Sunday, October 06, 2013

Does Apple Stand a Chance?

I came across this article from 3 years ago that didn't give Apple much of a chance with their new iPhone. Read the article and answer the 4 questions at the end of it. Then tell me why you think that Apple was a success with the iPhone.

52 comments:

Leo Flores said...

1)I think that one of the barriers that exist in the mobile phone market is the fear consumer's have of trying new things. People are usually afraid of the unknown and are typically reluctant in trying new things, for their reasons might be. Another barrier would be the fear of going against large corporations who have already established themselves in the mobile phone market.

2) The mobile phone market is a difficult market to get into. Most of the companies who are in the mobile phone market have established themselves, either by producing phones since the concept of the cellular phone arose or they have provided some type of innovation in the mobile phone market. These images could be rather intimidating for new mobile phone companies, and usually drop out when they cannot match those images.

3) Well, as we have already seen, yes. However, Apple already posses a track record of innovative and successful products. Their personal computers, iPods, and other devices can completely account for this. The iPhone would be no exception in Apple's case.

4) Knock offs affect in Apple in a way such that they are not getting the credit they deserve. The companies who are making the knock offs will be the ones who will receive recognition, therefore slowly pushing Apple out of the Chinese mobile phone market.

Dylan Allotta said...

1) I'd say one of the biggest barriers to entering the mobile phone market and many technology markets in general is the fact that, at this point in time, there is a lot of catching up to do. The resources of such a large company like Apple are very difficult to match with that of a starting company. But like the article said, innovation is very powerful. We saw this exact barrier overcome by Apple as they started in a garage opposing one of the biggest technology firms of the time, IBM.

2) I believe that once the market becomes dominated by a few companies who make the best products, there is just no room and no reason for other companies to try and make the same product.

3) Yes... I think we can safely say they have effectively penetrated the mobile phone market.

4) I think this question depends solely on the foolishness of the consumer. Of course I say this under the assumption that the knock-offs are not as good. If you just want something that looks like an iPhone and works like a high school physics lab (which never works), then buy a knock-off, but otherwise, if the price is right, you pay for what you get. So, as we've seen, Apple was not overly outrageous with their pricing, the phone took hold, and the phone has done very well ever since.

Shefali Rai said...

1.One of the barriers usually to buying a new phone is getting used to a new device. Usually people are too used to and comfortable with their old phone that when they buy a new phone, they get frustrated because it is not exactly like their old one, and they cannot figure out how to use it.

2.Unless a company advertises their phone, they will not have a profitable business. Individuals usually buy phones that are trending and are the topic of discussion. Without spending the money to enhance the product no one will hear of it or buy it leading to a loss of money for the company.

3.Since having a smart phone and an iPod in one device is something new apple has a chance. However, people were probably afraid to venture off into not having tangible buttons and instead a touch screen. The downside to the iPhone is that the screen is made of glass so people might be afraid to purchase it in fear or breaking the phone.

4.The threat that the knock off phones pose is obviously price and the fact that knock off phone will be less expensive. Also since they are cheaper, the screen is probably not made of glass therefore the phone would be harder to crack. Usually if there is an option to buy a cheaper one, people will buy the knock off hoping to save money and hoping that it will be as good as the original.

I think that the iPhone was a success because of how user friendly it is. Unlike some other phones in the market, it does not take long to get used to the functions and it is not frustrating because everything is straightforward and on one screen. Another cool feature is that it has direct internet access and a built in iPod. Everything is truly easy accessible by just clicking on the app icon in the home screen.

Mayur Patel said...
This comment has been removed by the author.
Mayur Patel said...

1) I think one of the barriers that exist in the mobile market is even though a firm’s price structure is generally efficient even without competition, the price
level may be inefficiently high so that an allocative efficiency loss can result. In general, prices
will be the closer to the allocatively efficient price level the more intensive actual or potential competition is in a market.

2) There are two potential factors
suggesting that barriers to entry into mobile telephone markets may not be low, but rather play a
major role: (1) The limited availability of frequency spectrum and (2) possible consumer
switching costs,a potential reluctance on the consumers' side to switch from an existing
provider to an cheaper alternative.

3) Of course it will. Due to its popularity and its technological advances majority of the consumers not just in the U.S. but other countries are carrying Apple devices

4) The knock offs effect in Apple is a serious threat to the actual company that is selling the product. Knock offs are just stealing the recognition that the true company deserves which can force Apple out of the Chinese mobile market.

James George said...

1. A main barrier to the mobile market is getting used to the phone you currently have. Many people like to stay with the same and when they do try something new, they tend to be annoyed when it doesn't work to there liking.
2. Many companies have tried to incorporate there mobile phones into the market, but have failed due to dominance of bigger companies and not having the needs of the growing generations.
3. Apple was successfully able to enter the mobile market due to its innovation in there technology when they were first introduced.
4. The threat knock offs pose to iPhones is that something else can look the same and be at a cheaper cost. The effect to it can cause a decline in demand for iPhones.

Unknown said...

1. Barriers to entry for mobile phones include the fact that the phone must establish a reputation within the population of a country to become successful. They would also need to bring something different to the consumers such as a new innovations that interest them so that they would have a reason to buy it.

2. I think that very few firms produce mobile phones because it is hard for companies to make consumers shift from their current favorite brands, which have dominated the current market today, to new brands.

3. Considering the fact that this article is almost six years old I would say that Apple has already successfully penetrated the mobile phone market.

4. "Knock-offs" of the Apple iPhone keep the popularity of the original iPhone at bay considering the fact that "Knock-offs" are much cheaper thereby appealing to a larger group of people. But eventually people begin to want the original because it does not function as well as the one produced by the Apple company.

Overall the iPhone has been a big success throughout the world. I provides new developments and higher processing speeds to the public and the user friendly capability of the phone has also helped in it's sales. But in order for it to compete with rivals it is also beginning to add more sophisticated functions however as simplified as they can make it.

Sean Kelly said...

1)One barrier would be how does your phone differentiate from every phone in the market. How does your phone change the game in the mobile market. For example, Apple came out with a phone, that was not only a mp3 player, but had the capability of having apps and just looking nicer than other phones

2) I believe that few companies create phones because there is so much competition with big name brands such as Apple, Samsung, and more. These companies have created a outline of how phones should be and people tend to buy products because they are familiar with the product. Trying to create a new phone would be very difficult

3)Obviously, Apple is one of the most recognized phones of the world, just due to the little apple logo. Like I said before, people buy for name brands.

4)Knockoffs affect apple in no way at all, but I believe do affect the consumer. Apple knows it, the people know it, that a true apple phone will always be better than some cheap Chinese knockoff.

I believe that the Iphone became so popular because of the innovative ideas it had brought to the phone industry. Look around, almost every phone tries to bash on the iphone in order to sell their phone, so that has got to mean they are doing something right.

Lloyd Farley said...

1) Plenty of barriers exist. Many consumers are interested in buying devices that are time tested and have names that they can trust. Also, especially true back in 2007, phones were expected to do very little functions and those functions were basic and its difficult to compete with something so basic. This however is not always true, as Apple has proven, innovation is possible and profitable.

2)Firms producing mobile phones are probably limited because of the barriers. Unless a firm is confident that they have an innovative idea that will break the mold there is no reason that they will take the risk to pull the trigger on developing a mobile phone.

3)Yes, not only has Apple penetrated the mobile market they have almost dominated it and pioneered the smart phone market. like I said, innovation can help expand existing markets and that is what Apple has done.

4) The affect is probably pretty little because of benefits such as Apple care and the benefits that consumers get from taking part in legit transactions.

Myles said...

As someone who loves technology and is always informed on all things smartphones and computers I can easily put this Apple debate to rest.

1. The barriers to entry in the mobile industry are, put simply, the companies that are already there. Once people get accustomed to something, they are highly unlikely to change up what they know works for them for something new that they are unsure of. Most consumers (Apple consumers especially) have incredible brand loyalty and tearing them away from their beloved manufacturer is a heavy task.

2. So few firms produce mobile phones, first, because of the entry difficulties, but even more so because once you get in, you have to work hard to stay in. First impressions are everything. Staying ahead of the game is a must, innovation is mandatory. If you don't keep up, you lose. Like Blackberry.

3. We've already seen Apple penetrate the mobile market and then some. In past years, closely around the iPhone's inception and before the birth/early years of Android, they were the top contenders in the market.

4. Fake iPhones hurt Apple because they offer cheaper alternatives and essentially steal the profits that Apple should be getting for the real deal.

There's one simple reason why the iPhone was and is so successful: marketing. I can tell you now that Apple hasn't really "innovated" anything since their first iPhone; they just know how to push their products so well that everyone thinks it's the greatest thing ever. Truth be told, Apple is way behind the curve in terms of technology and software. They release essentially the same phone every year and people buy them up in a frenzy because of the hype surrounding Apple's brand. The real innovation is in Android's corner, which is why they hold a vast majority of the mobile market share between their manufacturers (Samsung at #1). Consumers are beginning to realize that they're being fooled with the same old thing over and over again and Apple is losing ground by the day. Don't let the hype fool you, the numbers say it all.

Unknown said...

1) First of all, any new product that enters into a well developed market, like the mobile phone market, will usually be disregarded by the majority as inferior to the current products just out of bias due to the ones they one. People are not willing to try new things and a major barrier that existed during that time was the touch screen. Several years ago, having a phone without buttons was just absurd and almost laughable simply because it was a new thing. Additionally, Apple has never really been known as a mobile phone company, so of course many people playing the market game are less likely to see any value in Apple and would have considered them as just another company with no potential in the phone market.

2)The more firms there are, the more competition. Although competition is usually a good thing, in markets that affect consumers on a more personal level, like the phone market,the mass majority of the people generally rule and the favor of desiring a certain company over another is more likely, therefore, in order to keep up with the trend or to remain cool, more people will just buy phones from the firm that everybody likes (like Apple of today) possibly putting the other less popular phone companies out of business.

3) They already have. They penetrated the market slowly at first, just barely pushing their head all the way but just enough to stimulate the senses of their target, eventually having the market at the mercy of gradually lengthening dominance, then engaging in a non-stop frenzy of explosion, vigorously pushing all the way through, diving head first into the walls of the mobile market, giving the people something they never taken in before, erecting a new mind set for desire, climaxing in an ejection of new products, leaving the public with a burning thirst for more, as they walk out the store satisfied yet unsatisfied with a new load (of technology) in their pants.

4)Since China's mobile market is known to have an abundance of knock offs of the most popular products, Apple, along with any other successful mobile phone company, will still have a fairly difficult time trying to outsell the fakes in the market, for they're usually priced lower and produced at a cheaper rate.

Unknown said...
This comment has been removed by the author.
Terrence Yeow said...

One of the Barriers of entry is the idea of "pleasing the buyer" with what they bought. Withe the technology age rising so fast, it definitely makes buyers hesitate if they should buy the certain product or to rather wait for something that is much better. The fear that some people have is buying a phone and then regretting not waiting for another phone that could be somewhat better.
2. The mobile phone service is a very tough business. If taken everything into consideration, making a profit and having a succeeding business in making phones is very slim to none.
3. I think Apple has the ability to do so. To bring out a name to the company is to be distinct from the rest of the competition. I think being different from the rest of the other mobile firms plays a huge factor in reeling buyers into the product.
4.By having a cheaper knockoff, it could severely damage the profit and reputation. Many people could potentially get scammed buying full price of an actual Iphone for a fake one if not looked into closely. By doing so, shops doing such an act could make a bigger profit selling knockoffs as the real one and thus bring the actual business of Apple down.

Madison said...

1) I think heavy competition and people not being so open-minded to new devices could be difficult barriers for a new phone to get into the market. It'd be hard for an upcoming product to get ahead of already established corporations.

2) Such few firms produce mobile phones because of the highly competitive market. It's also a very trendy topic, meaning that people tend to follow what other people have. If one firm becomes popular, then almost everyone might buy for them. It leaves very little room for a wider number of producers.

3) I think it stands to show that Apple has already come very far in the eyes of both the public and in the business world. The iPhone has become a hot commodity for many and their innovation of new things will only lead them to become bigger in the future.

4) Like for any product knock-offs, the main harm that comes from people purchasing phony (no pun intended) iPhones would be hindering Apple from effectively entering China's mobile market. It keeps them from producing and selling the real deal within that economy and doesn't allow them to fully expand.

Andrew Guilbeau said...

1)Legal barriers like patents and government licenses make it difficult for there to be a new mobile phone. Also the domination of the market by giant corporations makes the odds of successfully introducing a new mobile device impossible.
2)So few firms produce mobile phones because of a lack of innovative technology in the area. There aren't many companies that make ladders, for the simple reason that a ladder is a simple design and does not include any extra features. Once a bunch of companies develop new techniques and softwares for a phone, the pain and expense required to successfully make a new phone are just too high.
3)Yes, they did penetrate the market quiet rapidly.
4)They cause Apple to face some serious competition and have to adjust their methods of productivity. They have to do this because Apple is known for seriously marking up the value their products, so these cheaper copies that do the exact same thing force Apple to be more moderate with their prices.
The reason that Apple was successful is because of their marketing. Everyday they manage to fool and convince people that everyone in the entire world has a iPhone, and that you are different and weird if you do not. This concept causes people to pay ludicrous sums of money for something they do not need. People break open their piggy banks and stand in line for hours on end just to get the new iPhone, when the reality is the new model is only different in that it has a better camera or such and such.

Amaan Rizki said...

1) A barrier, in my opinion, is the fact that smartphones are the norm these days and many people are not looking to buy a phone that just calls and texts anymore. If a phone does not have an OS on it, then it is probably not going to sell as much as other phones in the market.

2) I believe the reason that so few firms produce mobile phones is because the competition is very high right now. Most mobile phone makers have advanced their technology so far as to have everything done for you just by speaking to your phone. For another firm to start producing phones, there will have to be many things to catch up on when they launch.

3) In my opinion, Apple has already penetrated the market and currently produces one of the most popular phones on the planet.

4)The threat of the cheaper knock- offs is stealing the money that Apple would have gained, however if individuals want an iPhone, they should buy it from the company instead of buying it from some shady internet site.

I think that Apple was a success because year after year, it introduced a new hardware or software that made consumers rejoice in the possibilities that could come out of it. From the creation of an all glass phone, the invention of SIRI, the integration of aluminum, and the development of an all new high tech security system, Apple has made changes that impacted the mobile phone market and convinced many individuals that its phone was the one to get.

Rahul Mathew said...

1)I think one of the barriers that exist in the mobile phone market is the satisfaction of the consumer. Many people have already seen everything iPhone can do and so trying new things like Samsung and being spontaneous is something that they fear.
2)It is difficult to produce a phone that no one has ever seen that brings a new generation of technology and the sets a new standard for all other phones. Being able to bring out an innovative phone that challenges galaxy and iPhone and many other top phone leaders is hard.
3) I don't think so, people have seen all the tricks iPhone can do and now they are resorting to mimicking the ideas of Samsung by there new software update. Unless they can make a phone that has gone beyond their standards they will eventually die out.
4) Apple will not be getting the credit they deserve and the companies that create these fakes will receive credit for such an innovation

Sam Sam said...

1. One major barrier is the race to become the most advanced device on the market. Let's face it, if a smaller company thinks of a new, innovative idea for their phone, chances are that Apple and Samsung have already begun developing that idea. The competition between Team Apple and Team Samsung is big battle right now, and firms have a harder chance to join the fight for spot #1.

2. These days, the mobile phone market is the toughest to get into, and firms know this. Again, why jump into a fight when you know you're going to lose? Right now, Apple and Samsung are dominating the market, and there's just no room for competition, just look at Blackberry.

3. Apple already has dominated the mobile phone market (says the girl that owns everything Apple... not biased at all). The iPhone brought something totally new and innovative to the market, to which Samsung took and added more. The release of the iPhone started the revolution of smart phones. People will always argue that iPhone users only buy iPhones for the name brand, but that goes for ALL name brands out there, not just Apple.

4. Obviously, the harm of cheap knock-offs is that Apple aren't getting the profits from a product that they invented (but come on, knock-offs don't harm Apple at all, really). With loads of consumers that don't read up on the material, they tend to fall into the trap that is cheap knock-offs. However, you pay for what you get. The quality of the phone is significantly lower than that of the actual phone, and you don't get everything you paid for in terms of functionality.

Ajeet Baath said...

1. The barriers to entry include an aptitude for innovative technology and a plethora of competition in the market for mobile phones.

2. So few firms produce mobile phones now because apple and samsung hold a sort of monopoly over mobile phones' sales. Additionally, the other barrier exist for discouragement.

3.Yes because they did. Apple had a significantly innovative product that many consumers were willing to pay for.

4.They pose no real threat because anyone who desires the real brand will be willing to spend money for it.

Ajeet Baath said...

1. The barriers to entry include an aptitude for innovative technology and a plethora of competition in the market for mobile phones.

2. So few firms produce mobile phones now because apple and samsung hold a sort of monopoly over mobile phones' sales. Additionally, the other barrier exist for discouragement.

3.Yes because they did. Apple had a significantly innovative product that many consumers were willing to pay for.

4.They pose no real threat because anyone who desires the real brand will be willing to spend money for it.

The Iphone was a success because when it arrived in the markets, nothing like it existed. The value of the iphone far exceeded the features of other phones because they do not carry great aspects such as a built in iphone. No one desired to compete with the iphone so other phones fell off.

Kevin Lin said...

1. In my opinion, the biggest barrier to the entry of the mobile phone market is that the market is already dominated by few big name companies.

2. Not many firms choose to produce mobile phones right now because the competition is extremely high. Few products from new companies will even get noticed by the general public unless they go above and beyond in innovations.

3. I have no doubt that Apple will be able to penetrate the mobile phone market. Their products stand out among other existing phones through differentiation in features. The uniqueness of iPhone is attracting to many consumers.

4. I actually dont think the knock offs are that much of a threat to Apple's iPhone in china. People value the "real" iphones much more and from experience i can say that the knock offs have terrible quality.

Apple was a successful with the iphone because it was unique compared to existing phones produced by big name companies. They gained success through market differentiation.

Natasha Blessing said...

1) I would have to say that one of the biggest barriers would be people not wanting to change. People get use to and like their phones so they're unwilling to change which means the few companies that have a mass of customers will keep them because of peoples reluctance to change

2) Not many companies decide to produce mobile phones just because companies like Apple have the majority of control over the cell phone industry.

3) Yes just because they simplified EVERYTHING for those who didn't like the "complicated" phones added on top of showing new innovations

4)I dont think they have to worry about the knock offs just because most people are more worried about the image of them having the IPhones and the cheap knock offs are usually made from a less quality so people tend to avoid them.

Unknown said...

1) One of the biggest barriers any new product faces is the reluctance of people to turn from the older product they have grown comfortable with. This happened quite evidently with the Android OS as people were and still are unwilling to leave iOS and Apple behind, ultimately only allowing Android a chance in the mobile market because it was backed by the immense Google Corporation..

2) So few companies produce mobile phones because they are expensive to produce and the way current technology is advancing, it takes a huge amount of resources to keep up with gadget trends, something a start up company just cannot do, especially when consumers are unwilling to transition from the trusted products thhey know and love.

3) I think this question is a bit too far outdated, seeing as Apple obviously has not only penetrated, but swallowed the mobile market.

4) Knock offs of the iPhone offer a cheaper alternative to consumers, driving sales away from Apple and also hurting their product reputation by producing cheap knock offs that may not be of the quality apparent in the real Apple product and selling them as equivalent to the real product.

The iPhone was initially a success because it revolutionized the mobile market. Prior to the iphone were flip and slide phones, phones with the sole purpose of being phones. However, with the iPhone, people were now able to use their phone as a tool for work, recreation, entertainment, media, an everything else and customize their phone to their tastes through the innovative new feature labeled the AppStore. Undoubtedly, the iPhone revolutionized the mobile market. However, Apple still manages to stay relevant not because of the advancement of technology ass in their original phones, but rather by their already built fanbase. In the present, there are many phones out there that outperform the iPhone in every benchmark and aspect possible, yet consumers still flock to the Apple stores because of a familiarity with the iPhone and a lingering aspect from the 2000's of the iPhone being the "cool new thing".

Joshua Okanlawon said...

1. I believe that one of the biggest barriers that exist is the different competitors in the phone business. You have to be able to make the buyer not only want to buy, but to also want to recommend your phone to other buyers.

2. The phone business is a very tight and difficult to change business. these people focus mainly on two types of phones, galaxy and iphone. And to be able to a new innovation in the phone business, one most come out with an idea that will not only shock the world, but literally shake it.

3.Of course apple have effectively penetrated the mobile phone market, apple is the type of business that can make a flip phone look really nice.

4.I don't think knock-offs are a serious threat to the apple industry because there will still be that bigger percentage of people that want the real thing.

Jenny Chang said...

1)One barrier that exists in the market entry for mobile phones is the ability to surpass other established companies in innovation and to pique consumer interests. Often, the products that come out have only one or two features that are different form the other mobiles. In this case, the consumers would rather stay with their old phones.

2)I think so few firms produce mobile phones because the industry is too competitive. Although the technology for mobiles is fairly rampant, only a few selected firms have the best technology and the innovation to keep up with consumer interest.

3)I think Apple will be able to successfully penetrate the mobile market because of its innovation. It comes up with products that evolves to fit the consumer's needs. Continuously announcing new products, it keeps the consumers interested.

4)Cheaper “knock-offs” of the Apple iPhone pose some threats to Apples in China’s mobile market because the majority of the people are either lower or middle classes. These people would prefer cheaper products that resemble the original ones. If the majority cannot afford Apple, then Apple is off the Chinese market.

I think the reason Apple is successful is that it keeps innovating in the direction that accommodate people's lives now. It keeps the consumer interests up by constantly releasing new inventions.

Malcolm Berry said...

1) Barriers that impede entry into the smartphone market are consumer tastes, price, and compatibility. New phone companies find it difficult to compete against the two super powers Apple and Samsung because of price and consumer price. If Motorola comes out with a new phone with a price that is a little less than or equal to the price of an iPhone, many may pass up the Motorola because of its lack of refutability in the market although it my be just as good as the iPhone. Furthermore,with the versatility of smart phones, compatibility plays an important role in phone selection. Many iPhone users find that the transfer of music, videos, or photos via itunes is much easier than it would if they had a phone running on Google's Android software.

2) What makes it so difficult to enter the phone market is the consumer's resistance to change. Many times consumers buy what they are already used to and lack the desire to try anything else. For example, my mom likes the screen size of my Galaxy S3, because its easier for her to read text, but chooses to keep her iPhone simply because she doesn't want to learn the S3's interface. This intolerance for something new as well as the trendy elements to both the iPhone and S3 make it extremely difficult for firms to enter the phone market.

3) Apple has done extremely well in the phone market, and with the introduction of the low cost 5c I think they will continue to do well in the future.

4) "Knock-offs" of Apple Products will effect Apple's ability to compete in the smartphone market very little as the western desire for genuine and quality products have traveled to many parts of Asia and have affected the tastes of its consumers.

Apple found success with the iPhone mainly because of the popularity of its iPod product. People were excited to finally have the benefits of a mp3 and a phone in one easy-to-use package.

Sarah Raines said...

1.) The greatest barrier of entering into the mobile phone market is the consumer. People grow attached to what they have and don't want or feel the need to try something new. Of course you always have your "techies" who have t have the first of everything, but the first type of consumer is always a hindrance regardless of what market you enter into.
2.) The market for mobile phones is very competitive. especially now you would have to have something incredibly innovative to spring up ahead of these other phone companies. otherwise you would be squeezed out of the market. One phone that has recently come into play is the new windows phone that has been on the market. though it hasn't come out on the same leveling field as the Samsung galaxy and iphone, it is showing potential and has certainly come out further than most new phone companies would.
3.)Yes. Apple has literally transformed the phone market. All other models seem to take after the original apple idea. (I am not any expert in technology so don't shoot me if I'm wrong).
4.)People who just don't care will buy these "knock -offs". There is certainly a big enough demand for cheaper phones that have about the same capacity, so why pay more? Apple in fact has probably seen this as they have come out with the 5C?
I believe that Apple was a success because they offered some thing new to the world of technology. it was the coolest and most advanced piece of technology there was and the first of its kind. that why they built up there name so fast. they built on innovation which everyone loves. winning over the heart of the consumer is how you sell product. they didn't follow the flip phone design like everyone else they came up with something completely new.

Unknown said...

1.) the greatest barrier for entering the mobile phone market is having a product with prestige that everyone knows is dependable. This is essential because people usually only get smart phones they know are fast and work well with an easy to use interface.
2.) The market for mobile phones is becoming more and more stagnant as each new generation of phone comes out. Apple is the dominating company with the IPhone and Samsung follows with the galaxy. Other companies such as Nokia have lost there lead in the mobile phone market as they did not jump into smart phones like other companies did. Most people only buy apple products and and those that don't buy either high end android phones or the crappy free ones because they are free. There are the few people with windows phones but microsofta mobile OS has never taken off as a mainstream OS due to a lack of app support.
3.) Apple has completely revolutionized theobole phone market with the introduction of the iPhone. The smart phone is an extension of most peoples every day lives and couldn't be replaced. The introduction of the smart phone completely displaced mobile phone kings like Nokia and Motorola as top dogs. They are now the cell phone to have and are widely known for their prestige and easy to use OS.
4.) The cheap phones have always been there even before there were iPhones. The knock off Motorola razer phones and chunky camera phones were trying to steal the market from Nokia and Motorola long before Apple even had entered the cell phone market. The android OS created by Google is a prime example of people trying to make a cheaper alternative. There are more android phones in use than Apple phones but that is because there are a million different androids phones and 7 iPhones to pick from. Apple has always known they charge a lot of money for their products but when people buy them, they know that they are buying dependability and status in society to say they have the real thing.
I believe that Apple was such a success because of excellent marketing and a newly redefined name coming from the iPod launch. This name spread like wildfire through consumers and when the touch screen of the iPhone debuted, people realized that the future was arriving. The innovation in computing at a handheld size was phenomenal and nobody had done it before. This led apple to be the large success that it is today.

Aileen Nguyen said...

1. I think that that one of the main possibilities that barriers are manifested are because of the consumers wide range of criticism that affects others judgement. The Psychological incorporation by inflicting one's own taste and opinion to conceive into someone else head obstructs the thinking and actual effectiveness and use of the particular phone. Everyone has a different taste.

2. The phone market is a very difficult market to thrive in. Current Standing market reign and take control most of the nations network making it very difficult to succeed in such business. Many mobile companies that tried to be known would have to end up lowering their prices abnormally just to get some sort of stand on the market.

3. Apple has the ability to penetrate into the market with their well known name and credits. Associating their well industrialized products with the iPhone makes it ever so easy to do so.

4. Cheap knock offs will always have a counterpart. The psychological thought can persuade others to buy the actual brand but misconception for a cheaper price can do so as well to make other buy a knock off. In the current economic state and wealth for China, Knockoff could be seen with a higher advantage and thus affecting Apple's business

Apple was such a huge success with the Iphone because of their previous accomplishments and innovations in the technology advancement.

Merin Mathew said...

1) I think that a barrier to the phone is that people want a phone for its brand and at the same time, it has to have a good reputation. So a phone market need to establish a good reputation from the first product it sells and it has to be different from the other phone or it could be presumed as a knock off of another phone.

2)It is hard to compete with major companies with which 75% of the market being controlled by Nokia, Motorola, Samsung and Sony Ericsson. The phone would have to be different in design and layout and have better and different ideas.

3)In the past records of Apple, their phones have been quite successful. It is not only a phone, but also an mp3 and internet browsing.

4)If the knock-off functions same as a regular iPhone but cheaper, I would think that more consumers will buy from the Chinese market. It might even drive the Apple market from damaging its reputation down while the fake phone market rake in profits that was suppose to go to Apple.



Cody Hajek said...

1- One of the biggest barriers is the fact that people, in general, are lazy. No one wants to take the time of day to learn something new, which makes the user interface crucial.

2- The mobile market, like most markets that exist in today's world, are difficult to get into because people like reliability and brand names provide that, plus they're "hip".

3- Yes, Apple is known world wide. Apple has the key ingredient for jumping into a popular market, innovation.

4- Knock offs do not pose a threat for Apple because the majority of people who truly want the best understand the necessity to pay for the best.

Cody Hajek said...

The iPhone is successful because of how user friendly it is. Also, it is very sleek and sexy providing the owner a certain tasteful stimuli, and it had a built in Ipod and instant internet access where ever you go. The simple logo that is easily recognizable helps too.

Mishi Jain said...

1) A major barrier to the phone market is the fact that there are only 4 major companies that actually participate in the mobile market, making it seemingly impossible for a new phone company to enter the market. These 4 companies dominate the market; therefore, to actually get into the market, there must be something really innovative.
2)So few firms produce mobile phones because of the quality demand that the consumers require. In order to have a mobile phone be successful, consumers want it to be fast, durable, good battery life, aesthetic, and have a good software. Many times this is hard to achieve so for the few companies that relatively are good at it, they are the only ones that produce phones.
3)I think Apple initially was able to successfully get in. They brought a product that was extremely innovative and the marketing was phenomenal. The iPhone was one of the first smartphones that actually looked amazing and sleek with a great battery life.
4)The knock offs definitely are deleterious for Apple because people can get a similar product that looks the exact same for a much much cheaper price. To the common man, that option is much better and this reduces demand for the actual, real Apple iPhone.

I think the iPhone was successful because it was new and unseen. No thing like it was seen before and it was truly preeminent. It was innovative and fast, 2 things people want.

Brandon Psencik said...

1)
I agree with Dylan and Shefali where as now of days, if you wanted to enter the phone market you would have to do and extreme amount to catching up to do considering people do not want some brand new product that has none of the features they are used to, plus they would have to learn a completely different way of doing things that they do on the daily with their current phone.
2)
The reason most companies produce phones goes along the same reason why barriers exist where as it is such a defined market in today's world that a phone idea would either do very well with the general public or horribly bad.
3)
Obviously the answer is yes considering that they have already done it with flying colors, if I say so myself.
4)
Looking at one of the knock-offs in the video you can clearly see that it is harder than it seems. This is most likely due to the fact that the iPhone logo and appearance is so distinct and many people praise its look so much that any change would quickly be seen by the general public.

Victoria Hackney said...

1) Some barriers that exist in the mobile phone market is adjusting to the new phone. Although teenagers and some tech heads love to have the latest and greatest piece of technology, many people are not so open to change and consequently wait until their phone is unusable before upgrading and possibly changing phones.

2)I think that we only see a few number of firms producing mobile phones because of having a market already dominated by company's. Although before the introduction of the iPhone the market was already dominates, Apple made it through by producing something unlike anything else. For there to be more firms in the market, more company's need to have new innovating ideas to set them apart, and I don't just mean a faster processor or larger memory.

3) As we can see, Apple has dominated the mobile market. As stated before Apple worked because it was a risk and was something unlike anything else.

4)Knock offs are there to be a cheaper version of what everyone wants. The iPhone is highly demanded, but highly expensive. People that want the latest thing cannot always afford it, so people find cheaper ways to make something similar and sell them as knock offs. The down size to a knock off is that the quality is usually not as great as demonstrated by the video at the end of the article. Also, even though the phone at a quick glance looks like an iPhone, simple differences make it clear that the iPhone knock off is fake, and no one wants to be caught buying a cheaper version of the real thing.

I think Apple was successful with the iPhone because of how different the idea was. A phone with relatively no buttons. The phone also went reverse in the size trend, instead of going smaller, they went bigger. The iPhone changed the phone market and has influenced many other company's to change what kind of phone's they produced.

Neethu George said...

1) One of the barriers usually to buying a new phone is adaptability. Newer phones have new features that some people have never heard of and will get confused on how to use them.

2) A new phone firm being able to grow is very hard. The original companies are already doing so well making new products with cool new features, so there is no need for a new phone company.

3) Yes, Apple has become popular worldwide and has successfully penetrated the mobile market.

4)The threat that the knock off phones pose is just that it is cheaper than the real iPhone. Usually if there is an option to buy a cheaper one, people will buy the knock off hoping to save money, however, most people buy the real iPhone because of its qualities that no knockoff can beat.

Apple was a success with the iPhone because of its original ideas and features. People like how fast and innovative it is.

Grace Bonojo said...

1) A barrier to entering the mobile phone market now-a-days is creating more advanced features than what already exists now. People switch from the iPhone 5, they sold their first born child for, to the Samsung Galaxy 4 Active, just because it allows them to stick their phone in water in comparison to the iPhone 5 where you need a case to do so. A new company would have to beat what is already out there and include more at the same time, if that's even possible. A new company would also have to build a fan base from the diehard iPhone or Samsung Galaxy users.

2)Very few firms produce mobile phones because the competition now is very far along in advanced technology. It's also is a risky business depending largely on the approval of the general population, who may or may not be interested in new mobile phones because of their loyalty to an existing phone company.

3) Yes I do believe Apple can penetrate the mobile phone market and successfully at that, because of their existing success in other forms of technology.

4) After the consumer has opened the knock-off iPhone and realized it doesn't function as it should, then they'll be infuriated and try to get their money back and if that doesn't happen they'll tell all their friends not to purchase the phone from whenever or whoever they got it from, till it becomes a consumer alert on the news or something like that. After that point the knock-offs are least likely to gain any leverage against the real iPhone market in China. But until then the knock-offs will gain more popularity then the real thing causing others to want to buy it because it's cheaper, and all the while the fake will discredit the iPhone in China.

I think the iPhone was so successful because it was the first of its kind to combine iPod features, phone features, fun apps and be touch screen all at once. With this combination and their already established popularity in the technology industry the iPhone was bound to succeed.

Jerry George said...

1) Whenever a new product enters the shelves within a market, it is assumed for meeting the other capabilities its competitors have offered already. It was assumed that the iPhone will be a great phone that will not drop too many calls, be reliable, and have multimedia centers to store music and games.

2) Few firms produce phones as a result of not having enough connections or previous experience with related work, such as MP3 players or other electronics, to create a product that is safe and reasonably small enough to be held by a person and serve as an easy gateway for calls.

3) Apple certainly would penetrate the market even if they changed their release date as they became the standard to compare other phones with. Since Apple engineered such a reliable product that people trusted through their experience with Apple computers, it was only natural that the iPhone would take up a portion of the market's availability in wake of such success.

4) Cheaper iPhones merely distract the sheer domination that Apple has maintained in the market. As much as they would like to get people in China to only buy their iPhones, it is assumed that the demand would still be high in China with the knockoffs available since the public still wants a reliable iPhone, let alone a phone at all.

Apple is a success with the iPhone because the company played their cards right. They saw the simplicity of having one device include many functions so they took the chance to create such a product, let alone knock the other relative competitor out the water (Blackberry). Then, they used their experience with computers and iPod devices to promote their new product to their existing fans and potential buyers. Finally, they wrapped up the hype of such a phone with a public press conference that appealed to the audience it would serve. Thus, here we see Apple going strong within the phone market also.

Unknown said...

1) One of the biggest barriers is that there are so many giants that basically control the cell phone market. These giants have the power of brand name backing them up, and nobody wants to buy a trashy, cheap, generic phone.

2) Few firms produce mobile phones because once again, there are those big bad corporations who are already making all the phones. Also, it's hard to think of new ideas that the public will actually enjoy and find useful.

3) Apple will not be able to because it's always been the same stuff over and over again.

4) Well, the Chinese are generally all about cheap. And thus, the cheaper knock-offs will definitely make it harder for Apple devices to actually sell.

Michael Brennan 3rd Period said...

1. The barriers with iphone is that it now everyone has an iphone or at least knows how to use one so that usability with technology appeals to the public.
2. A new phone company being able to start can be very easy if you have an original idea like apple did but if not it will be hard to compete with the brands that are seen by society as being name brand.
3. Yes, apple is the most popular phone worldwide and has been able to indirectly rule the world.
4. Even though there is the threat of off brand phones they are not to be feared because for one you will be looked down on by peers for have off brand and apple has put many restrictions on its software that will make knock offs close to impossible to use.

Apple was successful with the iphone because it was able to trick all the white girls that they need them to be able to take pictures of their food and starbucks cups.

Ervin R. Period 3 said...

(1) One of the main barriers to getting a new phone is trying to get use to or adapting to new and advanced features. For example, when someone upgrades from a flip phone to a brand new iPhone, they are definitely be confused on how to use the phone. It will take them awhile to adjust to the device.

(2) Few firms produce less mobile phones because there are competitive companies such as Apple. With the amount of advanced technology products they have, it makes it difficult for other companies to top it.

(3) Yes, Apple is able to penetrate the mobile world because it is a well known company with reliable and high tech products.

(4) The only threat is that it is cheaper than the real iPhone. However, I believe people these days would buy the real version because consumers of the knock off version would lack all the advanced features a real iPhone does.

I believe the iPhone was successful because it is the full handy package. The phone consists of a camera to take memorable picture, music, the phone is a touch screen, as well as a GPS. The phone also contains applications that could be useful in our everyday life.

Kenneth Pranoto said...

1) I beleive that the barriers for a buisness to have a mobile entry is that they already have brand name phones such as Samsung, Nokia, lg, and blackberry that already have a famous history of making phones and only phone and that's really important.

2) few firms produce mobile phones because it's really hard in they have many competitors that they are trying to sell to regular consumers. Somehow few firms, will join in a buisness that does not have a lot of completion .

3) I beleive apple could be great in the mobile market, if they use the same game plan as before. Since they already have, a great history of their phone.

4) cheaper knock-offs play a hug threat. Apple will lose some customers if the knock-off's can at least just be half-as-good as the real iPhone. I bet this worries iPhone producers.

Aplle is very succesfull with the iPhone because it's something new that is easy to use and has a good speed and protection in the hard drive. Also, Apple has very good inventors, people who works there, and leaders.

Logan Gloster said...

1) One of the barriers that exist in entering the cell phone market is the fact that there are several companies already dominating it. Apple has hit big in America but there are other countries where Nokia or Samsung are more popular due to location or costs. Another barrier is the consistency with which a person will have in buying a cell phone. There seems to be a fairly large amount of people who are will to buy a new iphone even though they have a version that might be a year old or two years old.

2)So few firms enter the cell phone market because of the already existing companies and because of the trade barriers I just discussed. Microsoft came out with a Windows phone not too long ago to compete as a smart phone and it is still no where near as popular as Apple products. People like the look of an Apple phone even if it'll break down in about a year. They like buying it for its brand.

3) Apple has had great success in the American market. In foreign markets I am unsure as to how good it is doing, but I think it's safe to assume that they have business across seas as well and especially if competitors are copying the iPhone's design.

4) The knock-offs that compete for China's market may pose a threat to Apple in that country because they could possibly be sold cheaper than the iPhone and gain more advertising and revenue because they are a domestic product unlike the iPhone, which would have to be shipped.

Joe James said...

1. The hardest barrier for mobile phones would have to be making a good impression on consumers which is very hard in this day and age. Obviously Apple managed to generate international attention after the original iPhone keynote but mainly because they gave consumers what they wanted: something different.

2. The absolute control that mobile phone companies have over the market is too much for a start-up company to even try to compete. Honestly, unless a company can take the market by storm like Apple did in 2008, there is a very small chance that they will make a profit. The window for new phone companies to compete has definitely passed.

3. Yes, the innovation that the original iPhone brought has let Apple become the juggernaut it is today.

4. Obviously there will be a market for knock-offs, but with the legit sales that Apple generates in China, it would be something that they shouldn't worry about.

Unknown said...

1) The greatest barrier that exists for companies is the differential factor that sets them apart from other phone producers. It is seemingly impossible to find a phone that has something that sets it apart from all other phones significantly.

2) The power that so few phone producing companies have is so immeasurable that smaller and new companies just can't compete. This power dominance is due to ties that companies have to each other to increase each other's profits and secure their power.

3) No. I believe that Apple will just wither away once the world enters a post-apocalyptic future and Nokia phones, the only phones that could survive meteors and radiation, gain a monopoly in the phone producing industry.

4) These knock offs pose little to no threats at all. They're not traded in such a large scale that would pull a significant amount of Apple customers to these knock off phones.

Ann Lobo said...

1) One major barrier that exists not only in phones but other technology is the fact that it takes a LOT of effort to be a success and to be different. It is rather hard to sell a product especially when it is not significant and unique. I believe one reason why apple got so prevelant in our generation is the fact that Iphones were the one of the first phones to have touch screen. Because it is hard to have a unique model and be different from existing models, making a new product is that would be famous worlwide is challenging.
2)I think the majority of firms do not sell phones because they are scared to come out with a product that could not bring them profit. Like I said before, it is hard to make a product successful, and I think these firms know that. I believe they are just scared and do not want to risk their money on something that could have an unpredictable outcome.
3)It has already happened isn't it? Before apple, other phones did not have a music player, phone and internet altogether. Because apple has created this, it basically did end up penetrating the mobile market.
4) I think people would want the real deal instead of the knock off. However these knock offs do pose a threat to apple because people will buy the it. When many individuals buy the fake phones, apples market will eventually decline.

Ann Mathew; Period 4 said...

1) I think the biggest barrier that exists is the number of phone companies that are already there. It will be pretty difficult to be a newcomer and to go against such giants in the industry. Also, there's the problem with people being afraid to try new things as they're introduced.
2)Once again, I think the fear of not doing well against such established competitors is what keeps firms from producing cell phones. Moreover, they'd have to be constantly striving to put the latest technology out for people, and it seems like a very difficult market to compete in.
3)Since the article is old, and I've seen the answer to this question, yes Apple can. The real question I think is how long Apple would last on the market.
4) With smart consumers, I don't ever think knock offs are really a threat. If people want the quality and product of Apple then they would get an iPhone not something that merely looks the same. I don't think Apple has to worry about losing any major profits because of knock offs.

Jaison Mathew 4th said...

1. I think the biggest barrier for not just new phone companies, but almost everything related to technology, is that there are already so many established companies. A lot of them even have their own dedicated fan-bases, such as Apple and Samsung.

2.I believe this is partly because of how hard it is to be recognized in the industry and be seen as something new. Nowadays, if no one knows who you are in the technology world, you are nobody.

3.I think they did at first, but not so much anymore. When the first iPhone came out, it was considered revolutionary in terms of the cell phone and in terms of the phone operating system it used. In the past few years though, they haven't done anything special with their phones or operating system and have even started copying stuff off of other phones and operating systems like Android.

4.I think they pose a threat not only to Apple itself, but also to the consumer who buys the knockoff iPhone. The consumers are buying cheap replicas, which might look like the real thing, but are made of cheaper materials and not of the standard Apple has for their products. This also hurts Apple though, because even though their products look good, they break very easily.

Jr Zolayvar said...

1) One of the biggest barriers any new product faces is that people are afraid of change. They've been sticking with a product for years, and know exactly what they are buying. product they have grown comfortable with. Phones are not cheap and people are afraid to take a chance on new products.
2) Few companies produce mobile phones because there are a handful of companies that have already established themselves as quality companies, and it would be a daunting task to overtake them.

3) Since this article has been written not only has Apple penetrated the mobile phone market, but it's now the leading mobile market distributor.

4) We all Know know

Chad Nguyen! said...

1) The greatest barrier will be overcoming the competition and/or avoid being overshadowed by the other big name companies, but similar to Facebook, a few elitists will probably really get the ball rolling for the rest of the general public through hierarchical diffusion.

2) Few companies produce mobile phones because of the barriers above and oligopoly. Getting one's name out there is near impossible without being truly unique and innovative, which Apple proved to be.

3) Haha, YES! As stated above, Apple successfully stands out from everyone else with it's incorporation of so many new and risky concepts. The sleek design as well as numerous tasks help it stand out. Not only that, Apple has in established community that lives by Apple products and dies by them.

4) Well, if China can make products just as good for cheaper, wouldn't Apple be screwed? Probably, but the fact of the matter that china cannot make the products just as good. Even if they can make the product just as well, they lack the technical support, customer service, and various other perks to owning a real Apple device.

Unknown said...

1. For Apple there are many things from keeping it being greater. The tragic lost of Steve jobs came at a bad time for the company for now, Samsung is starting to be a big competitor. Samsung produces better technology and to nee, Apple is not moving on from the dearth of their ceo and not trying to invent something that won't end up in a lawsuit with Samsung.
2. Everyone now a days are all techno freaks. You look around and it's very hard for someone not to have a smart phone. Most phones are Apple and Samsung. Anyone else would be crazy to try to compete. Microsoft is trying to get in that fight but should stay out.
3. Apple has wonderful products. First setting what they had, I wanted everything Apple and I still do almost. People see that their products are reliable, fascinating, and high tech which puts them in the driver seat. That's why they stand out and are so popular.
4. Some shouldn't let their product be tarnished in anyway. That kind if business keeps a company from making money and keeps the bad people employed.

Unknown said...

1. The main barrier is innovation. Why should someone throw away their current phone and buy a new phone? Mobile phones will have to be innovative, but should avoid being over-complicated and loaded with features no one will use (Galaxy S4)

2. This ties into #1. New companies who want to make mobile phone will not be able to make a new product worth buying.

3. Yes. Their biggest selling point is the new OS.

4. Knock-offs will definitely compete with Apple's products in China. Especially since knock-offs are so common in China, I cannot imagine many people preferring Apple's product to cheaper knock-offs.

Apple was successful because their product was very simple and user-friendly - much more so than Android phones. They also had a consistent track record of quality products that boosted their reputation.