1. Evaluate the impact of the iPad using Porter’s competitive forces model.
Nowadays, if we talk in terms of the scope of development, the iPad is the best product in the market because it has a wide range of offerings that integrates graphical interface and quality applications. In these two points there are no products that can compete with the iPad. What makes the iPad successful is its high speed over other products and its constant application updates, even if we are talking about a first generation iPad.
The Porter’s Competitive Forces Model
1)Consumers: Consumers are mostly loyal. customers of apple. New consumers are slowly growing. Apple are opting to attract in more consumer by focusing on content.
Corporate: iPad has been deemed useful to corporate uses. With the ability to have
apps for documents and also other business functions
2) New Entrants
• No new entrants
• Rivals are the existing strong competitors:
– Mobile giants such as Samsung and LG
– Big Electronics companies such as Acer
* Software Companies such as Android (Google)
3) Substitute Products
• Products that are similar and have most or
some functionality as the iPad are available.
• Examples of substitutes are
– Laptop/PC
– Samsung Galaxy Tab
– Amazon Kindle
– LG Gslate
* Acer A500
4) Suppliers
• Apple has a strong base of suppliers.
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– Network carriers
* Electronics components
5) Industry Competitors
• Competitors with strong finance and
exceptional R&D Departments are breaking
into the industry
• Competitors are rapidly emerging:
– Samsung
– LG
– HTC
2. What makes the iPad a disruptive technology? Who are likely to be the winners and losers if the iPad becomes a hit? Why?
Disruptive technology are new technologies that comes along and changes the world in a way.
iPad is a platform at which it has the capabilities of a laptop or tablet PC but put in an elaborate functionality that makes itself unique.
E-Books
winners
• The Ipad could be a device that makes eBooks and eReaders go mainstream. Cheap eReaders could prosper.
Losers
• The iPad makes existing eReaders including the Kindle, Sony eReader, Plastic Logic Que and B&N Nook look very ordinary and obsolete
News & Magazines
• The iPad could be a helping-hand to the struggling newspaper and magazine publishing (printing) sector by providing a format that readers will again pay online
Losers
• As with book publishers, if Apple dominates the portable reader sector, magazine and newspaper publishers will become dependent on them for their ongoing success. A weak position for them in long run.
3.
Content based Business Model
E-books, E-news, E-mag and etc.
• Portability
• Everything is to go
• Bigger Segment
Content Creators
High Competition
• More niche contents
• Specific customer needs and wants
• Personalization
• High- quality application
Distributors
More frredom to publishers
Act as an agent
30% fees on sales
&12-$14 per e-book
cheaper e-book in the future
The low prices of Kindle make this tablet successful and its sales platform. Its main benefit is that is easier to integrate files in different formats (i.e. Word, PDF, etc.) and does not need iTunes to integrate books. Kindle’s structure makes it more portable. When we talk about prices, portability and economy, Kindle is the best product, but it does not make it the best in quality. On the other hand, if we look for interface quality and product versatility like: platform to watch movies and videos, better book reader, and a cloud that does not affect our device’s internal hard drive, then we are talking about iPad. In my personal opinion, I used to say that Android and Kindle were the best in the market, until I used an iPad. Now my way of thinking has changed completely.
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