Outline why can change be a problem for organisations Essay

Outline why can change be a problem for organisations - Essay Example rganizations’ strategies as well as structures guarantee that the company is present and willing to do more than just provide products and services to the end consumers. It wants to make the people realize that the company is there and wants to do its very best by tailoring its strategies in such a manner that can only benefit them nonetheless. A company or an organization without the target people is nothing more than an office set up with employees and employers working for no one, at the end of the day. Also the fact that organizations need to evolve over a period of time is testimony enough for them to grow within themselves and thus adopt and hold on to a new path altogether, one that will be their torchbearer as well as reap rich dividends for them not only in the present times but also in the future. These strategies are so much in alignment with the future goals and tactical perspectives that they fulfill what is really expected of them, both in terms of short term expectations as well as the long run. Planning is thus the key word here and for any multinational to succeed in the long run, it is of paramount significance to have a safe and sound plan ready and not only that but also be proactive in its approach towards the accomplishment of the plan nonetheless. (Shiplett, 2000) The basis of all strategies and structural changes that usually happen from time to time is on the shoulders of the top management where they have to decide whether or not the adopted strategy be the source of light in the coming quarters or years for that matter. It is only upon their insistence to have the same within their ranks that the new strategic planning is done in the first place. If the top management is not ready, it is very difficult for the knowledge organization, which really is the middle management of present times, to do even an iota of struggle. The multinationals for that matter depend a lot on the parental concerns, which at times, might be located off

Analyse the scenario given and produce a report detailing your Essay

Analyse the scenario given and produce a report detailing your response to the below changes in business environment - Essay Example Keeping all these facts in mind the business environment on a macro level looks prosperous for the young entrepreneurs. The location of the business is at Seaford road which is a populous suburb of east Sussex with a population of over 23000 people and is home to educational institutions. Hence the key USP aligns with the local community aswell. Condition of The Business: The current cash flows of the StudentPizza Ltd are lower than what was estimated initially. The business has yet to return a turnover which was expected even after 5 months. Although the key point which they had identified while opening the business was quite valid and relevant that Students love pizza and keeping this in mind opening a restaurant with the target market as students was quite relevant. Working on their USP by attracting students and making it exclusive for students they have been able to retain students as their loyalist but have only managed to attract few customers from the locality. Also they are running out of investment and capital to run the business as the business has not returned profits as expected for 5 months. SWOT ANALYSIS, RECOMMENDATIONS AND STRATEGIES A detailed analysis of the business and its environment, strategies pertaining to them along with recommendations for executing these strategies is mentioned in detail in this section. Strategy Assessment: In order to asses, whether a particular organizational strategy is suitable for an organization it is important to conduct a SWOT analysis. The SWOT analysis points out the strengths, weaknesses, opportunities and threats of the organization in question. To assess how effective an organizational strategy would be, it is very important to conduct a SWOT analysis. SWOT analysis is an overall strategic planning methodology. It is used to assess a strategy from the point of view of its strengths, weaknesses, opportunities and threats. It involves the business environment and the business objective of a particular pro ject and how internal and external factors will help achieve those objectives. The technique was developed by Albert Humphrey. He led a convention during his stay at Stanford University in the 1960s and the 1970s. He incorporated data from some Fortune500 companies. A SWOT analysis usually begins with clearly defined state and objectives. Strengths: In strengths it is checked which attributes of the company will help in achieving the desired objectives. The strengths of the company are many. It targets the student population for junk food and they tend to be the most willing consumers for the same. The initial investment in the idea isn’t much. The timings of the outlet are very lucrative and so is the location of the chain a very ideal one. Weaknesses: In weaknesses it is checked which attributes of the company will be harmful in achieving the objectives. The outlet faces stiff competition from other more established outlets. The sales continue to suffer and the promotional strategy is weak at best. Opportunities: What opportunities will work in favor of the desired objectives? There are various opportunities that can capitalized on by the firm. Firstly, it needs to come up with a more aggressive promotional strategy and reach out to all students. Capitalize on social media, come up with flyers, posters, ad games and various other ways to promote and attract customers. Secondly, negotiation with the suppliers to bring

BMW: Marketing Process Analysis

BMW: Marketing Process Analysis Marketing is a social and managerial process by which individuals and groups obtain they need and want through creation and exchanging products and values with others (Kotler et al. 2005). This definition incorporates both societal and organisation involvement in the realisation of the needs and wants of consumers through delivering products that is evaluated in terms of value created for the creator as well as the consumer rather than just offering a product. According to Groucutt (2005), marketing is all about symbols, brands, and choosing of products and services which are focused and related to the customer. This definition indicates the symbolic meaning of products as socio-economic symbols to alter the ego state of the target consumer. Marketing is a process for defining markets, assessing quantitatively the need of the consumer segments within the markets, allocating value propositions to cater to the needs, conveying the value propositions within the responsible zones of the organisations in relation to the output, communicating with respect to the delivery of the value propositions, and finally monitoring the delivery of the values (McDonald 2007). This definition point out the very calculated movement from the organizations part in utilising its resources to suitably target the right markets through properly defining the market and thereby providing the right product attached with the right value. The feedback from the related market is also a part of the marketing process to ensure the commercial viability also. BMW- Marketing process (LO 1.1) : Marketing process lays down the pathway to fulfill the unfilled needs of the customers by introducing products and services in the market to satisfy growing needs of the customers. The marketing process of BMW is modeled in sequence of steps which includes situational analysis, defining marketing strategy and appropriate marketing mix which promotes products sale (Kotler 2006). One of the key advantages of marketing process of BMW lies in the fact that its marketing approach is based on the situational analysis which catches the attention of the target audience, who are the segment A of the society (BMW 2010). Situational analysis as part of marketing planning process of BMW serves as a powerful tool to capture Australian luxury market by satisfying the changing consumer trends in the market. The advantages from the elements of marketing process are discussed in the following paragraphs. the benefits and costs of a marketing orientation (LO 1.2) : Cost Benefit 1. The two recently launched models X3 and X5 of BMW are a result of the market research conducted to serve the target audience. The cost spent on the research and development activities was enormous. Besides cost, lot of time was spent to conduct analysis on the target market and to find out the requirement of the customers. These Sport car models are the result of the in-depth market research to satisfy the customer demands. 2. The cost incurred on the marketing activities including the promotion, press conference, press release to target the audience was skyrocketing high. 1. Increased customer satisfaction as many people were craving for these new models of BMW. 2. The increase in sales and profits helped the company to attain competitive advantage in the age of growing competition. Micro and Macro Factors affecting Decision Making SOWT (LO 2.1) : The success of BMW lies in the STP strategy which is based on segmentation, target audience and positioning strategy to capture the targeted population (www.bmw.co.au). By means of segmentation, BMW identifies specific buying characteristics of the target audience. BMW segments the society on the basis of geography, demography, socioeconomic and behavior characteristics of the society (Drummond and Ensor 2001). Geographically, European countries and North America serve as the main markets for BMW automobiles as these areas are most industrialized nations and the local residents are financially well off to buy high priced cars due to the increased per capita income. In respect to demographics, the men and women both aged 30-50 years are the main users of M3 and M5 models. Behaviorally, these audiences have a clear image about the company and its products. They believe in superiority, performance and excellence before making a purchase. BMW has excelled in its performance as its produc ts are high in quality and also technologically superior. BMW has been able to create a good brand image in the minds of the people by means of innovative advertising campaigns. BMW due to its strategic positioning is known for age old tradition of quality. BMW M series is among one of those luxury cars which can be recognized by the crowd at a distance due to its successful marketing strategy based on positioning, targeting and segmentation. SWOT Analysis Strengths: BMW Automobiles is consistent in delivery quality projects. The firm comprises of robust workforce for effective product delivery. The firm makes use of latest technology, owns world class equipment and all the modern facilities in the designing and development of car models. Weakness: BMW is a global leader but still faces some shortcomings which are its incapability to work on small scale projects. BMW is known for its large seated cars and its inability to target the smaller segment is the only weakness. Opportunity: BMW automobile is rapidly expanding in different parts of the world. BMW makes use of latest technology to develop best of cars and operate effectively in international markets. Threat: The survey shows that the target market for BMW car model is looking for more value in the product which serves as a serious threat to the company. Marketing Mix and Marketing Process-4ps (LO 2.2) : While considering marketing process, marketing mix of BMW cannot be kept in isolation. The marketing mix forms an important part of the decision making process. The first P is the product which provides customer with the description about the product and how it meets the customer requirement. Example BMW X3, BMW X5 models, offered by BMW go through product life cycle which determines the age and maturity of the product in the market. The products developed ensure constant income and the company also develops replacement products on consistent basis for a fair settlement. The prices of BMW cars varies depending upon model customer has asked for like sports car which are priced high, the engine size also determines the price of the product and many more. The pricing for BMW X3 is competition oriented and same for similar brands as the market is large and creating large profits is not as important as it will be for a small car. The place and location for BMW cars follows a distribution chain network comprising of manufacturer, dealer and consumer. The organization is in tie ups with the superior dealers across the world and they are further responsible to offer the product to the customers across the globe at strategic locations. To promote the BMW models X3 and X5, a broad range of advertising campaigns including print and television media are used for product launch, color supplements etc. the slogans used for BMW are smart choice, the ultimate driving machine designed for peace of mind have been used to create competitive edge in the market, change the perception of people, mould their behavior towards car consumption and differentiate their products from competitors. Target Strategy ( LO 2.3 ) BMW follows a differentiated strategy catering to people with specific segmentation (David 2006). An example, BMW M series is a super sports vehicle and refers to specific target audience. BMW made changes in its car models when introduced in India as compared to its American version. There was higher ground clearance so as to make the cars compatible to Indian road surface, high resistance to dust in Indian market, horns located on the steering and not lever were some of the changes introduced to make it suitable for Indian market. Buyer Behavior and Marketing Activities ( LO 2.4 ) Consumer buying behavior is a blend of mental and emotional process and involves elements from sociology and psychology which affects consumer behavior while making purchase. In case of exclusive products like BMW M series the consumer purchase behavior is triggered by psychological factors, status symbol which influences customers attitude and behavior to make a purchase. Product Positioning ( LO 2.5 ) BMW M series, X3 and X5 are synonymous with performance and advanced technology used in driving. Drivers can now connect sports vehicle to the roads with high performance. The sport seats provide supportive front, back and thigh comfort. There are powerful headrests for drivers comfort with leather steering wheel with the horn placed at the lever comes to the ease of the driver. The motronic engine is powerful on all road surfaces and provides smooth drive in all season (www.bmw.co.au). Sustainable Catchment Management: Principles and Practice Sustainable Catchment Management: Principles and Practice What is meant by the world water crisis? Critically assess the contribution of River Basin Management in addressing this crisis The worlds freshwater is commonly discussed in the literature as being a finite resource under increasing pressure from the greater demands being placed upon it globally (Postel 2000, Hamdey et al 2003, Oki and Kanae 2006, UNEP 2007). It has consequently become a highly contentious resource, and in recent years the focus of much debate on how best to manage it; with the latest favoured paradigm (particularly in developed countries) being that of holistic sustainability achieved using the best practice of basin-wide management (Biswas 2004, Watson et al 2007). Such an approach is particularly emphasised in key policies such as Agenda 21 and the Water Framework Directive, with the latter enforcing the creation of River Basin Management Plans by law for all EU member states. This paper will discuss whether there really is a world water crisis, and if so to what extent river basin management (RBM) can help to address this using case examples such as the Murray-Darling basin to discuss t his in context. According to the research of Oki and Kanae (2006 pp1068) the global consumption of renewable freshwater resources is well below its Malthusian limits, with only 10% of the maximum available blue water and 30% of green water being presently used. However, because its distribution both in quantity and quality for purpose is spatially and temporally uneven as shown in figure 1 water stresses exist through a demand and supply imbalance. Gleick 1998, Hamdey et al 2003, and UNEP 2007 amongst others cite figures such as already 80 countries with 40% of the world population suffer serious water shortages (Hamdey et al 2003 pp3) and more than a billion people in the developing world lack access to safe drinking water (Gleick 1998 pp487), which suggests that water stress is a major issue (as reflected in the Millennium Development Goals); and with population growth/demographics (figure 2), economic, standard of living, and climatic factors set to change, such stresses are expected to worsen on the whole through increasing the imbalance. This is especially true for developing countries since an estimated 90% of the 3 billion people expected to add to the global population by 2050 are expected to reside in such countries with many of which already experiencing high water stress (UN 2007 cited UNESCO 2009). At what point down the line an actual absolute crisis at a nation scale is reached is still yet to occur; although given the social and economic value attached to water, and its three-dimensional effect upon food supply, ecosystem health, and standard of living for example, it may already indicate a crisis is underway (Newson et al 1999 cited Newson 2000). This is especially true if freshwater access is considered as a basic human right (Gleick 1998). Assuming this, RBM is often discussed in the literature as being a viable management option to address the crisis, since its approach is holistic and all-encompassing. Its current favour comes from the fact that unlike the traditional response to water shortages assessed through developing more supplies often via unsustainable sources and hard engineering practices such as damming rivers (Hamdey et al 2003) it tries to achieve long term sustainability through encompassing land-use planning, environmental management, and agricultural policy into the management of all surface and subsurface water within a catchment. This theoretically allows for all of the direct and indirect natural and anthropogenic demands placed upon the resource to be addressed and met under a best-practice regime to achieve an optimal relevant management outcome. A classic example of where such a policy has been successful is in the Murray-Darling basin, southeast Australia. The RBM regime here is a highly evolved form of institutional arrangements first started in 1917, and consequently modified, to meet the desired outcomes and changing pressures on the 1 million Km2 five jurisdictional state catchment. At its heart the scheme seeks to promote and coordinate effective management planning for equitable, efficient and sustainable use of water, land and other resources (Pigram 1999 pp108), which it achieves through a hydraulic approach using top-down policy making and bottom-up implementation, coordinated through the central Murray-Darling Commission (Shar et al 2005). In doing this it allows for all of the key stakeholders within each state to meet and discuss how best to manage the water resources to maximise the resultant biophysical, economic and social interests not only within each state (and its respective water share), but for the whol e catchment. Theoretically this coordinates the upstream-downstream interests and encourages more productive/efficient use of water through improved technology such as crop per drop (Postel 2000), which in turn allows all of the water demands to be attained equitably. And, combined with the top-down governance system setting standards which need to be reached by every state regarding water quality and quality, ecological requirements and permitted degradation levels through land use policies, it ensures that management is not static and behind the changing catchment pressures upon the water resource. This is not to say however the system is perfect since its effectiveness depends on the cooperation of each state government, and as of yet no true full sustainability has been achieved (Pigram 1999). However, with regards to the world water crisis it is clear to see that in this instance, along with many others, RBM is having a positive impact. This is because it is encouraging through laws and other means the more efficient and equitable use of water (Postel 2000), whilst regarding the whole basin and its long term demands and pressures such as climate change. In doing so it may lessen the effect of future crises/pressures through being proactive. Similar RBM regimes also exist under other political systems such as throughout the whole of the European Union (due to Water Framework Directive legislation) and South Africa (since 1998). In the latter Gregersen et al (2007) states that although the regime is working it is not yet sustainable, since such management systems take several years to develop and offer no ready made solutions. Therefore at its national level it is not fully able to address the water crisis, although it seemingly is on the way to try to do so through using a management system which looks to achieving this from the outset. It must be said however that most of the successful RBM regimes are in developed formalised society countries where the fundamental water stresses are often far lower in the first instance (see figure 1). Such systems cannot be directly transferred between political institutions easily due to the context in which the regime was fundamentally formed to meet within the founding country regarding the hydraulic and climatic conditions, demographics, socio-economic conditions and the structure of the water sector (Barrow 1998, Hunt 1999, Shar et al 2005). For example Hu (1999), Malanu et al (1999) (cited Shar et al 2005) and Hunt (1999) each found that the Murray-Darling RBM system could not be successfully transferred to the Chinese, Vietnamese and Solomon Island contexts because of such issues; with Shar et al (2005 pp46) arguing that transferring RBM regimes between developed and developing countries is particularly problematic since the problems developing country find critical have e ither remained unresolved or irrelevant in developed country river basins such as ground water exploitation. Thus in regard to the world water crisis it provides little use in this sense, especially since the greatest stresses/crises are expected to occur here. Hunt (1999) therefore argues that the contextual fit between policy development and application is key to managing the water resource successfully. In setting the correct framework to set play and play in provides an effective environment to address the water crisis in, whether through RBM or not. In some cases I would also argue that to address the current water crisis RBM can only be used as part of the solution, due to the interconnectivity of the water resource with standard of living (relating back to the Millennium Development Goals) and economic development. If full RBM sustainability is strived for under the current conditions, inclusive of the environmental requirement, it may only serve to worsen the current crisis such as in Jordan which withdraws some of its supply unsustainably from non-renewable aquifers (Macoun and El Naser 1999). The same is true for other basins globally such as in the Colorado, Tennessee and Yangtze river basins, since in order to meet their past a nd current demands, supply had to be increased through building dams for instance. This could be seen in some cases as being unsustainable due to the impact it has on the basin, and even though the two former river basins are now managed under RBM regimes (Newson 2009) they are operating under modified conditions. RBM still has value however in promoting more efficient water use (Postel 2000) and sustainable ethical management, so should not be completely ignored in management. The contextual fit of countries as a whole is important in determining the best approach to address the world water crisis. RBM may also fail in addressing the world water crisis too if it fails to be effective itself in the first instance. For instance since RBM seeks to achieve equitable sustainability (Barrow 1998), unequal power sharing may result in such a failure. To exemplify this if a dam was allowed to hold back more water for power generation it would put increasing pressure on the quantity of flow for the ecological needs and irrigative agriculture uses amongst others. Similarly if a factory was allowed higher pollution levels then the changes in the water quality could draw a system closer experiencing a water crisis (assuming it was already highly stressed). This is especially true if a non-integrated RBM regime is used, since the different interests of each RBM stakeholder groups, such as land owners, farmers, developers and conservationists would prioritise their needs over others. This consequently may be ineffective due to the differing overall outcomes, needing some coordination and comp romising to a certain degree to be effective in terms of long-term holistic management. A similar failing may occur within international river basins also if a common-goal transboundary management agreement cannot be established in practice even if it is agreed upon politically. This is the case today between Israel and Palestine despite the fact of the road to recovery (common goal) plan. Israel in 2003 abstracted 95% of the water from the diverted Lower Jordan to meet its own abstraction needs and left Palestine with only 5%. Consequently Palestine is in a water crisis since it cannot meet its own water needs (Frederiksen 2003). To be effective therefore in the first instance RBM plans need to be authoritative, equitable, coordinated and true to RBMs initial purpose. Only then can it help in addressing the world water crisis. In conclusion therefore it can be successfully argued that RBM is a worthwhile management option to pursue in relation to addressing the world water crisis. Where such regimes are well established and operational, such as in the Murray-Darling catchment, its sustainability approach to management allows for all of the demands and threats/pressures to the freshwater resource (such as excessive nutrient runoff from poorly managed land) to be identified and dealt with equitably and accordingly within the basins long-term carrying capacity. But, given the contextual fit of each country with regards to its current resource base, water pressures, and demands/needs, it may mean that in the grand scheme of things RBM may not be the most suitable management option to address the crisis with on its own. Interestingly RBM is according to Shar et al 2005 harder to implement in developing countries due to its developed background, but it is such countries where the water stresses are already at hi gh stress levels and expected to worsen from most through the predicted population growth and climate change pressures (UNESCO 2009). Only time will tell how useful and politically favoured RBM is in addressing the crisis, and whether it is continued to be used alone or alongside other water management concepts cuch as international virtual water sharing.

king tutt :: essays research papers

Tutankamun’s Life Tutankhamun, or better known as King Tut, was a pharaoh who accomplished little in his life. He did not expand Egypt’s borders nor enjoy triumphant victories like the many pharaohs before him; however, he is the most recognized and probably the most famous pharaoh today. But why is he so famous? This answer can be attributed to the discovery of his tomb and his elaborate treasure. King Tut’s tomb was a major discovery of the 19th century. It was discovered November 4, 1922 in the Valley of the Kings by Howard Carter. It was a phenomenal discovery that made headlines across the world. Up until the discovery of King Tut’s tomb, it was believed that all royal tombs had been robbed and drained of their treasure. For the first time, a tomb, which was almost intact, had been discovered and remained hidden from robbers for thousands of years. The tomb revealed an elaborate lifestyle that many people could only dream about as well as providing clues and insight into King Tut’s life and how he lived. Even though little is known about Tutankhamen’s life, we do know that he was given the throne at a young age, which it has been estimated that he was about eight or nine years old when this happened. During the time that this occurred, Egypt was in turmoil due to his father’s religious movement. His father, which is believed to be Akhenaten, had changed the religious system and the old beliefs that had been practiced for hundreds of years before him. This religious change angered many angry citizens and priests. Tutankamen was left with an angry and chaotic Egypt to rule. The birth name of Tutankhamen was Tutankhaton, which meant â€Å"Living Image of the Aten.† His father, which remains a mystery, is believed to be Akhenaten, although some evidence points to Amenhotp III. His mother remains a mystery as well but she is believed to be Kiya. It is thought that Tutankhaton must have had a good childhood. He probably spent his younger years hunting, swimming, and studying. His tomb revealed he enjoyed board games. Like most children, he probably found politics unexciting and went about his environment enjoying leisurely activities. Because he was a child, he probably had an ignorant view about his father’s teachings and politics. He was also believed to be an ill child due to the many walking canes that were found inside his tomb.

Iproject

MBA 504 – Managerial Economics (W. Troost) * Case study about the iPad Mini by Justin Sellers Kimberly Gadsden Krista Pauly Marjorie Venus Baliog Paulus Mirtschink Rob Hicks I have read the Student Academic Code of Conduct and this Assignment complies with the Code. 8th November 2012 * Table of Contents Table of Contents2 List of Figures3 1INTRODUCTION4 2FIRM, BRAND, LIFESTYLE4 3IINDUSTRY5 4COST8 5CONCLUSION9 APPENDICES11 A. Price Comparison of Generic Android Tablets12 B. Price Comparison of Premium Brand Tablets2 BIBLIOGRAPHY3 * List of FiguresFigure 1: Monopolistical pricing10 Figure 2: Technology life cycle11 Figure 3: VMP and MC in the US compared with China12 * INTRODUCTION Apple has clearly established itself as a market leader in the competitive market of consumer electronic products. Recently, the company released a smaller sized version of its highly successful tablet: the iPad. The launch has come under widespread criticism as many industry pundits believe the prici ng strategy may be incorrect and there are fears that the new product will cannibalize sales of other merchandise.Even the late Steve Jobs was strong in his view that Apple would never offer a smaller tablet product to the market as he felt it would provide less benefit to consumers. To properly assess whether or not Apple did in fact make the correct decision, the rationale behind the decision must be analyzed. As part of the analysis: the market structure, cost factors, competitive position, nature of product demand, and strategic vision will be scrutinized. FIRM, BRAND, LIFESTYLEUnder the direction of one of the most visionary CEOs of the modern era, Steve Jobs, Apple was able to completely revolutionize the way that consumer electronics are perceived, purchased, and manufactured. It started with a completely different concept of consumer preferences and has ultimately ended with the most valuable company in the world. Apple has a long history within the computer industry with a focus on building units for sale to the consumer marketplace. After success during the early 1980s with the launch of the Macintosh line of computers, the company failed to gain significant market share until the launch of the iMac in 1998.From the late 1990s Apple began a prolific campaign of acquiring other companies with specific technological expertise, which it began combining in both software and hardware components included in its subsequent line of products. Apple released the first of many important revolutionary products, the iPod, in 2001. The iPod became the ‘quantum leap’ the company had long been striving for and allowed the branding of Apple as a company with the Apple logo to become an industry heavyweight. The advertising that Apple used helped to produce an emotional response that resonated with consumers.Being seen with the iconic â€Å"white headphones† became as much about fashion and image as it was about the actual enjoyment of listening to mp3s on a personal device. Due to the vertical integration between devices, software and design based on a platform of â€Å"ease of use,† the company began to create immense brand loyalty. â€Å"Once you go Mac, you never go back,† is a phrase used to describe that once someone made the decision to purchase an Apple product (phone, computer, etc. ) the cost of switching becomes high.Apple intuitively created an opportunity cost for not purchasing newer Apple products because of the way their devices communicate with one another. Apple has gained such a significant brand following that demand for their products is much more inelastic than comparable firms. Demand for competitor’s products Demand for Apple products INDUSTRY There are significant numbers of manufacturers of tablet devices, but it can be argued that there are only several key players. The tablet marketplace is very interesting because of the dominant effect that Apple, Samsung, Google, and Amazon have on consumer behaviour.There is a significant split, both from a consumer and producer standpoint, between the ‘premium’ tablet devices and the ‘generic’ devices. In effect, there are two different marketplaces in operation simultaneously. In the generic market it is a competitive market, firms are essentially price takers as what they are offering is a standard tablet with limited features. In the premium market however, there is an oligopolistic situation where the major firms dominate both, market share and brand recognition. Please see Appendix A and B for Price comparisons of generic and premium brand tablets.The pricing strategy for the premium products is therefore very different than for generics. In the premium market, the products are seen as more inelastic based on their brand power, and thus a higher price can be charged in order to generate a higher economic profit. Apple uses the concept of â€Å"Prestige Pricing† for its product li ne. Prestige pricing happens when a firm charges a higher price for its products in an attempt to be seen as a ‘status’ item. Apple separates itself even from the other premium tablets by charging a price that is actually 2-5 times higher than some of its closest ivals. The reason that Apple has decided to launch at such a high price dates back to their theory of brand image and loyalty. With respect to the technology adoption lifecycle developed by Joe Bohlen et al. , Apple seeks to â€Å"reward† loyal customers by charging a high price so that only technologically conscious innovators and early adopters will have the product for a period. It is valuable to the innovators and early adopters to have the newest Apple product ahead of the vast majority of people and price point is a way to discriminate between groups.Once a product has been on the market for a sufficient amount of time, Apple will then drop the price to gain a larger amount of consumers that are wi lling to pay for the product at the given price. Graph Rob Directly related to the high price point that Apple charge is its monopolistic position within the industry. It is strategically beneficial from a firm standpoint to charge a price that causes the intersection of the marginal cost and marginal revenues when represented graphically. Figure 1: Monopolistical pricing For Apple, they experience higher economic profits when they charge a higher price initially.Only when they are about to release an updated version of the product will they drop the price to gain the additional consumer demand. When considering the product lifecycle, Apple seeks to have a different product in each section of the cycle. Rather than having different versions of the same model, the company simply relies on releasing a newer product, but still offering the old product for a period. When considering their new tablet the strategy will be as follows: 1) New tablet is released: iPad mini 2) After a designa ted amount of time, (typically 3-5 quarters) a new version will be released.Likely, it will be called the iPad mini S. 3) Following the same release schedule a bigger redesign will occur and the product will come out as the iPad mini 2. Figure 2: Technology life cycle Apple prices the tablet in #1 high in order to experience profits from the innovators and early adopters. By the time the newer version is announced, the company will drop the price in order to gain access to the early majority. When the new product is actually released #2 it will have a premium price point to again gain access to the innovators and early adopters.Product #1 is moving from early majority to late majority as the price drop has opened up a wealth of consumers willing to buy. When product #3 is announced the price of both product #1 and product #2 will be dropped. By this time product #1 will be 2 editions old and is likely to be purchased by the tail end of late majority and laggards. Product #2 will tak e its place in the early majority and innovators will desire product #3. When considering Apple’s brand loyalty it is also likely that by the time product #3 comes out some people that purchased product #1 will deem that it is time to upgrade. COSTAnother major consideration in the pricing of Apple’s products is the associated cost of producing them. Each item has a large array of inputs ranging from: hardware, software, development, advertising, testing, management, transport, and legal issues. Apple has sought out areas of the world where it is cheaper to assemble their units because the relationship between manufacturing and transportation costs results in higher profit. Figure 3: VMP and MC in the US compared with China Apple has formed a coalition of manufacturers that it uses to outsource many of the components that it uses within its products.In some cases the firms that manufacture parts for Apple are actually direct competitors within the same market. If you l ook at the decision to manufacture internally or outsource to another company it is very similar to the trade theories of competitive and comparative advantage. When considering the iPad mini, Apple had to decide whether to make the computing hardware themselves or have someone else make it for them. Apple deemed that they have a competitive advantage in software development and that Samsung and Intel have comparative advantages in production of hardware, thus they made the decision to have the parts made for them.Each iPad that Apple sells generates a large amount of profit for the firm because their total cost is significantly less than the price point at which it is sold. Generally, Apple sells their products for at least 3 times as much as their total cost, resulting in a huge amount of revenue. You guessed it†¦ a graph What the fuck Justin?!? CONCLUSION * APPENDICES Price Comparison of Generic Android Tablets Price Comparison of Premium Brand Tablets * BIBLIOGRAPHY *

Hcr Week 8

Week 8 Checkpoint 1. Assault: When someone attempts to harm or threatens someone else. 2. Breach of Confidentiality: Is when information has been released to someone who is not authorized to have it, or without the patients consent. 3. Battery: Touching a person without their permission. 4. Burden of Proof: Is the responsibility to prove harm or wrongdoing. 5. Defendant: This is the person that is being sued, or needs to defend themselves in court. 6. Contempt of Court: This is when someone is not obeying court orders, which can be punishable by jail time and/or fine(s). . Confidentiality: Keeping information that is secret, and only the patient can give permission to release this information. 8. Coroner: This is someone who investigates a death that was not because of a natural cause. 9. Court Order: This is a written command or order that is issued by a judge or by the court. 10. Deposition: This is part of a discovery where both sides of a case can get sworn statements from a witn ess, and find out if the witness is credible. Also, to see where the other side of the case is weak so that they can use it against them to win the case. 1. Discovery: This is a legal process where lawyers obtain all of the information that pertains to a case including witness lists (and more) so that the other side can prepare for court. 12. Covered Entities: These are private or public organizations that must follow the HIPPA laws. 13. Privileged Communication: This is private information. 14. Negligence: This is when someone fails to provide reasonable care resulting in an accidental injury to someone else. 15. Plaintiff: This is someone who initiates a court complaint.