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IPAD’s TRAVEL
IPAD’s TRAVEL
When did the iPad first originated
When did the iPad first originated
How is the price of iPad determined
How is the price of iPad determined
What are some of the related/ Associated products for iPad
What are some of the related/ Associated products for iPad
Project B
Project B
Existence of many other products can satisfy same wants or needs as
Existence of many other products can satisfy same wants or needs as
die-hard Apple fans buy Apple products even when sold at high-end
die-hard Apple fans buy Apple products even when sold at high-end
Producer’s point of view
Producer’s point of view
S1
S1
recent development, and investment in research and development(R&D) ,
recent development, and investment in research and development(R&D) ,
Overall, recent developments will affect marketing and pricing
Overall, recent developments will affect marketing and pricing
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Презентация: «IPAD’s TRAVEL». Автор: Meridian Junior College. Файл: «IPAD’s TRAVEL.ppt». Размер zip-архива: 2251 КБ.

IPAD’s TRAVEL

содержание презентации «IPAD’s TRAVEL.ppt»
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1 IPAD’s TRAVEL

IPAD’s TRAVEL

PROJECT A

2 When did the iPad first originated

When did the iPad first originated

first announced on January 27, 2010, by Steve Jobs at an Apple press conference in San Francisco. first iPad was released by Apple in April 2010. 14.8 million iPads sold worldwide as of December 2010 (75% of total tablet PCs sales)

3 How is the price of iPad determined

How is the price of iPad determined

by the cost of production taken from iSuppli, the total cost of production of iPad 2 is $336, however the price sold in market is $668.00 for a 32GB iPad first generation. quantity demand by consumers through the price they are willing and able to pay.

4 What are some of the related/ Associated products for iPad

What are some of the related/ Associated products for iPad

Samsung Galaxy Tab HP touchpad Motorola Xoom BlackBerry Playbook tablets by Acer Inc. have similar functions as iPad some are even sold at lower prices such as the Samsung Galaxy Tab. Hence, this puts the market of iPad at a disadvantage as consumers may turn to other brands of tablet computers that they may get at a cheaper price. This will cause the total revenue for products by Apple to decrease.

5 Project B

Project B

This is a study of the iPad market where producers study how recent changes in the market can affect the revenue of firm.

6 Existence of many other products can satisfy same wants or needs as

Existence of many other products can satisfy same wants or needs as

iPad are known as substitutes. For example, Samsung Galaxy Tab. In time to come, other tablet computers will be released such as Motorola Xoom and Blackberry Playbook. Marketing decisions for the iPad by consumers will be affected because they now have a range of tablet computers to choose from. With increased number of substitutes, demand for iPad might be affected and equilibrium quantity decrease. Pricing decision for iPad will be affected, as shown in the figure below.

Consumer’s point of view

Price of Samsung galaxy tab

Price of iPad

S1

S1

E1

S2

P1

E2

P1

E2

P2

P2

D1

D1

E1

D2

Quantity of iPad

Quantity of Samsung galaxy tab

Q1

Q2

Q1

Q2

7 die-hard Apple fans buy Apple products even when sold at high-end

die-hard Apple fans buy Apple products even when sold at high-end

prices. For instance, they buy iPod nano, ranging from first generation to the latest 6th generation and are willing to queue overnight for the grand release of new Apple products. This results in increase in demand for iPad which will affect the marketing and pricing decisions for iPad as demand increases, equilibrium price increases.

8 Producer’s point of view

Producer’s point of view

Hp and Samsung galaxy tab are in competitive supply with iPad which is produced using same resources. If prices of Hp and Samsung galaxy tab increases, this causes increase in quantity supplied due to higher profit per unit output. Thus, resources are diverted away from iPad causing decreased production of iPad, supply curve of iPad will shift to the left. Marketing decision is affected as there are more producers producing similar goods causing supply of iPad to decrease. Pricing decision is affected due to increase in competitive supply, hence causing equilibrium price of iPad to increase. iPad producers adopt non-price competition to maintain its sale in response to fall in prices of substitutes. For example during IT fair, iPad sellers give free gifts such as speakers to establish uniqueness of iPad in consumers’ mind.

9 S1

S1

S1

P2

P1

P1

Q2

Q1

Q1

Q2

10 recent development, and investment in research and development(R&D) ,

recent development, and investment in research and development(R&D) ,

technology improved over the years increase productivity in production of iPad hence efficiency increase, ceteris paribus. Therefore, more output can be produced with same amount of input, higher profit per unit of output. Increase in quantity supplied due to increasing popularity among consumers lead to a rightward shift of supply curve. Marketing decision will be affected due to improvement in technology and increase number of sellers resulting in increase in supply. Pricing decision will be affected due to increase supply leading to decrease in equilibrium price.

11 Overall, recent developments will affect marketing and pricing

Overall, recent developments will affect marketing and pricing

decisions of iPad. With more competition from other brands it affects it negatively. However, support from die-hard fans of Apple products neutralise impact of increasing competition . Inversely, increasing amount of competitive supply may cause decrease in supply of iPad but improvement in technology and increase number of sellers neutralises impact.

12 !

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