Assignment 2: External Environmental Scan

Market Position Analysis

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Part II: Analysis

The company and the product

The company that will be used is Apple, and the product will be iPhone 7 Plus.

The target customer for the product/service regarding relevant characteristics that impact the marketing strategy, including location (how it should be reached) and buying habits.

iPhone 7 Plus is a product that targets diverse customers (Magee, 2011). The phone is manufactured in a way that it meets the needs of the digital generation, the working class, the athletes, and the researchers. The product has different features like search engines, files space, reminders, and iTunes. The product is available globally thus reaching a big number of customers.

Identify each customer segment’s specific wants and needs.

a) Adventurous customers- A powerful cameras

b) Lovers of music- High-quality sound earphones

c) Researchers and explorers- Fast browsing speed and enough internal memory to store data.

d) Athletes- Slim and water resistant.

e) Customers who care so much about the look- High defined colors and an outstanding shape.

Explain why they buy your company’s product or service, or a competing product or service.

The customers buy the iPhone 7 Plus because it meets the needs of many customers more than the competing products (TOI Tech, 2016). For example, people have had a problem walking with cables earphones on their ears. The product provides a solution to this by providing earphones which do not require jack or cable for them to play music or audio from the phone.

Justify how well your product/service satisfies customer wants and needs.

The product is a combination of several customer needs. There have been companies advertising their products but focusing on one aspect. For example, a company advertises its products by praising the camera of the phone. iPhone 7 Plus meets all these needs at once.

Identify any wants and needs that are not met by your product/service.

The only need that is not met by the product is associated with the price. It is true that iPhone 7 Plus might not be as cheap as other phones (Magee, 2011). However, the quality of the phone is worth its price.

Analyze the position of your product/service about the competition.

The product is currently well and giving the competitors a run for their money. The product has won the hearts of many customers to the extent of not meeting the demand in the market.

Identify the main competitors.

a) Samsung

b) Techno

c) LG

d) Microsoft

Explain how your product differs regarding features, function, quality, price, availability, brand image, and the like.

There are several ways in which the product is different from the products of the competitors. First, when it comes to the features, the product has different, extraordinary features. One of them is the camera. With the iPhone 7 Plus, one does not need to buy another camera. The camera produces quality photos, and it can even be used to take photos in an event. When it comes to the functions, iPhone 7 plus is not just a phone; it is a camera, an audio player, a files store and so forth (Magee, 2011). The quality of iPhone 7 Plus is unquestionable. The product can be used inside water; a characteristic that is not present in many other phones. The price might not below, but it is worth the quality of the product. iPhone 7 Plus is a product that is available in many nations where Apple is operational. Apple is a brand that everyone wants to be associated with. The company has a classy reputation that attracts many customers, and every person wants to be seen with an apple product just because of the company's brand.

Explain why this differentiation is important to your customers.

The different is important to the customers in different ways. First, it meets the needs of the customers. The technology has evolved, and it is the right of the customers to be provided with products which meet their technological needs (TOI Tech, 2016). By doing so, the customers can trust and rely on the product. The second importance is associated with the attitude that comes along with the product. Besides meeting the needs of the customers, the product provides something more than what the competitors provide. Therefore, the customers feel appreciated.

Describe the source of competitive advantage for your product.

The source of competitive advantage is the heavy investment in innovations and Research and Development. Apple seems to be always ahead of the competitors when it comes to the design and the quality of its products. Such has made the company always ahead of the competitors.

Evaluate how sustainable is this source of advantage.

The source of competitive is sustainable because the company does not limit its research and development (Nielson, 2014). Therefore, it is apparent that the process will always make the company stay ahead of the competitors.

Assess the long-term sustainability of the source of differentiation and competitive advantage.

It is the routine of the company to put aside a significant amount to take care of research, development, and innovations. Therefore, because this is a routine and a norm, the company is not likely to stop inventing products which meet the needs of the customers more than the products of the competitors.

References

TOI Tech. (2016). Apple iPhone 7 and iPhone 7 Plus: 11 Best New Features. Retrieved from https://www.gadgetsnow.com/slideshows/apple-iphone-7-and-iphone-7-plus-11-best new-features/photolist/54034919.cms

Magee, D. (2011). Apple's Competitive Advantage: Multiple Products That Integrate as One. Retrieved from http://www.ibtimes.com/apples-competitive-advantage-multiple products-integrate-one-300605

Nielson, S. (2014). Why Apple’s ecosystem is its biggest competitive advantage. Retrieved from http://marketrealist.com/2014/02/ecosystem/

Appendix

Part III: Matrix

	Apple	Samsung	Techno	LG
Bigger Storage	2	1	0	1
Brand	2	1	1	0
Water Proof	2	1	0	0
High-Quality Camera	2	2	1	1
High-quality stereo headphones with no cables or jack	2	0	0	0
Slim	2	2	1	1
Fast searching speed	2	1	1	1