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The Apple plans to launch its smart TV in the market of US and China with the capability to provide Internet connectivity and access to online iStore and other media library. With the presence of number of TV manufacturing in the respective market, there is need to propose effective marketing plan for the iTV Apple. This marketing proposal has evaluated the current situation and market description that shows that US is the largest seller of TV, therefore, launching iTV in the US market will enable the company to penetrate into entertainment industry. The significant competition that iTV is likely to face is ...view middle of the document...
This Apple TV will have faster dual-core processor and strong video playback, which is declared as next generation TV with Siri software. Considering the information given from the company, it is assessed that the company aims to possess the upper end of the market by offering state of the art technology in the production of television (Now There is Always Something Good on TV). Additionally, Apple has been found spending $ 200 million only on the research and development of the television technology and the commercial design of the television (Schwalb). It is evaluated that upon deciding to launch the iTV, the Apple will have to bear the expenses of $ 2 billion that would be only for tying up with the distributors, suppliers, and other retailers.
At present, there are more than 300 TV manufacturers in global market of consumer electronics products (Rodiek). The consumer electronic market and especially TV is anticipated to grow higher with the estimated growth rate 4%. This market share is expected to grow further, as recently, 30 million televisions are sold in the USA and Apple by entering into TV manufacturing industry can gain approximately 2.5% of the total market share with the launch of iTV. It is also assessed that if iTV is launched and it gains the market share, it will be able to increase the market share by 0.5% in a year and 3% in second year. Furthermore, if Apple successfully reaches to it target market, it can easily gain 5% of the total market share in the sixth year after the launching (Analyst sees Apple ‘iTV’ taking 5% of HDTV market, earning $17B in revenue).
With the increase in the number of TV viewers, the manufacturer and producer of TV remain consistent in gaining market share by developing and launching new technologies in the TV products (Ogg). Moreover, with regard to market share of TV industry, TV has been found as the most significant and fundamental product in the consumer electronics market. The substantial development has been observed in the form of availability of LCD, CRT, Plasma and DLP screen, which shows the changing trends and taste of consumers (Takata and Umeda). However, the journey of the TV manufacturing industry that began with the TV sets is slowed down with the inception of tube and flat panel TVs. Further improvement and development observed in TV manufacturing market is the incorporation of the strategic technologies such as internet programming (Jose).
The market analysis of TV market demonstrates that specification by manufacturing organization has been increasing in the popularity because the invention of satellite and cable connections has provided the TV manufacturers with the opportunity to maintain the demand of TV for household use (Tarr). Similarly, global TV manufacturing industry has been recognized to be greatly affected by the rapid changes in the technology, which has made dynamic modification in the designing and development of the TV brands. The...