Analysis Overall an oligopoly. (I stated in class) There are few companies that rely on each other and compete with better products. Android as a standardized product, while Apple is a high-end differentiated target. Android is a common commodity because it offers services to the lower class, while Apple offers services to the upper-middle class. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay New Competitor: High for Android, Low for Apple High Fixed Cost There is a brand of loyalty with each company, which results in diehard Apple or Android customers. Every company strives for differentiation, the company that offers more and better service gets better profits. Patents make copying difficult; resulting in a competitive advantage. Apple and Android are competing to be the best, fighting for customers and the market, so it's focused and a new company would make it difficult. Vendors: from high to Android, from low to Apple. All the products that make up a phone you can purchase. Highly concentrated. Large companies can price shop, allowing for the lowest price. Conversely, if there were small companies with a limited number of suppliers, then the suppliers could decide their own price. Substitutes: High risk for Android, low risk for Apple. Android and Samsung rely on each other as substitutes. Common substitutes for distributing knowledge or information would be: social media, laptops (Apple is a leader in this), newspapers, magazines, email and the Internet. Apple and Android have a symbiotic relationship, they rely on each other, but at the same time create innovative products. They can be substitutes for each other Buyers: High threat for Android, low for Apple. Knowledge depends on customers. Customers are price sensitive: the cheaper the phone with the best features, the more products will be sold. Demand is inelastic, resulting in customers waiting for the product they want to go on sale. Overall, customers will determine the outcome of how the product will fare. Answers D. Apple differentiates itself by marketing only to high-end consumers. The closest thing Apple products had to reaching the low-end market were phones with colored backs. Whereas Android is a common commodity because it reaches low-end consumers. Samsung is a supplier to Apple, resulting in Apple stealing designs from Android. Apple phones have the following: Please note: This is just an example. Get a custom paper from our expert writers now. Get a Custom Essay NO Home Button Facial Recognition Larger Screens 2 Rear Cameras Samsung makes DRAM chips and memory chips. E. No one can copy the technology. Creating technologies and apps like Apple's would take years to recreate. There are no substitutes (OS) that make IOS valuable. The company is also bonded, so anything purchased with IOS profits would go back into the company.
tags