Question

The market analysis of Apple Inc.:

1. Regulatory Environment (Present and anticipated)?

2. Product Category Stage of Product Life Cycle.

3. Nature of Demand

Answer 1

Market Analysis of Apple Inc

1. Regulatory Environment : Regulatory environment mainly comprises of the political factors affecting the business operations of Apple Inc. Introduction of free trade policies has affected the business of Apple Inc and present an opportunity to the company to expand its business operations. Due to free trade policies company can carry out business operations across the world and present high opportunity for the company. Moreover there is political stability in the developed countries which also present good opportunity for the company to carry out its business operations wuithout any hassle.

2. Product Category stage of Product Life Cycle : There are four stages in the Product Life Cycle, namely Introduction, Growth, Maturity and Decline. Mobile phones are in the Maturity Stage of the Product Life Cycle as most of the users have already owned the phone and there is not much scope for the company to expand their market share further.

3. Nature of Demand : Mobile Phones have replacement demand , ie. the consumer purchases a mobile phone , use it for three to four years and when new technology is launched, replace the existing phone with a new phone and thus the demand of new phone arises after every 3 to 4 years.