From: XXXX
Subject: To win the market 419 words
To win the market, Apple must continue to utilize its incomparable advantage of making its own hardware and software to develop a new business model, improve operating efficiency and be an innovator to create the trend in the consumer electronics market, not a follower.
Being an innovator and leader in the industry, Apple has to act differently from its main competitors, Compaq and Dell. While others expected a variety of simpler personal computing devices to supplement and replace PCs, we have to confirm our beliefs that PCs are the base of our battlefield. As consumers emphasize more on service and the variety of application software available on an operating system, Apple should take full advantage of making its own hardware and software to satisfy customers’ needs. After-sale service is a business with great profit margin and Apple should absolutely offer consumers premier value-added service not only to retain its users’ loyalty but also to increase profit while all other competitors are competing for the low prices. Also we should invest more on the application software development and sell them to end users at a competitive price. Application software can be regarded as MAC’s derivative products and will add value and profits to make up comparatively low gross margin of PC itself.
Continuously streamlining operation cost is the key for Apple to win in the ever-growing price-sensitive PC market. Keep design, R&D and other IP-related processes in house while outsource manufacturing and assembly. Apple could deliver completed products directly from the final assemblers to