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Competitive Environment
Competitive Environment
Apple Inc is one of the most valuable brands worldwide. His success stems from his
ability to rely on his strengths to avoid weaknesses and threats while exploiting new
opportunities. Thus, Apple Inc’s competitive advantage revolves around the ability to
introduce profitable new products such as innovative mobile device lines to complement
existing ones. Additionally, the company’s marketing mix as observed by David Kryscynski
(2021), involves a premium pricing strategy which brings high profit margins. This factor, in
itself gives Apple Inc a competitive advantage although sales volumes remain low, especially
for MacBook laptops. Likewise, generic competitive strategy plays an important role in
keeping businesses up to date on the latest technology.
The company also has a competitive advantage when it comes to expanding its
distribution network. With technological advancements shaping the industry, Apple Inc can
easily modify its distribution strategy. The modified distribution network will facilitate quick
and easy access to more customers in the global market. Similarly, Apple unlike its
competitors, has a higher chance of increasing its sales for mobile phones through aggressive
marketing.
Overall, Apple Inc’s competitive environment can be analyzed through the lens of
Porter’s 5 forces. As evidenced above, the company is now facing fierce competition from
other players such as Google and Samsung. Other forces such as the threat of substitute
products are critical to its competitive environment. However, while the company faces
several challenges in line with Porter’s five teams, it continues to have a competitive edge
over other players. For example, Apple Inc. Have the ability to introduce profitable new
products, such as a new line of mobile devices