Disruptive Technology Apple Case Study
California, that designs, develops, and sells consumer electronics, computer software and personal computers. Its best-known hardware products are the Mac line of computers, the pod media player, the phone smartened, and the pad tablet computer. Its consumer software Page 3 of 10 includes the SO X and ISO operating systems, the tunes media browser, the Safari Nub browser, and the life and rework creativity and productivity suites. Apple was founded by Steve Jobs, Steve Waking, and Ronald Wayne on April 1, 1976 to develop and sell personal computers.
It was incorporated as Apple Computer, Inc. January 3, 1977, and was renamed as Apple Inc. On January 9, 2007 to reflect its shifted focus towards consumer electronics. Key concepts: Disruptive technology. Summary: A disruptive innovation is an innovation that helps create a new market and value network, and eventually disrupts an existing market and value network (over a few [ears or decades), displacing an earlier technology.
In this case we are telling about the pad of Apple Inc. When Apple Inc. Create pad it force many existing media businesses to change their business model significantly.
Pad of Apple enter into the arrest with special features such as it is small and that make it very easy to carry etc. That makes it as a disruptive technology. The pad is replace existing technology like computer, television and e-book.
The winners are the pad that own by Apple themselves and the losers are textbook industry and laptop industry. Pad has some effect on the business models of Apple, content creators and distributions. The effect IS pad will have high quality content from all the types of media offers by Apple.
Pad become the chosen device by mostly content creators to distribute their content cause Apple has set a tiered pricing system. IQ : Evaluate the impact of the pad using Porter’s competitive forces model? I) Traditional competitors Pad have traditional competitors like notebook, laptop, camera and all hand phone brand especially Samsung because the competitors in market space continuously devise new products, new future in product, more efficiencies. I) New market entrants. Pad will force many existing media businesses to change their business model significantly.
It is to stop investing in their traditional delivery platform and increase their investments is the new digital platform. Ii) Substitute products and services Pad is not Just a phone but covers all the technologies like social hub, games, e-mail and others. For example pad substitute textbook to e-book which can be brought about elsewhere in pad applications.
V) Customer Apple has appealed to publisher by announcing its intention to offer a tiered pricing system, giving publishers the opportunity to participate more actively in the pricing of their books.
For example, Amazon has put on lowest price to publisher to publish their e-book which makes publishers hard to gain profit. In contrast, Apple use a new Nay to convince their customer about pricing by offering tiered pricing system. D) Suppliers Here you assess how easy it is for suppliers to drive up prices.
This is driven by a number of suppliers of each key input, the uniqueness of their product or service, their strength and control over you, the cost of switching from one to the other, and so on. For example, the pad makes a deal with the publisher Amazon for low prices.
Page 5 of 10 New market entrants Substitute Products Trying to force many existing media and to stop investing in their traditional livery platform. Phone is the substitute of pad. Competitors ere Firm Apple Suppliers Apple Company is the only supplier of Pad.
So firm can’t exercise greater control over it. Notebook Laptop Camera Customers Using a new way to convince their customer about pricing by offering tiered pricing system. 10 inch color display In-If internet connection High speed cellular network SQ: What makes the pad a disruptive technology?
Who are likely to be the winners and losers if the pad becomes a hit? Why? Everything on pad makes it a disruptive technology. It come with special features such as it is small and that make it very easy to carry. The pad also come with the latest technology and new software that make it operating very smooth.
The pad is replace existing technology like computer, television and e-book. Anything that people get on computer, they also can get it on pad plus the pad is small compare to the computer.
The “inners are the pad that own by Apple themselves. This is because everything inside the pad. Everything that makes it a disruptive technology.
A special features compare to the other tablet. The losers are textbook industry and laptop industry. It is because people can have all of them on the pad. More people use to choose the Pad rather than textbook and laptop. Infill internet Reading books, magazines etc.
pad rev facilities and lectionary as Nell as HAD mages cellular network Figure: What makes the pad a disruptive technology?
Page 7 of 10 Winner and loser if the pad become a hit Inners Loser ere tunes music store ere app store on the phone Text Book Industry Laptop Industry Reasons for winning and losing Losing Changing the consumer perception of albums and music bundles. Drastically reducing consumer institution of albums preferring to purchase and download one song at a time. Using music label to make more money by selling 12 songs on an album than singles. Many unread newspaper among bundles of news articles.
SQ: Describe the effect that the pad is likely to have on the business model of Apple, content creators, and distributors.
Apple had to change their behaviors has been forced by the disruptive technology , In changing the company’s supply chain, its marketing strategy, its market position, or its pricing strategy. Apple has their own business model which previously believed intent was less important than the popularity of its device. But now, Apple realize that to be successful, high quality content is the first thing to be understand.
Apple now deals with media industry to distribute the content that users want to get at a price agreed. To sell devices, Apple had to leave the old attitude as pad got challenge to convince potential users. The effect is pad will have high quality content from all the types of media offers by Apple.
Pad become the chosen device by mostly content creators to distribute their content because Apple has set a tiered pricing system. Before Apple believed that content was less important than the popularity of its device.
Apple realize that to be successful, high quality content is the first thing to be understand. Apple now deals with media industry to distribute the content that users want to get at a price agreed or sell devices, Apple had to leave the old attitude as pad got challenge to convince potential users. Page 9 of 10 Conclusion: Despite of having disruptive impact on publishing and media industries, pad achieved a smashing success throughout the world.
Through these technology world as become very small and get all of our information Just a few minutes.
In future, Pad must be enriched with more high technological development to satisfy all human needs. Recommendations: Bluetooth connectivity should be developed with all types of device. Showrooms should be available for increasing sales. Customer care point should be established more to provide information.
Price structure should be kept lower. ere weight of pad should be reduced for carrying facility. Available SIMI card should be used rather than mini SIMI card. All types of software should be applied by pad.