Introduction To Marketing
It depends on costs Of production, segment targeted, ability of the market to pay, supply – demand and a host of other direct and indirect factors. There can be several types of pricing strategies, each tied in with an overall business plan. Pricing can also be used a demarcation, to differentiate and enhance the image of a product. Product: refers to the item actually being sold. The product must deliver a minimum level of performance; otherwise even the best work on the other elements of the marketing mix won’t do any good. Place: refers to the point f sale.
In every industry, catching the eye of the consumer and making it easy for her to buy it is the main aim of a good distribution or ‘place’ strategy. Retailers pay a premium for the right location. In fact, the mantra of a successful retail business is ‘location, location, location’. Promotion: this refers to all the activities undertaken to make the product or service known to the user and trade.
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This can include advertising, word of mouth, press reports, incentives, commissions and awards to the trade. It can also include consumer schemes, direct marketing, contests and prizes.Literature Review.
APPLE PRODUCT GROWTH AND VALUATION. Apple’s 1997 “Think Different” marketing campaign was one of its most memorable ever. Billboards and banners featured huge black-and-white portraits of performers, artists, scientists, and political leaders whose outsider ideas eventually became mainstream. The implicit message was that Apple’s “insanely great” products were for quirky rebels who would one day dominate the world. The photo of Steve Jobs on the cover of his posthumous biography would have fit right in.The Apple of today is turning its back on that creative class. Apple no longer signs for creators of digital media, who tend to be very demanding about product quality.
Instead, Apple builds for consumers-?in both senses of the word: people who spend their own money, rather than their companies’, and people who consume digital media, as opposed to people who produce it Focusing on digital consumption has made Apple wildly profitable, but the company’s products have trended downwards in quality, flexibility, and even reliability.Apple appears to be suffering from growing pains. The company-?which declined to comment for this article-?seems increasingly overwhelmed by the did range of products and services that it has created, and is responding (quite logically) by spending significantly less effort on items that appeal to a shrinking percentage of its customer base-?a group that unfortunately includes digital creators. The danger is that by focusing On consumption, rather than production, Apple will jeopardize the very essence that first made its products insanely.Apple’s Strategic Profile – Value Culture vs.. Cost Culture In my view, Apple’s good and bad sides both emanate from the same business philosophy: adroit exploitation of market power for the sole benefit f the company and its investors.
This model does not consider “what is fair” but what is competitively achievable in higher prices for products sold and lower costs for products made. Value Culture: When it comes to customers, Apple applies the notion value, i. E. , a pricing strategy that is driven by its focus on the value-?real and perceived-?to its customers.The customer is willing to pay a price that is equal to the product’s perceived value to the customer. Hence, as long as the customers are satisfied, Apple is under no obligation to reduce its prices. SHORT ANALYSIS: SOOT: stands for Strengths, Weaknesses, Opportunities and Threats.
It is a way of Summarizing the current state of a company and helping to devise a plan for the future,One that employs the existing strengths redresses existing weaknesses, superconductivity’s and defends against threats.