Post on 22-May-2015
Embed Size (px)
DESCRIPTIONMKTG 390 Marketing Strategy Environmental Scan, SWOT Analysis and Market Potential I was the principle author of this Apple presentation for Marketing Strategy (MKTG 390). A key point is how Apple has disrupted the industry with its Apple Pay. The assignment objectives: Conduct an environmental scan of that industry, develop a market potential forecast 2014 and 2019, and choose a company in that industry and do a SWOT analysis on it. You will need to define and describe the industry precisely (NAISC code) and the geographic scope (U.S., Europe, world), e.g. personal computers in the U.S. Then do an environmental scan (PEST) and develop a market potential forecast for the industry. Then you need to choose a company in the chosen industry and do a SWOT analysis on it, e.g. Dell. You need to present, analyze and document your environmental scan, market potential forecast and SWOT analysis as you would any research paper or report. .
- 1. REPORTBy Averi, Matt, Razz, Reggie & Sean
2. AGENDAI. iOVERVIEWII. ENVIRONMENTAL SCANIII. iSWOTIV. COMPETITIVE ANAYSISV. MARKET OUTLOOKVI. Q&A 3. iOVERVIEWI. Apple earns industry-specific revenue from two operating segments:1) Operating System Software 2) Application SoftwareII. Apple exists in multiple industriesMarket Leader 4. iOVERVIEWI. Announces iTunes Radio in 2013Operating at a loss to capture market share from Pandora & Clear Channel (iHeart Radio) 5. iOVERVIEWDisruptive innovation in music business model 6. iOVERVIEWI. AnnouncesWATCH II. Announces PAYCOMING EARLY 2015 7. iOVERVIEWIII. Industry ImpactShift from leveraging economies of scale to focused operations to differentiate from AppleA pivotal first step would be to invent a new POV that it can own independently of Apple (or any otherbrands), and make sure it was a unique approach to form and function, not just communications content.Source: FORBES Will HP Inc. Be A Dinosaur Or A Disruptor?, October 8, 2014 8. ENVIRONMENTAL SCANPolitical FactorsSocial FactorsiPEST AnalysisEconomic FactorsImport penetration in manufacturing sectorPrice of computers and peripheral equipmentConsumer Confidence Index (CPI)Per capita disposable income (note: wages have not increased)Number of broadband connections (infrastructure )Corporate profitSource: IBISWorld (2014) Source: IBISWorld (2014)Technological FactorsSource: IBISWorld & Gartner Research (2014)Firms must follow state and federal laws (IP laws)Streamlined Sales and Use Tax Agreement (SSUTA)24 states & District of ColumbiaE-commerce:Federal Trade CommissionDepartment of JusticeConsumer Protection AgencyWe are in the midst of a radical shift in living patternsUrban livingIncrease in immigrantsAging (world) populationAverage life expectancy in U.S. is 79 years of ageIncreasing adoption of the digital life (integration)Source: Pew Research & CDC (2014)Level of technology change is highNew products every 6 monthsIndustry operators depend on the internet as a selling platformNew developments with social media and appsInternet of Things (IoT)Innovations in human-computer interaction 9. iSWOTStrengthsOpportunitiesWeaknessesDependence on cellular networksProduct delays typically due to issues with supply chainHigh dependence of iPhone & iPad salesSource: MarketWatch Source: MarketWatch & Global Data (2014) & Global Data (2014)ThreatsSource: MarketWatch & Global Data (2014)Increase in demand for wearable technologyiOS expansion to in vehicle devices (smart cars)Increasing adoption of the digital life (integration)Source: MarketWatch & Global Data (2014)Stagnate global economyTheft of digital content (iCloud images distributed by hackers)Intense global competitorsDeclining sales of iPadsPremium pricing can hinder growth in emerging marketsLower priced Android devicesConsistent high revenue streams & operational efficienciesLeader in R&D (3% of sales)Masters of design to create aesthetically appealing productsStrong brand image & equityOwns the largest library of music (5 million) & movies (500)Increase in demand for tablesEnterprise sector allowing personal devicesMobile payments (iBeacon)Iphone 6 issues with bendingU2 download backfire (Bono apologizes 10.15.14) 10. COMPETITIVE ANALYSIS 11. MARKET OUTLOOKComputer Manufacturing in the U.S.Revenue is projected to continue decliningat an average annual rate of 5.2% to total$11.0 billion in the five years to 2019The share of consumers that own at leastone computer is anticipated to increasefrom 81.7% in 2014 to 87.4% in 2019The growth of cloud computing (i.e.software and media delivered over theinternet) means demand for servers willincreaseIndustry is decliningComputer Manufacturing in the U.S.Revenue will increase at an average annualrate of 7.8% to $30.8 to 2018 billionThreat of regulation could hamper growthoutlookDuring the five next years, the number of(e-commerce)operators is expected to rise2.6% per year on average to 5,310companiesIndustry is growing 12. MARKET OUTLOOKIndustry is decliningComputer Manufacturing in the U.S.Industry is growingOnline computer & Tablet Sales in the U.S.Retail Market for Personal ComputersInternet Radio BroadcastingOther industriesCell Phone RepairDesign, Editing, Rendering Software Publishing inthe U.S.Speech & Voice Recognition Software DevelopersSource: IBISWORLD (2014) 13. THANK YOU 14. Q&A