Case Study – Mis Essay
1.) Evaluate the impact of the iPad using Porter’s competitive forces model. Due to the strong position of Apple, it can govern the tablet market but still there are many factors which are shown in the porter model that might affect iPad of being a true market leader. (+ indicates that the factor will highly affect the iPad/Apple position in the market) 2.) (a) What make the iPad a disruptive technology?
It is entirely new product category which can satisfy customers need with the availability of more than 250,000 apps feature. It also supports the touch screen technology. The size is between a smart phone and laptop. It also comes with wifi and 3G connection and different storage size. There is also a camera and audio features. In my opinion, most of the required features are provided in the iPad which makes it a disruptive technology. (b.) Who are likely to be the winners and losers if the iPad becomes a hit? Why? * Apple – Apple company will greatly increase in sales revenue and gain tremendous profit Substitute Companies – if the iPad becomes a hit, substitute product such as HTC Flyer, blackberry playbook, Kindle and Microsoft table PCs will have sales declines and might suffer great losses.
* E-Books – Plenty of Ebooks apps available in the Apps Store, In addition IPad is like an electronic book viewer and it support many books. It is also an environmental friendly and easier to obtain/use. Printed Book Industry & Publishers – because of the technology and the availability of the books online, they will have sales decline and lose their business. * Apps Store – IPad features supports playing game with friendly interface and cool/useful apps * Gamming device – Sony PSP, Nintendo and others might have sale decline due to lack of innovations compare to iPad. * Safari Browser – The Safari browser is used in all Apple products as their primary and only browser to surf the internet. * Websites that support Flash – if iPad becomes a hit, websites that support flash will not be able to market their products through iPad because iPad doesn’t support flash. * Record labels, Movies – Apple is controlling iTunes and this will enable them to maintain their premium pricing * Video players – the portable DVD player market will wiped out soon
* Apps developer – it will create a multi-billion market for the apps developer because people will pay to purchase applications, games, music, etc. from Apple apps store Netbooks- The IPad creates a new category of device which will sit in between smart phone and laptops. The netbooks might not be used anymore. 3.) Describe the effects that the iPad is likely to have on the business models of apple, content creators, and distributers. Business Model of Apple: It will contribute on Apple sales revenue.
In addition, iPad will help to dominate the online distributing and publishing such as: E-book, E-mag, E-newspaper, TV on the go, etc. which will establish a close relation between Apple and the customers Content Creators: it will Create high quality applications, Personalize/customize contents. Apple business model is based on pushing the value chain towards the iPad and gain profitability through upstream of content providers Distributors: The iPad will bring an enormous increase in online shopping which will help the distributors to market their product through iPad. It will also Offer more freedom to the publisher.
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