¶ … Apple Inc. Supply and Demand
Apple is a U.S. multinational company that specializes in manufacturing and marketing of electronic products. Top Apple brands include iPhone, iPod, Apple Computer, and iPad. Globally, Apple is ranked as the second largest global electronic company with over $215.6 Billion revenue at the end of the 2016 fiscal year. Apart from the company superior financial performances, Apple has enjoyed high demand for its products globally based on the stylish method employed in designing the products. The iPhone is one of the major products of Apple Inc., and the company has recorded superior demand for the product since the product has been launched.
The objective of the paper is to investigate the supply and demand for the iPhone.
Supply and Demand for iPhone
The theory of supply and demand illustrates the quantity demanded versus the quantity supplied in the market. (Mankiw, 2007). The study discusses the supply and demand for iPhone which is one of Apple's major products. The study explores the law of demand and supply for the iPhone, and its elasticity of demand.
Demand and Supply: The law of demand illustrates the quantity of a product demanded in a given market. Apples operate in a global market and iPhone 7 is one of the latest products that the company has released. Since the company has released the...
However, the law of demand and supply argues that the supply must equal to the demand for the market to reach the equilibrium. In the case of iPhone 7, Apple is unable to meet the demand for its product at its retail and online stores around the world.
Fig 1: Supply and Demand of iPhone
As being revealed in Fig 1, the Point A is where the market has reached its equilibrium. When demand is higher than the product supplied, there is a shortage in the market. However, when there is short of iPhone in the official market, the black market will increase their price creating another equilibrium price. When the iPhone 5 was sold in China, the black market started selling the same product at an unreasonable high price.
Trends in Demand and Their impact on the Firm and Industry
Apple has enjoyed an increase in the demand for the iPhone for the past 10 years between 2007 and 2016. In 2007, Apple recorded sales of 270,000 iPhone however, the sales increased to over 74 million units in 2016. In the first quarter of 2017, the sales of the iPhone has increased to 78 million units. An increase in the sales of the iPhone has led to an increase in the demand for smartphone globally (Statista, 2017) because consumers who cannot afford to buy the iPhone demand for another model of smartphone leading to an…
Apple Inc. that was previously known as Apple Computer, Inc. is an American multi-national corporation that deals in consumer electronics, personal computers and computer software and was founded in 1976. Steve Jobs was the co-founder of Apple. During his stay as CEO, company launched series of revolutionary technologies. He died on October 5, 2011. Currently, Tim Cook is the CEO of Apple. Before being on this position, Cook was Apple's
Table 2: Distribution of Revenue by Product Area Source: (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006) Planning The cornerstone of Apple's planning processes is the continual development of products and services that compliment the product and services ecosystem shown in Figure 1 (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006). Figure 1: Apple Product and Services Ecosystem Source: (Apple Investor Relations, 2008) (Prudential Equity Group LLC, 2006) For Apple, their future planning revolves
Apple needs to increase its market share for iPad 4. Product outline Apple Inc. is a well known technology firm that specializes in designing, production and selling of computers, mobile phones and music related devices. The most outstanding feature of Apple Inc. is the brand-perception as well as identification. Apple has built itself to become a cult-brand over the last decade with the strategy to invest and market iTunes, QuickTime and iMaclines
Apple needs to increase its market share for iPad 4. Product outline Apple Inc. is a well known technology firm that specializes in designing, production and selling of computers, mobile phones and music related devices. The most outstanding feature of Apple Inc. is the brand-perception as well as identification. Apple has built itself to become a cult-brand over the last decade with the strategy to invest and market iTunes, QuickTime and iMaclines
Apple (the computer company) with relation to China. The paper will need to focus on the company's product development and supplier relations within the Chinese market. Apple "Apple Inc. (NASDAQ: AAPL; formerly Apple Computer, Inc.) is an American multinational corporation that designs and sells consumer electronics, computer software, and personal computers. The company's best-known hardware products are the Macintosh line of computers, the iPod, the iPhone and the iPad. Its software
Apple's Current Position On Its Ethical And Social Responsibilities Corporations are increasingly seeking a vision in maintaining social responsibility alongside a vision in business. There are also demands for greater accountability and transparency in corporate actions of organized consumers, state representatives and grass movements (Garsten, 2003). Many corporations aim to engage in corporate citizenship and to be socially responsible by adhering to social accountability standards and voluntary codes of conduct. This