Workshop Questions – Week 3

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Workshop Questions – Week 3

Is the iPad a disruptive technology?

Evaluate the impact of the iPad using Porter’s competitive forces model.

Traditional competitors

The traditional competitors of the iPad are Samsung and Amazon. The iPad continuously devise new product and new efficiencies. For the example the iPad spurs people to watch TV on the go, rather than their television set at home, and to read their book, newspapers, and magazines online rather than in print.

New market entrants

The new market entrants for the iPad is e-book. The iPad has low barriers to entry in the marketplace. The iPad is ready to compete with Amazon’s e-book products. The newer companies like Apple that produces the iPad have advantages such as newer equipment, younger workforce and so on.

Substituted product and services

Amazon has committed itself to offering the lowest possible price but Apple has appealed to publishers by announcing its intention to offer a tiered pricing system, giving publishers to opportunity to participate more actively in the pricing of their books.

  

Customers

Furthermore, customers are also the impact of the iPad using Porter’s competitive forces model because newspapers are also excited about the iPad, which represents a way for them to continue charging for all of the content that they have been forced to make available online. If the iPad becomes as popular as other hit products from Apple, consumers are more likely to pay for content using that device. The successes of the App Store on the iPhone and of the iTunes music store attest to this. The iTunes music store changed the consumer perception of albums and music bundles. Now consumers have drastically reduced their consumption of albums, preferring to purchase and download one song at a time

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