New Market Entrants Case Study
If money have a favorite song, so they can download that song via pad and they Not buy the whole album which is too expensive. Substitute Product and Services Its mean products that are similar and have most or some functionally as same as pad. For example Samsung. New Market Entrants Including e-book readers like Amazon Kindle, is flooding the marketplace with an inevitable coming in the future. 2. What makes the pad a disruptive technology ? Who are likely to be winners and losers if the pad becomes a hit ? Why ? Disruptive technology is a new technology that comes along and changes the world in ay. Pad is a platform at which it has the capabilities of a laptop or tablet PC but in an elaborate functionally that makes itself unique. Inner rhea winner in this case is Apple because its ability to replace many item into one Pad. Apple are able to compete with many competitors from different industries such a Apple company succeed get e-books as their supplier and get download any music with lower rate. pad is successful by replacing all the basic technology. Losers rhea competitor industry like newspaper which is it needs to produce paper and get customer to buy it at any store.
But, pad make people easy like they have e-News, so that customer can read through their own pad. 3.
Describe the effects that the pad is likely to have on the business models of Apple, content creators and distributors. Apple will understand that it is need that high-quality content from all the type of media it offers on its devices to be truly successful. It because to make sure all customer are satisfied with them. Make deals with each media industry to distribute the content owners and the platform owners. From that, it will become more successful in future
IQ : Evaluate the impact of the pad using Porter’s competitive forces model? Answer : 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 has become a role model for competitors to enter the market in a way trying to imitate and innovating technology. Wherein, the technology has not evolved due to this factor.
For example, Samsung has released E-Book like the pad. The proof of the sue lawsuit between Samsung and pad due in terms of size, design and function the same.
Iii. 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. Lb. Customers Customers will have some bargaining power as many content producers are now located online for free.
Because of its low price, and consumers still crave something more.
Here the important role of pricing, where customers are looking for reduces that offer the lowest prices and have various advantages in product. V. 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 Witt the publisher Amazon tort low prices. Q : 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 winners 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. Q : 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 as 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 content was less important than the popularity of its device. But now, Apple realize hat 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 ( “rip, burn distribute” ) as pad got challenge to convince potential users Case Study Questions: 1 . Evaluate the impact of the pad using Porter’s competitive forces model. 2.
What makes the pad a disruptive technology? Who are likely to be the winners and losers if the pad becomes a hit? Why? 3. Describe the effects that the pad is likely to have on he business models of Apple, content creators, and distributors? Answers; 1 .
A) Traditional competitors include television, printed media, radio, movie distributors, cell phone makers and carriers, and even other Web sites. B) New market entrants, including e-book readers like Amazon’s Kindle and Sonny’s E-book reader, are flooding the marketplace with an inevitable shake-out coming in the torture. ) As a substitute product and service the pad will not supplant laptops or notebooks immediately but may take sales away from these two devices in the future. rhea immediate impact of substitution will be on the publishing and media industries. D) Customers have a new outlet in which to watch television on the go and read content online rather than in traditional print modes. E) Suppliers from the publishing and media content industries will have to stop investing in traditional delivery platforms and increase investments in new platforms.
Apple’s pricing policies are more in tune with the needs and wants of authors and publishers than with customers – an interesting twist. . The pad is disruptive because it causes many traditional companies – content suppliers and carriers – to revise their traditional business models. That causes a apple effect – changing from printed books to e-books affects paper suppliers, printing companies, even shipping companies. Even college campus book stores will have to re-think their business models if students choose e-books instead of traditional print textbooks.
Apple has been the “second-mover” with the current Nave of tablets; Amazon can claim “first-mover” status since its Kindle Reader hit the market Just before the pad.
Even though tablets and e-book readers have been tried before back in the sass’s, none of them contained as much functionality and available content as the current wave of devices. Inners and losers include: Newspapers: If newspapers effectively change their business model, they can be “inners by increasing the number of subscribers thereby increasing advertising revenue. Potential losers extend to delivery persons and printing companies. Television: Content producers are potential winners if they readily adapt their content to easily downloaded files and increase viewers. They are losers if they don’t give people what they want, when and where they want it.
PC makers: Hardware producers like Dell and HP, and software producers like Microsoft, are potential losers because the pad will draw people away from traditional products like desktops, notebooks, and laptops. Cable and satellite providers: These industries are potential losers because they are no longer necessary conduits for providing content to viewers.
The pad uses wireless transmissions to directly beam content to pad owners. Organizational environments rapidly change for all types of content creators and distributors.
These companies will be forced to use more task force-networked organizations as they come together to work out initial specifications tort structural hangers to content. For instance, if newspaper articles were created to fit a specific format that worked well for the printing company, task forces may have to make changes that work well for the tablet. Textbook publishers will have to work more closely with specialty software firms to adapt books for e-book readers.
Scrimption software company identified in the case study could be labeled a new market entrant that is disrupting the business model of companies that have had a close relationship with the textbook printing companies. Those companies must now examine their business model to decide how they will adapt to the new disruptive technology and make up for lost business. Apple already changed some of its business model by willingly acting as an agent selling books rather than Just a book distributor.
Apple also realized that its old business model of believing that content was less important than the device itself Nas unsustainable.
Regardless of how beautiful the device design is, if there’s no content to go along with it, people won’t buy the product. The company is now willing to make deals with each media industry to distribute many different types of content at a price agreed upon by the content and platform owners. Question 1 : Evaluate the impact of the ‘pad using Porter’s competitive forces model. I) Traditional competitors.
To convince potential users that they need a new, expensive gadget with the functionality that the ‘pad provided.
This was the same challenge faced by the phone when it was first announce. For example, laptop and notebook. 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. Iii) 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 way to convince their customer about pricing by offering tiered pricing system. Iv) Suppliers.
Publisher want to look up which company can publish their books by putting the highest price for their e-book. Thus, Apple has this advantage because it offer better price than Amazon and also given deal to publisher adding some advantage to them if their use Apple service. E’) Substitute product or services.
Customer will chose for the lowest price that firms can negotiate. In contrast to Amazon pricing and Pad pricing, publishers NAS substitute Amazon’s service because they have found the lowest price of publishing their book which is ‘pad service.
Question 2 : What makes the ‘pad a disruptive technology? Who are likely to be the “inners and losers if the ‘pad becomes a hit? Why? Answer : The features and function of ‘pad in publishing and media industries. The “inner is Apple and the loser is other publishing media such as Amazon.
This is because by using technology in Pad,Apple as appealed to publishers by announcing its intention to offer tiered pricing system. Question 3 : Describe the effects that the pad is likely to have on the business models of Apple, content creators and distributions. Answer : 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.
