competitors offer similar product to Apple with only little different in features, brand and
design. Several Apple competitors are IBM, HP, Dell, Lenovo, Acer, Toshiba, Dell, Samsung, HTC,
27
 Sony and Microsoft. The computer industry is characterized by low threats of substitute product, because Wintel
PCs are the same kind of product with Apple PCs. There are no pure substitutions for Apple PCs, so it is
considered as rivalry instead of substitution. But there‘s the market for online music, which rises in an
exorbitant manner for last years.
● The portable music market, Apple's iPod, which is based on hard-disk, is facing a massive competition. Still
there is the traditional music industry with selling CDs, music DVDs. From July to October 2003 7.7M digital
tracks were recorded as sold, compared to only 4M physical units of CD singles.19 From 2006 to 2010 in all
major markets of Europe the sales of CDs declined up to 35%. Much better was the digital market, including
downloads of singles as well as bundles.20 So history has shown, consumer preferences changes in high tech
markets frequently.
● The music cassette has been replaced by the CD, nowadays the music CD is preferred by some consumers
than digital music tracks, because product‘s solid state and classic style, behave to collect.

Economic Factors:

The ecological aspect of PESTEL reviews the potential of

the organization and its chances of growth and survival in
a particular environment. Problems such as pollution and
climate change are addressed adequately through the
environmental factor of PESTEL analysis.

● Apple can face environmental challenges. The disposal of Apple devices after it is no longer of any use is the
most pressing problem.
● Industrial emissions from manufacturing outlets in China are another issue because China is implementing
stricter emission laws.

Legal Factors:

Legal factors are the rules and regulations stipulated by the Court of Law. Business organizations have to adhere
to the industry regulations, safe working environment for the employees, consumer law, and more to avoid legal
violations.

● Apple‘s entry into the financial services industry is a lucrative choice. However, it is also a regulated field.
Apple is also planning to expand its business by opening automobile manufacturing units.
28
● These business arenas entail insurance and compliance expenses for Apple. To combat intellectual property
theft to safeguard the range of products, the company also needs to bear the litigation

29
 Key Performance Indicators:

When determining the appropriate key performance indicators to track on social media, it‘s important to focus
on the reach of Apple‘s brand, consumer engagement, conversion rates, and customer satisfaction. These key
elements will help to facilitate Apple‘s growth and identify their successes and where they can improve. The
following are the KPIs specifically chosen to assess and analyze the most recent Apple product releases:

● Social share of voice (So): This will help determine Apple‘s reach compared to their top competitors in the
market on social media platforms.

● Hash tag engagement: Promote followers to post using #ShotoniPhone and #iPhone12Pro to track
customer engagement with new products.

● Social media conversion rate: Track purchases prompted by traffic from social media to online store.

● Customer testimonials: Track and repost highest quality customer testimonials on social media to
promote product. Track views, clicks, and lead generation from user-generated content.

● Customer satisfaction score (CSat): Send out customer feedback surveys with every Apple product purchase
and analyze data key areas of improvement. (Non-social media related KPI)

30
 CHAPTER-4
FINANCIAL ANALYSIS

31
 FINANCIAL ANALYSIS

Apple‘s net incomes fell from 11.25% in 2013 and it increased by 6.68% in the final years. The cash flows from
the operating activities increased by 5.53% in 2013 and increased further by 11.27% in 2014. The cash flows
derived from the investments decreased by 29.97% in 2013 and decreased further by 33.15%. The financing
activities increased by 864.61% in 2013 and increased by 129.25% in 2014. The annual change in the net cash
flow showed an increase by 277.34% in 2013 and a decrease by 111.81% in 2014. The dividends paid for the
three years decreased by a huge margin of 324.6% in 2013 and it improved by 5.32% in 2014. The sale APPLE
FINANCIAL ANALYSIS 10 purchase of the share decreased by 3257.89% in 2013 and it increased by 98.25% in
2014. The changes in the liabilities decreased by 15.47% in 2013, and increased by 61.15% in 2014. The
investment cash flows decreased by 37.43% in 2013 and decreased further by 62.49%. The financing activities
show how the company has been applying its finances to increase its investments (Elliott & Elliott, 2008). Sales
Forecast for Apple Inc. The horizontal analysis shows that Apple‘s sales increased by 7.2% in the first period, and
by 7% in the second period. An average of the two is 7.1%, which would be applied in forecasting the increase in
sales for the next years. In 2015, we would forecast that the sales revenues would grow from $182,795,000 to
$195,773,445. Based on the sales forecast growth of 7.1%, we could as well forecast the sales revenues for 2016
by multiplying the sales revenues of 2015 by 1.071, to get $209,673,360. Stock Price Analysis Apple‘s share
prices have been rising and falling depending on the market forces of demand and supply as well as the investor
perception. In times where the company‘s management goes to the media to announce the launch of a new
product, the share prices increase. In times when the company shares negative information, its share prices
dwindle significantly. One such scenario was the announcement by former chief executive officer regarding his
resignation and the subsequent appointment of his successor, Mr. Tim Cook. The stock markets did not receive
this news with the compassion that it deserved considering the health status of the outgoing chief executive. Most
investors shied off the shares amid dwindling investor perception that the APPLE FINANCIAL ANALYSIS 11
company would fall as it did when the former chief executive went off the board for being fired some years
earlier. The diagram below shows the recent share price trends for the company;

Apple's most profitable product, the iPhone, originally released in 2007, has become the company's most
successful. The iPhone constantly accounts for around 50 percent of Apple's total sales. Undoubtedly, the iPhone
is representative of innovative products in Apple Inc. Its early generation has revolutionized the industry of
mobile phones, which assist to popularize the use of high-tech touch-screen smartphones. Recently, in its 14th
generation, the new iPhone 12 series launch, helping to drive iPhone sales growth yearover-year amid the
COVID-19 pandemic.

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But it is worth Advances in Social Science, Education and Humanities Research, volume 607 3058 noting that, as
can be seen in Figure 3, over time, the proportion of iPhone has gradually dropped from 60.8% to 50.2%, which is
a 2% difference from the peak value in 2018. While the proportions of Mac, iPad, wearables, and home
accessories are nearly holding constant, the proportions of Services have increased from 2017 to 2020. There is
enough evidence to show that Apple‘s services such as iCloud and Apple Music are gradually becoming the
center of attention of consumers.

Compared with the services, the iPhone can no longer maintain old customers or attract more new ones with
its new appearance. That is to say, if there are more new inventions like iCloud that can be achieved and used
to Apple‘s products to serve customers better, Apple will get more benefits.

Table 4. Apple Revenue by Reportable Segments on the Product Category (dollars in millions): 2017 2018 2019
2020 iPhone 139,337 164,888 142,381 137,781 Mac 25,569 25,198 25,740 28,622 iPad 18,802 18,380 21,280
23,724 Wearables, Home and Accessories 12,826 17,381 24,482 30,620 Services 32,700 39,748 46,291 53,768
Total revenue 229,234 265,595 260,174 274,515 Figure 3 Apple Revenue by Reportable Segments on the
Product Category Historical Stock Price This financial analysis is focused on Apple Inc‘s contemporary
corporate marketing situation according to the market fields of Apple, which contains the parts of product
category and geographic basis of markets.

It is lucid to draw the conclusion that Americans is the lucrative market for Apple, and iPhone is the most
profitable product. Additionally, there are plenty of opportunities for Apple Inc to upsurge its profit in market
regions like China, and Japan, by increasing the investment in advertising. Furthermore, there is a continuously
growing trend in the Apple Services area. It is significant for Apple Inc to foresee that and seize the opportunity
to increase its market share and revenue. 6. RECOMMENDATION This essay is to suggest Apple consider more
local culture in developing countries as the expansion in developing countries is significant. In particular, mask
culture, which is a socio-cultural factor, should be considered in China‘s market which is one of the most
Advances in Social Science, Education and Humanities Research, volume 607 3059 important markets. Chinese
people wear a mask to prevent the effect of air pollution and COVID-19, and that leads to a technical issue - the
current Face ID does not work when people put their mask on. It could be an opportunity to develop iris
recognition (technological factor) on iPhone to increase revenue. In addition to that, Apple could develop more
wearable, home, and accessories products to compete with the competitors, for example, Google is developing
many home accessories expenses.

33
34
 CHAPTER-5

RESEARCH METHODOLOGY

35
 Research Methodology

Qualitative Research :
Apple uses Qualitative research by producing online questionnaires and surveys for their consumers to take
part in. They look at the responses to see the thoughts and opinions of different people and put them in use
when launching something new.

Quantitative Research:

Apple uses Quantitative research as they look at figures of different sales made by different companies and
brands. They look at how much profit and customers their competitors are getting and how they can beat them
and make more sales and profits than them (e.g. Samsung). They also use this type of research to find out of
people like their products and services.

Primary research

Apple uses surveys to get customer feedback and improve on their products. Currently on their website Apple has
a ‗Market Research Survey Feedback‘ where they have hired ‗outside market research‘ to encourage customers
to take part in the survey. This will give the customers a chance to give feedback on their experience with Apple
and if there are any issues which may need fixing. Apple takes customer feedback very seriously and they try
their best to resolve the issue as soon as possible as they don‘t want to disappoint their customers. They rely on
their customers to help them with changing and improving their products. This primary research helps Apple
understand their customers as they may mention the areas of a product that might need improvements. So by
seeing what the customers have given as feedback Apple may try their best to meet those standards but at the
same time look at their competitors such as Samsung and how they are performing in terms of their product
selling and also looking at their reviews. Apple may launch a new product and might try to find out information
about Samsung, to see if they are going to be launching anything new and if so then what products. They do this
to be ahead of the game and make a better product.

Surveys is a type of qualitative research as surveys often tend to have open-ended questions. This is also
a qualitative data as they are looking for improvements for products and services.

36
Apple also uses questionnaires to get responses and feedback from different people from different age groups. The
questionnaire is on a website called ‗Survey Monkey‘ and the questions are based on what people prefer and what do
they use the phones for. By doing this questionnaire it gives an overview of what people like and how and why they
use their products. It also mentions which type of products they prefer in terms of Apple products such as IPod, IPad,
IPhone or MacBook. By doing this it will show which products are more popular and are more in use. This primary
research helps Apple recognise their most popular products. They are able to see which products people prefer more
and which products are purchased more often. By seeing which products are more popular it may help Apple to
continue producing those products as that‘s what the customers may want. By seeing what the customers want it helps
Apple understand them better. It also helps understand their competitors as Apple may look what products the
Samsung customers prefer and which of their products are most popular. This type of research is also a qualitative
research as it again has open-ended questions and they are again looking for answers which mentions improvements
for Apple. But this type of research can also be quantitative data but it depends on the way the data is collected in the
end. If they may some sort of a chart or a type of data for each question then it

will include numerical numbers which will make it a quantitative data.

Secondary Research

Apple uses secondary research such as previous marketing research to improve on their products. They use old
information and old data to come up with new ideas for their new launching products. By looking at previous
research they‘re able to see what their consumers prefers In terms of their products and what areas needs
improvements. Apple looks at previous market research as they still want to continue their bond that they have
between their customers, so if they are not paying attention or reading their customer feedback while launching
new products then they may lose customers as they won‘t be pleasing them and keeping them satisfied.
Customers like to be heard and they feel happy when brands launch a product up to their standards as they are
meeting customer needs. If apple doesn‘t do this then they will be losing customers and also losing the
relationship between them. This is why it‘s important to look back at previous researches as it can help brands
like Apple improve their products and become more successful and well-known.

By looking at this type of research it helps the company understand their customers better as the research may
include different source of data and information and it may also mention reviews of the products and what is
lacking in the product or what people might expect in the next launching products. This research also helps
understand their competitors because they can read the previous market research from other companies and
brands such as Samsung. By reading market research from other companies it can give Apple ideas and a heads
up of what they are should be and are going expecting from other brands and companies.
37
This type of research is quantitative research as it includes numbers and figures from previous research. Apple
would be looking at the figures of the market research and look for rooms for improvements for the upcoming
years.

Apple also uses reports from sales when they need to see how well they are doing in terms of making sales and
profits and then comparing themselves with their competitors such as Samsung. By looking at report sales it gives
the Apple Company a realistic amount that they are making and how much more or less they are making than
other companies and brands. By looking at reports from sales it allows Apple to continue making more sales as
we already know that Apple is one of the well-known brand and they are a very successful company so by seeing
their own sale figures it may boost their confidence and may make them want to continue what they are currently
doing. Moreover by looking at sales Apple will be able to see where they are losing out in money and they‘d also
be able to see which product is making them successful and which product is most popular. This type of research
can help Apple understand their customers as they can see how many people are purchasing their products and
how many are purchasing within a day, month or year. This type of research can also help Apple understand their
competitors as they can see the amount of sales they‘ve produced which can help Apple plan ahead.

38
Research method

Quantitative Appro

In quantitative research, the researchers maintain a separate, open-minded view in order to

understand the reality (Duffy, 1986). In this research, qualitative methodologies also have
supposed strengths and weaknesses with respect to the closeness of the relationship between
respondent and researcher. Duffy (1986) argued that strength of this interactive relationship is
that the investigator acquired first-hand experience giving useful, meaningful data. As the
researcher and the subject spend more time together the data are more likely to be valid and
honest (Bryman, 1988). This approach implements data analysis or questionnaire process which
encompasses in designing graphs or tabulating statistics to collect the numerical data .

Qualitative approach

As per the statement of Albert Einstein, the qualitative approach is ―Not everything that can be
counted counts, and not everything that counts can be counted‖. This research approach is
efficient in attaining culturally particular data about the opinions, social contexts, values and
behaviours of specific populations and also effective in determining intangible factors namely
ethnicity, gender roles, religion, socio-economic status and social norms. The qualitative
approach adopts data analysis or interview process (classification of the data) in order to gather
the non-numerical data. Some examples of qualitative data include non-verbal data like videos or
images (Saunders et al., 2003). The present study adopted the Qualitative approach.

Target population

The target population would be working people as well as students that belong to both sex
male and females from the USA and India.

Sample Size

39
For collecting relevant data for the research, a sample size is needed that finally give us primary data for
research and help in reaching the final conclusion. A convenience sample be drawn from the numerous
respondents who are either studying or are employed (Creswell, 2007).

Using random sampling, a sample population of 200 respondents is chosen. The chosen sample size for the
research would be total 200 people 100 people living in The US and the other 100 living in India. Since the main
aim of the study is to find out the opinion of people in relation to the marketing strategies adopted by Apple Inc.
in relation to iPhone in India and US, the respondents should possess at least moderate or high level of knowledge
about the product and the company. Thus, the sample can be called a homogeneous sample (Guest et al., 2006).

Types of data

Primary data: It is the first-hand information for any problem or the highly specific information that is
collected directly either through research or through observation (Kotler et al., 2005). In this case researcher
use survey questionnaire method for collecting primary data from the views of respondents regarding the
regarding the branding and the marketing strategies that are used by Apple for its iPhone (Creswell, 2007).

Reports are a type of quantitative research as it again may include figures and statistics from previous years
which gives a realistic overview of the brand and other companies.

Apple also uses websites where they read and catch up on how their competitors are doing. They can also see how
they themselves are doing as a business as there are a lot of websites where people compare Apple and Samsung
products and prices together. Apple may read up on the comments on what people think of different products, this may
give Apple an idea of what improvement that should be made in terms of product features or price ranges of
the products. By getting information from websites it helps Apple understand their customers as a lot of people
do give reviews of their products online and it also helps them understand their competitors as people may also
give reviews of other different products from other brands and also might give their own perspective as an
‗Apple‘ or ‗Android‘ user which again would give Apple an idea of how they could improve their service and
products.

Websites is also a type of quantitative research as it contains facts, figure and numbers for other brands and
companies to see and read through. By having facts and figures on a website it makes it reliable and believable
but only if the information is up to date.

40
The Outcome of proper Research and Development

41
 CHAPTER-6

OBJECTIVE OF STUDY

42
 Objective of the study

Product development: Apple may conduct research studies to develop new products or improve existing ones,
such as the iPhone or Mac.

Market research: Apple may conduct research studies to understand their target market and their preferences, such
as the demand for specific features or products.

User experience: Apple may conduct research studies to improve the overall user experience of their
products, including usability, design, and accessibility.

Innovation: Apple may conduct research studies to explore new technologies and innovations that could be
incorporated into their products.

Sustainability: Apple may conduct research studies to improve the environmental sustainability of their products
and operations.

Competitive analysis: Apple may conduct research studies to analyze their competitors and identify areas where
1. they can gain a competitive advantage.

43
 Sampling size under research methodology

The research methodology is considered as a blueprint for a research study which encompasses several research
activities, description of procedures, formulations to access the growth and development and various other
success-related factors. Enabling to evaluate and assess the collected data, research methodology acts as a
reference outline in order to make sure that the collection and evaluation of the collected information is done
appropriately to achieve the study‘s objective (Sekaran, 2003). The chief aim of this section is to present an
outline of the investigative plan that was utilized by the investigator while preparing this thesis, endeavoring to
ascertain the part of leadership on job results so as to give validations for the method utilized in this research.
This section elaborates in detail the investigative procedure taken up and further provides a detailed account of
the information gathering and information assessing methodologies utilized by the investigator with the inclusion
of validation for the techniques and methodologies utilized.

Research Approach

The research mainly focuses on analyzing and comparing the marketing strategies adopted by Apple Inc. for its
iPhones in the developed markets of US and the developing markets of India. The research arranged following
Saunder‘s Onion Model (2009) as can be seen below:

44
This is an apt model for analyzing the marketing strategies adopted by Apple iPhone in US and India. Moreover,
this would be an exploratory research that would be qualitative in nature because it provides a flexible framework;
however the research lacks a formal empirical analysis (Thomas, 2006).

Regarding the research approach since there is no hypothesis being developed that needs to be tested, we need to
find out what types of marketing strategies are being used by Apple in US and India. Thus, it automatically
emerges as an inductive research. There would be a collection of detailed data related to marketing strategies
and how it impacts the marketing strategies (Strauss & Corbin, 1998).

To find an answer to the structured questions we use descriptive research (Ghauri&Grønhaug, 2005). Thus in
order to find the answer to the questions like who, what, why, when, how etc. and to help in getting a clear and
distinct population or to analyse an observed fact we use descriptive research. Descriptive research, in this case,
would be best because the study be based upon the previous understanding of the research problem. Therefore
for this research we have used descriptive research because this study needs to find out answers to the structured
questions. For conducting the research, primary data is collected using survey instrument and secondary data
would also be collected from various authentic sources.

Target population

The target population would be working people as well as students that belong to both sex male and females
from the USA and India.

Primary data: It is the first-hand information for any problem or the highly specific information that is
collected directly either through research or through observation (Kotler et al., 2005). In this case researcher use
survey questionnaire method for collecting primary data from the views of respondents regarding the regarding
the branding and the marketing strategies that are used by Apple for its iPhone (Creswell, 2007).

Survey

Survey method is the most often used method for collection of primary data as this technique is betted for
collecting detailed information moreover it is very flexible as well. It helps in obtaining different types of
information, that too in different situations (Kotler et al., 2009). Target groups need to be selected by the
researcher in this case for asking the questions regarding their attitudes, preferences, knowledge as well as

45
behavior. Thus to collect information about the marketing strategies adopted by Apple Inc., a survey
questionnaire be designed for collecting information or data.

46
 CHAPTER-7

ANALYSIS AND INTERPRETATION

47
 Analysis and Interpretation
Corporate governance

According to the dictionary of American Heritage 2 College (1991), corporate governance refers to the merger
of several individuals or groups into a corporate body. While according to Andrei Shleifer and Rober W. Vishny
(1996), corporate governance is where business owners need to address how to gain investor confidence in the
company that they are getting their return on investment. Whereas, according to StijnClaessens (2006), corporate
governance can be defined in two categories, the first being related to a set of behavioral patterns, the actual
behavior of the company, in terms of performance, efficiency, growth, financial structure, and position
shareholders and more. However, the second definition deals with the normative framework, the rules by which
firms operate, and the rules that come from sources such as the legal system, the judicial system, the financial
market, and the (labor) market factors.

Financial risk

Most of the companies facing financial risk are closely linked to financial lending and debt financing. If a
company uses a high percentage of debt financing to run its business, it will result in a high level of financial risk
and it will take a long time to complete the loan. Financial risk is the risk that a company cannot meet its
obligation to repay the debt it has created. This means that an investor of a company has the potential to lose
money invested in the company. The same is true of David L. Scott (2003). He argues that financial risk is where
firms are unable to meet their financial obligations. While according to Campbell R. Harvey (2012), financial
risk is an insufficient cash flow risk for a business owner to meet his or her financial commitments. It can also be
referred to as the additional risk that the shareholders face.

Market risk

Market risk is related to the risk of loss arising from a negative change in the value of an asset held by market
price movements. According to Kevin Dowd (2005), Market risk is the risk of loss arising from unexpected
market risk changes or it can also be classified as interest rate risk, equity risk, exchange rate risk, commodity
price risk, and so on. Risk is interest rate, commodity price risk. While according to Amit, Max, Sonja, and
Thomas (2012), Market risk refers to the risk of loss in a bank's trading book as a result of changes in equity
prices, interest rates, credit spreads, foreign exchange rates, commodity prices, and other indicators whose value
is set out in public market. Market risk can also be termed systematic risk.

Operational risk
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Operational risk can be defined as an organization's risk when it seeks to work in a particular field or industry. It
is the risk of balance in determining the adequacy of financing and incorporating risks arising from damage to
internal techniques, individuals and frameworks. According to Kevin Dowd (2005), operating risk is the risk of
loss arising from failure of the internal system or the person performing the operation. As well as Marcelo Cruz
(2002), he argues that operational risk has been defined by the Basel Committee as the risk of loss arising from
problems from internal controls, systems, people and external events. According to SpulbarCristi (2009), groups
of operational risks of various types, such as trade offenses at the implementation and registration stages,
insufficienţ internal controls or misconduct, legal issues, etc.

Credit risk

Credit risk can be defined as a risk of loss associated with the possibility of counterparty fails to meet its
obligations. And also, according to Westgaard and Wijst (2001), credit risk is the risk that a
borrower/counterparty will default, i.e., fail to repay an amount owed to the bank. Credit risk includes all of the
counterparties and reasons for which they may default on their obligations to repay. According to Kevin Dowd
(2005), credit risk is the risk of loss arising from the failure of a counterparty to make a promised payment.

Liquidity risk

Liquidity risk occurs when an investor, business, or financial institution is unable to meet its short-term debt
obligations. Investors are unlikely to convert assets to cash without losing capital and income due to shortage of
buyers or markets. According to Jeremy Berkowitz (2000), liquidity risk refers to an uncertain change in the
value of a portfolio caused by the liquidation of assets to meet future cash needs. It also arises from the volatile
demand for funds that must be met by liquidating assets. According to Leonard Matz and Peter Neu, (2007), the
importance of liquidity to the financial system and the need to minimize the impact of liquidity failure on the
system as a whole.

Interpretation

The most notable features of Apple's marketing strategy is its focus on design. Apple's products are known for their
sleek and minimalist design, which sets them apart from many other technology products on the market. This design
focus extends to Apple's marketing campaigns, which often feature images of its products with clean lines

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and bold colors. Apple's design philosophy is based on the idea that technology should be intuitive and easy
to use, and that design plays a crucial role in achieving that goal.

In addition to its focus on design, Apple's marketing strategy is also characterized by its emphasis on
innovation. Apple is known for its ability to create new product categories, such as the iPod, iPhone, and iPad,
that have revolutionized the way people interact with technology. Apple's marketing campaigns often highlight
the innovative features of its products, such as the Retina display, Face ID, and Siri.

Another important aspect of Apple's marketing strategy is its use of brand ambassadors. Apple has a long
history of working with celebrities and influencers to promote its products. For example, in 2019, Apple
launched a marketing campaign featuring a series of short films directed by Oscar-winning filmmaker Damien
Chazelle and starring musicians such as FKA twigs and Anderson .Paak. This approach helps to create a sense
of excitement around Apple's products and can help to drive sales.

Apple's marketing strategy also includes a strong focus on customer experience. Apple's retail stores are
known for their clean, minimalist design and their emphasis on customer service. Apple's employees are
trained to provide a high level of customer support, and the company has invested heavily in creating online
resources to help customers troubleshoot issues with their products.

Finally, Apple's marketing strategy is characterized by its focus on sustainability and social responsibility.
Apple has made a commitment to reducing its environmental impact, and the company has launched a number
of initiatives to promote sustainability, such as its recycling program and its use of renewable energy. Apple's
marketing campaigns often emphasize the company's commitment to sustainability and social responsibility,
which can help to create a positive image of the company in the eyes of consumers.

In summary, Apple's marketing strategy is focused on design, innovation, customer experience, and sustainability. By
creating a strong emotional connection with customers and emphasizing the quality and innovation of its products,
Apple has been able to maintain its position as one of the world's most valuable and recognizable brand

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 CHAPTER-8

SUGGESTIONS

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Suggestions

To fulfil the consumer need

To increase the products quantity

Camera quality is bad

They should think about middle- and lower-class family also

Battery problem

The prices of products are high

Please make your devices fully wireless

Please remove primary Sim tray section and include E- Sim section for primary Sim

Include flashlight in front camera

Upgrade or extend the warranty of your phone up to 3 years at least

You should take care of all the necessary things what consumer want

Same icons with same look on home screen even after upgrades

Too simple & doesn‘t support computer work as in other OS

No widget support for iOS apps that are also costly

Doesn‘t provide NFC and radio is not in-built

App sizes are usually too big consuming too much space

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CHAPTER -9

CONCLUSION

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 Conclusion

The main conclusion that can be drawn is we found to be the most interesting about Apple is how they are very
innovative and early adapters. Apple is usually the first company to come out with a new product line before
anyone else. This is very risky but it seems to be working to Apple advantage. This shows that taking risks can
sometimes make or break you and Apple has great potential and has a lot to improve. Currently, Apple is
demonstrating negative aspects of TNCs, contributing to international debt crisis through exploitation of workers.
In a way, Apple is promoting debt crisis in LDCs by accessing their labour and raw materials on the cheapest
possible terms. If it is willing to play the role of a beneficial TNC, the global economy can certainly benefit.
Furthermore, people in the least developed countries, and the environment, will benefit as well. This requires a
change from all stakeholders: the company itself, the consumers, the shareholders, and the workers. It is
important for a TNC to progress towards beneficial behaviour because this can determine people's view on
progressing towards further globalization, as influenced by neoliberalism.

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CHAPTER-10

REFERENCES

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 References

Websites:

Apple official website (www.apple.com)

https://www.google.com/search?q=introduction+of+apple+company&oq=Introduction

https://www.google.com/search?q=marketing+environment+of+apple+&client=table

BOOKS :
Insanely Simple – Steve Jobs
Inside Apple by Adam Lashinsky

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CHAPTER-11
ANNEXURE

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 Which Smartphone You are Currently Using ?
Samsung
iPhone
Oneplus

Is an Apple Feature meets your need?

Yes
No

Is iPhone better than Samsung?

Yes
No

. 4. Do you consider yourself to be an apple company product lover ?

Yes
No

Do you feel Apple products are overpriced?

Yes
No

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 Do you believe Apple's market dominance will be beaten by another brand in the

next few years?

Yes
No

7 .Please give a short explanation for your choice... If you had to rate Apple as a

company, how highly would you rate it?

0-4

4-7

7-10

8. Do you use an iPhone as your primary phone?

Yes

No

9. Do you own an Apple device (or have done in the past)?

Yes

No

Who is the CEO of Apple?

Jeff Williams
Tim Cook
Luca Maestri

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Approximately how many retail stores are there worldwide?
500
1200
2400

What was Apple's first product?

Macintosh
iPod
Apple I

13. Do you consider yourself to be an apple company products lover?

Yes

No

14. Do you consider yourself to be an apple company products lover?

Yes

No

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