Ipad Mini Case Study

In: Business and Management

Submitted By wcszzghnay
Words 469
Pages 2
An article which from The Australian on October 24, 2012 shows the APPLE how to adjust the price of product, positioning market and targeting market when they use the concept of price-adjustment strategies, market positioning and market targeting.

Firstly, APPLE adjusts the price based on the different versions of iPad. For example, the cost of 16G iPad mini is $369. The cost of 32G and 64G iPad are cost $479 and $589. In this case, APPLE used price-adjustment strategy that is segmented pricing. In the text book, it can be define as selling a product or service at two or more prices, where the difference in prices is not based on differences in costs (Kotler et al 2010 p.397). And APPLE also uses the discount pricing and allowances of price-adjustment strategy. For instance, customer can cost $429 to get a 16G iPad2 now. To compare with the text book, APPLE is following the market concept. But in the discount pricing and allowances part, APPLE’s doing is different with textbook. The textbook did not describe discount for old product.

Secondly, APPLE made several products or different versions of iPad to satisfaction the different needs of customer. For example, some people are more like the iPad mini. Because of it can easily hold or read E-book. Others are more like iPad. And in the textbook, the definition of differentiated strategy is a market-coverage strategy in which a company decides to target several market segments and designs separate offers for each. This means APPLE use a differentiated marketing strategy. The advantage is APPLE can focus its objectives and resources in relation to those segments.

Finally, APPLE has made a different positioning for iPad mini with iPad2, GOOGLE product or smartphone. iPad mini was a concentrated product, the application is not just increase the size of smartphone application and appear exactly as it shows on…...

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