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Rise Of Apple Smart Phone Sales In Asian Market Add in library

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Question:

Describe about the Rise of Apple’s Smart Phone Sales in Asian Market?
 
 

Answer:

Rise of Apple’s Smart Phone Sales in Asian Market.

In September 2014, when Apple introduced large screen smart phones its sales has seen a prominent rise in the Asian Market. Now the company Apple is challenging the South Korean originated Samsung Electronics in its home turf. Through this strategy Apple proves that it has better utilised the product differentiation strategy by bringing regular and timely changes in its product line.

Apple has won the markets of Japan, China and South Korea. Few months before Samsung was enjoying the market position in its home countries like Japan and South Korea where it has an impregnable position. It was very difficult for other smart phone companies to break this watertight position of Samsung in its domestic market but Apple has successfully broken this position and entered the domestic market of Samsung. By the end of November 2014, Apple’s market share in Asian countries like Japan, China and South Korea has increased to 33% from 15% when the company launched iPhone 6 and iPhone 6 plus. Apple has also challenged South Korean Brand LG Electronics by 14% of market share. Thus the company Apple has gained the top position by leaving the Samsung and LG Electronics to No. 2 and No.3 respectively. Till November the Samsung shares were hovering at the rate of 60% but with the launch of iPhone 6 and iPhone 6 plus, its share fell to 46% (Eric, 2015).

Apple smartly understood the needs and desires of Asian market consumers. The company successfully conducted the PESTLE analysis and launched its new product by understanding the demographics of the Asian consumers. From the demographic segmentation company realised that consumers have long seen the large screen smart phones and they are using these smart phones as their primary communication tool instead of PC’s. Earlier Samsung was enjoying leading position by developing the phablets (a combination of smart phones and tablets). Samsung analysed the South Korean market and created this country as the biggest market for such devices (Eric, 2015).

According to Tom Kang, who is the research director of mobile devices at Counter point says that in Korean market no foreign brand has been able to compete the global smart phone leader Samsung by gaining the market share beyond 20%. But with the launch of iPhone 6 and iPhone 6 plus has dent the phablets sale of Samsung not only in Korean market but also in Asian market.

Apple has shown good marketing strategy and international marketing by entering the Japanese market which is the strongest market for cell phone industry. In Japan the leading company is Sony which was surpassed by Apple. In November the company sales rose to 51% with the introduction of new series of phone. With new series of smart phones Apple has pull the Sony from first position to second position by 17% of its market share (Eric, 2015).

Talking about China, Apple was not able to make the top position, but with its 12% share it gained the third position after Xiaomi with 18% market share and Lenovo at second position with its market share of 13%.Samsung who was the long run leader in China or smart phones has now pulled to fourth position with just 9% of market share (Eric, 2015).

Conclusion

Finally from the above marketing article published in Wall street journal has proved that Apple has gained the top position in the global market by introducing new product lines and effectively making use of its marketing and promotion strategies.

 

References

Eric Pfanner. (Jan 20, 2015). Apple’s Smatphone sales in Asian Markets Soar-Counterpoint. Wall Street Journal. Retrieved from  https://blogs.wsj.com/digits/2015/01/20/apples-smartphone-sales-in-asian-markets-soar-counterpoint/

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