The Apple iPhone in China marketing and competitive strategy Report

The Apple iPhone in China marketing and competitive strategy Report

Executive summary

Effective marketing and competitive strategy of a product is essential in the facilitation of the survival of the product in the market. The factors of marketing and competitive strategy are especially crucial in the case that the product operates in a foreign market. Through a competitive strategy, the product can survive in the market and compete favorably with the local products. The iPhone, with regards to the Chinese economy, faces various challenges, including the politicalfactors that place china and the United States at a trade war. This makes tense government place hightariffs on iPhone, an American company with regards to its operation in China. The Chineseeconomy also provides a disadvantaged aspect as it is slowly taking a negative turn, a factor that denies the population the purchasing power to buy the seemingly expensive iPhones.The phone also has bad legal attribution s to china as its manufactory depends on a high number of temporary staff, which is against the law in china that does not allow for more than ten temporary staff.  It also faces ecological challenges through its operations in China. It is facing the responsibility of adoptingthe use of clean energy.  The iPhonefaces social and technological challenges as it is finding it hard to keep up with the technological changes in china. The result is that china endsup producing cheaper, locally made phones with similar qualities and capabilities as the iPhone. Thus, it makes it difficult for the iPhone to compete fairly. With regards to its competitive strategy, the iPhonesbrand engages in segmented market strategy, a factor that makes it remain to be a favorable brand to some specific groups of people, including theaffluent individuals, and the professionals. It also relies on the subject of effective pricing through engaging in priceskimming, a strategy through which it participates in premium pricing and still maintains its clients as tits viewed as a quality product. Bits promotion strategy is through highlighting useful features that make it stand out in comparison to other commodities, while its placement is through the choice of distinct places such as apple stores that makes it easily accessible.

Conclusion

Marketing and competitive strategy of the iPhone is china is affected by the fact that the iPhone is not a brand made initially in china.The phone brand is, therefore, at a disadvantaged position of competing with brands originally belonging to the country. The high pricing of the phone and the current trade wars between China and the United Statesplaces the brand in a disadvantaged position. The market secures its position in the market through premiumpositioning. It targets distinct groups include the working population, teenage population, and the affluent individual who need classy products.Throughthe market mix, product pricing, promotion, and placement isin a way that makes it the preferred option.  Its promotion focuses on the differentiation factors that make it unique. The pricing of the iPhone uses product skimming that enables it to assessthe market and providea pricing criterion that makes it fit in the affluent group. The product placement also makes it stand out as it uses a unique technique to ensure that it attracts buyers, the apple stores, for instance, make it easy to locate Apple products. Through the efficient adoption of the market strategies, including product placement, promotion, pricing the iPhone brand that faces various challenges in the market with regards to the legal aspic, ecological factors, political factors, and economic factors manage to be a favorable brand in the market and compete fairly..