At the beginning of 2011, Jobs announced he would again be taking leave for medical reasons. Its advertising is so powerful that create a word of mouth campaign to build a better brand perception and increase the product desire. As it has doubled its stock price since summer 2016 and become the first trillion dollar company earlier this year, it has also seen some dips and is currently below the price it was at a year ago. In year 2005, Apple Inc had controlled 4. Google leverages its strengths in search and mobile by corralling users into its ecosystem with useful apps like Maps, Drive, Gmail, YouTube, and Google Now. Invest in green technology: Sustainability is not just a fad and the way its importance has grown in this century is well known and in several areas the popularity of sustainable technology has grown from power to transport. Protection of brand value is a top priority for Apple because it is critical for customer loyalty, retention, and purchase intentions.
So, are investors wise to remain on the sidelines at this juncture? Try any of our Foolish newsletter services. This should help to boost hardware sales and sets the stage for future partnerships with Amazon which should prove profitable for Apple. The road ahead In my opinion, Google faces too many disruptive challengers to be considered a safe long-term investment. Apple has extremely high customer loyalty and retention rate. Strengths The iPhone: Sales of the revolutionary smartphone have undoubtedly cooled off a bit lately, inching just 0. Google's expansion into streaming music with Google Play Music could also generate fresh revenue from ads and subscriptions. The horizontal integration comes from the multiple devices the company has created.
Apple is still a market leading brand and can find faster growth through acquisitions and investment in green technology. Rising labor cost in countries where Apple plants are located is also an issue of concern. Over the years Apple has recognized itself as the second most valuable brand in the world following behind Google. For example, iPhone revolutionized the market with its touch controls, screen-centric designs, multi-touch, App Store, Accelerometer and gesture-based interface. It achieved the sales of 216 million iPhones in 2017. Apple Inc Introduction Apple Inc is an American multinational organization located in 1 infinite loop, Cupertino, California 95014, in the middle of the Silicon Valley.
Apple charges higher than market average prices for its products not only due to its high brand image but technologies that are put into each product development. The increased demand for smartphones and tablets presents a major opportunity for it. One of the key threat to Apple is Dell which is a primarily computers manufacturer. What is the company spending its money on and how much cash does it have on hand? Not only would they have to think about the internal issues but also the external issues. The Company sells to education, consumer, creative professional, business, and government customers. Apple is engaged in design, development and marketing, of personal computers, media devices, and portable digital music players. Risk Return Analysis 9 5.
Though, the majority, is still struggling to understand why exactly Apple revolutionized the mobile tech market. The road ahead In my opinion, Google faces too many disruptive challengers to be considered a safe long-term investment. Coming up with audio products would help Apple address the needs of a wider customer audience and increase sales. Apple needs these customers to experience their products to further the growth of its company. As any other company, Apple has its blind sports.
In other words, Apple devices create their own ecosystem. It already has great brand equity. The concept behind their company was the creation of an inexpensive, simple to use personal computer kit. Weaknesses Google's greatest strength is also its biggest weakness. In the past, Apple has created innovative products that have helped attract and maintain customers. It sells a variety of related software, services, peripherals, and networking solutions.
Operating in complex and challenging environment could impact market position Apple Inc. This shows in its financial might and the popularity of its products. This in combination with supply constraints urged Apple to warn its investors of lower potential revenue for the first quarter of 2019. Reports indicate that Apple has been offering Tesla employees to join Apple. The brand has continued to invest in technological innovation to maintain its popularity globally and to remain competitive. If Apple is a rich brand then apart from the high sales of Apple products, its high profit margins have also played a critical role in it. From the beginning, Apple revolutionized tech and customer expectation are on top.
There is no doubt that Apple best product is iPhone but unable to dominate the market. The Company sells its products worldwide through its online stores, retail stores, direct sales force, and third-party wholesalers, and resellers. Apple leads the digital music revolution with its iPods and iTunes online store. The newest release from Apple, iPhone X has also been highly popular and Apple is seeing higher sales and growth. Emerging nations provide strong growth opportunities Apple Inc. Economic fluctuations: Economic fluctuations keep happening in the global industry and that can lead to losses for the international brands. Even if that is not a very substantial threat, it cannot be ignored.