origin of the ipad originated in january 2011 released in april in the same year
Post on 20-Dec-2015
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Origin of the ipad
Originated in January 2011
Released in April in the same year
How the prices of ipad is determined???
Demand and supply
Taking other variables constant, --demand increases, supply increases
--demand decreases, supply decreases
What causes changes in demand???
Consumer income
Taste
Government legislation
Consumer expectation
Prices of substitutes
Prices of compliments
Factors affecting supply Cost of production
State of technology
Price of related goods
Government policy
Associated productsInternational plug that can be used
worldwide
USB port for computer
Car charger so it can be changed on the move
How recent developments affect marketing and pricing decisions?
------------------Competition-----------------
Microsoft and Nokia partnership to make a joint product
Consumers switching to windows mobile platform
More money invested by apple in R&D
Ensure that products are ahead of competitors
Buying an apple ipad has better marginal benefits than other products
Ensuring marginal benefit is higher than marginal cost
More people will continue buying apple products
Demand and quantity increase
Price increase
Higher profits
Cost of resources
Apple looks to expand its market
Pushes PPC out
New production facility would be built
Cost of producing one ipad increase as mortgage and workforce needs to be paid
More advertising needed
Company’s budget increase
Generate more profits to pay off budget
Price increases
Switching to substitutes
Improved version of windows mobile out in 2012
New product will have new functions
Certain consumer prefer the functions in windows mobile
Less people buy ipad
Demand drop, supply drop
Decreasing prices means lesser money earned
High pricesDue to new technology, prices goes up(as
mentioned earlier)
Some consumers were unwilling or unable to pay
These people are rationed out of the market
People wiling and able to pay continue paying
Overall quantity demanded decreases, quantity supplied decreases
Producers produce lesser ipads as the sticks are in surplus
Quantity demanded drop is unhealthy sign to business
http://mashable.com/2010/01/27/9-upcoming-tablet-alternatives-to-the-apple-ipad/
http://tutor2u.net/business/marketing/buying_decision_process.asp
http://www.knowthis.com/principles-of-marketing-tutorials/pricing-decisions/internal-factors-costs/
Credits
