Final Term E-Business Strategy Project

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E-Business Strategy Project
Brief History and Description of the Companies
Company A – Apple
Apple is a computing technology company that was established through the partnership of Steve Wozniak and Steve Jobs in 1977. It is based in the USA with its global headquarters located in Cupertino, California State. It is specialized in designing, developing, producing and marketing computer hardware and software that are based on its unique iOS, tvOS, and OS X platforms. These are marketed and sold under the iPhone, iPad, Mac, Apple Watch, iCloud and Apple TV brand names, in specialized systems that include Apple Pay, Apple TV App Store, iTunes Store, iBooks Store, Mac App Store, App Store, and Apple Music. In essence, the company has diversified its portfolio to produce consumer electronics intended for both home and office use. In 2015, the company earned approximately US$53.394 billion to mark it as a global leader in computer technology, second only to Windows Company that earned US$93.6 billion in the same year (Securities and Exchange Commission).
This success is attributed to the company’s employment of personnel who are committed to providing the best product experience for its customers through delivery of high-quality merchandise that are based on extensive innovation. This has been facilitated by having a good organization structure that employs the most qualified personnel who can translate the company’s goals into products and services that enhance its capacity to attract and retain customers.

It is no wonder that the company has become an integral part of the technological landscape. In this respect, Apple has built well-known and success brands around the world, using innovation to position it as the second most successful computing technology company (Securities and Exchange Commission).
Company B – Samsung
Samsung is Korean-based technology company that is currently identified as a global leader in electronics manufacturing, specializing in system integration, memory, semiconductors, media and digital appliances. The company began operation in 1938, having been incepted by Byung-Chull Lee using a 30,000 Won investment in Taegu, Korea. The company’s management concedes that its success is owed to its value innovation program that includes six laboratories where 450 personnel design innovative to meet identified consumer needs. This is guided by the philosophy that success within the consumer market is transitory, and can only be guaranteed through continued presentation of new innovative products to meet that market’s needs. This is evidenced by the company dedicating considerable resources towards research and development, activities, with the current figures standing at $6 billion every year. The company’s strategy is justified by past trends, such as the case of flat screens and semiconductors that were once iconic products when first developed, but are now commonplace products. With an ever increasing brand value that saw its earnings exceeded the $100 billion mark in 2007, it is clear that the company’s strategy of presenting high-quality innovative products is paying off (Samsung).
It is important to note that Samsung is one of the largest global-based electronics manufacturer and sellers, holding position 131 in the Fortune’s list of the top international companies. Established in 1969, the company has a presence in more than 60 countries and directly employs more than 65,000 personnel. The company purposes to be the leading electronics company and gain a competitive advantage by synchronizing its products and services design, development, manufacture, sales, and marketing. The company has gained prominence over its development and use of memory-based semiconductors in its products. Since 1992, the company has been the global electronics leader holding the first position. Its products include screens, televisions sets, entertainment systems, projectors, computer accessories, semiconductors, mobile phones, tablets, and so on (Samsung).
Company C – BlackBerry
BlackBerry is a global based electronics company that was incorporated in mid-1984 as a mobile communications solutions products and services provider. This includes the development and sale of mobile phones along with their associated services and software. The company conducts business through four main principal divisions. The first division is concerned with offering enterprise solutions and services to include software security services and cloud technologies that can be deployed across a range of operating system platforms to include BlackBerry, Windows, and Mac OS. The second division is concerned with deploying BlackBerry devices that use Android and BlackBerry operating systems. The third division is concerned with offering technology solutions to include operating systems for other industries such as the automotive industry, adaptive radio frequency antenna tuning technology, application and platform service modules, and patenting technologies. The final division addresses the consumers messaging needs by presenting a unique platform that is particular to BlackBerry connected mobile division using iOS, Android, and Windows to include radios and computers. Despite the advances that the company has experienced in its development into a global brand, it concedes that it faces stiff competition from other mobile technology companies that include Apple and Samsung (Reuters).
SWOT and CSWOT Analysis
Apple SWOT Analysis
SWOT analysis was conducted for Apple. Eight strengths were identified. The first strength is that Apple is an established electronics company that has been in operation and produced favorable results in that time. Secondly, the company is a leading institution that has kept pace with its competition thereby informing its need to explore the possibility of investing in the online venture. Thirdly, the company has adopted an open and collaborative culture that allows it to develop new ventures with input from its personnel and in consultation. Fourthly, the company has an extensive marketing, research, and development department that conceptualizes new business ideas. Fifthly, the company has a reputation for being concerned about its customers and not just turning in profits, as is seen in their concern about the kind of products and content they present to their customers to include those for persons with disabilities. This increases the trust that the market has in the company and its products. Fourthly, Apple is a category leader that has established a strong and consistent brand image that has made it synonymous with high-end innovative technologies. Fifthly, there is high brand awareness. Sixthly, the company has an unlimited product portfolio that allows it to compete with other mobile technology companies that produce a plethora of product and services categories and variants. Finally, the company has a broad geographic presence across the world, which ensures it will realize long-term growth even when some of its markets reach maturity.
Two weaknesses were identified. Firstly, there is a high brand awareness that is limited by high prices for Apple services and products since it has to compete with other established electronics companies that include Samsung and BlackBerry. Secondly, the possibility of patent violations limits the company’s options for innovative ideas and makes it highly vulnerable to regulatory control and open to infringement suits.
Four opportunities were identified. Firstly, there is increasing demand for mobile technology options that the company can capitalize on. Secondly, the technology industry is growing at a very fast rate. Thirdly, there is a possibility that the market is not fully tapped by the technology industry, thus giving Apple the chance to capitalize on this opportunity. Finally, there are emerging markets (particularly in the developing nations) that represent newer geographies for Apple expansion such that accelerating the process of developing new products and marketing in these markets becomes a good business move.
Three threats were identified. Firstly, there is a high level of competition, and other technology companies are looking to tap into the same market. Secondly, there is little to no customer loyalty since customers will use the technologies and services that meet their quality and cost needs and not the brands that they trust. Thirdly, patent disputes for intellectual property and designs are standard occurrences in the technology industry. Finally, there are high marketing costs since the market is more aware such that there has to be constant communication between the company and its consumers, which translate into marketing costs.
C-SWOT Analysis Results
Although Apple (formed in 1977) is a relatively young company when compared to Samsung (formed in 1938) that has been a global company for much longer (but older than BlackBerry that was formed in 1984 and is also a market leader), they are all in fierce competition for the same market. Being competitors, it is clear that there is no love lost between the three companies with the fiercest competition seen between Samsung and Apple. Their competition came to the limelight in 2010 when Samsung, then a supplier of Apple’s components produced the Galaxy brand of phones that targeted the iPhone market. Apple considered Samsung’s move as a betrayal of their business and opted to sever all supply ties, and went on the offensive (Cunningham, Flew and Swift 14). It made sense that Samsung would adopt Apple’s business model and emulate it, especially as it grew to be the most revered brand in America even surpassing Exxon Mobil. The rivalry has flowed on into legal battles that pit the two companies against each other and spanning the whole world (Rovine 369). In this case, that have been accusations of technology modification and convergence, even with stark product contrasts existing to target the same market. The same rivalry is seen in the aggressive marketing campaigns that they two adopt to include attack ads. In fact, it is rumored that Samsung’s top priority and the context for measuring its success is to surpass Apple as the top smartphone producer in the whole world (Halt et al. 72; Hitt, Ireland and Hoskisson 126). Therefore, Samsung, BlackBerry and Apple target the same product market through their high end innovative products and services, thereby explaining their motivation for modifying their respective business approaches with each other in mind.
Advertisement and Marketing
Apple, Samsung, and BlackBerry are aware that customers always want to be informed of what is going on in the company. As such, they have prioritized data transfer and processing to facilitate information flow. In fact, their information systems are structured to facilitate customer, business and partners relationships using a combination of traditional media and online communication platforms. This amalgamated advertisement and marketing approach offers four strengths. Firstly, the companies have a strong global presence that allows them to be near their customers and give them a personalized touch. Secondly, their brands are prominent and give them credibility. Thirdly, they are innovators who have been at the forefront of developing innovative products and services, which give them a competitive advantage. Finally, the three companies are globally celebrated and have received a number of awards in recognition of their profile and activities. These strengths ensure that the three companies stay as the global electronics leaders.
Additionally, the three companies have projected their customers’ needs and determined that the world is entering a technology convergence era when content, networks, wireless communication and Internet converge. Towards this end, they have developed different forms of convergence technologies that link technologies that normally stand alone into a network system. Overall, the advertisement and marketing messages from the three companies make it clear that they produce innovative products, which ensure that the customers have the best experience and will not receive the same from other competing companies. Prices are competitively set after factoring in operating costs and competing products prices. The three companies have also adopted a global product unveiling schedule that sees the products and services unveiled at the same time across the world. New products promotions include offering prospective customers experience with the product before they purchase it. Therefore, Samsung applies a marketing mix that allows it to remain the market leader.
It is evident that the three companies focus on multi-segment marketing strategy for their products and services. This allows them to pursue both new and established markets, ensuring that customers influence their peers to acquire the marketed products and services as items of choice and continue with newer models even as they grow older. This focus is based on the fact that the technology industry is very competitive, and any complacency on the part the companies could result in loss of both revenues and customer base. Additionally, the three companies are market leaders such that the present market saturation is not enough justification to adopt a concentrated market strategy. The implication is that the three companies focus on established customers as they transition by acquiring new model products and services, even as they capture new markets. This is essentially a multi-segment market. Although the multi-segment approach is expensive since different advertising methods must be adopted for the different segments, the potential revenues and profits justify these expense (Ferrell and Hartline 29; Lamb, Hair and McDaniel 103). As a result, Apple Inc. has spread its marketing resources between the new target market that constitute urban-young customers from the upper and middle class and established segments from older customers.
E-Business Model and Strategy for Apple
The advent of the computer, the internet, and social media can be used to bring about a radical change in Apple’s marketing, with the focus being on viral marketing. In this case, viral marketing refers to marketing techniques that use social networking sites and other internet services to make prospective customers aware of a message regarding a product or service. The viral element comes about due to the self-replicating nature of the message since those who have seen the message pass it on to those connected to them and who may not have seen the message. Initial message upload may have been conducted online, but the ultimate message dissemination could either be done online or by word of mouth (McLoughlin and Aeker 67). In this respect, Apple’s viral marketing plan would depend on the audiences to replicate the message.
Apple’s viral marketing platforms can take on a variety of forms. These forms include online pages, email messages, text messages, branded software, eBooks, video clips, and pictures, which can be accessed from both stationary and mobile devices such as mobile phones, tablets, laptops, and desktops. Ultimately, Apple selects appropriate forms on the basis of their ability to act as vehicles for transmitting the messages to the intended audience. For instance, a message designed to go viral and targeted at Apple’s executives would typically be transmitted using emails as the form of choice (Laudon and Traver 42). As a result, the creativity requirement of viral marketing and advances in technology offer Apple a variety of forms and devices that can be used to transmit messages.
Apple must understand that it is not enough that the right platforms and technologies be used to transmit the message, the message itself must capture the audience’s attention before it can go viral. In this case, the message must be interesting and memorable enough to incite the audience to pass it alone. Additionally, the audience must include individuals who have a large social network following and can transmit the message to other individuals within a very short period. For instance, transmitting an interesting message about a new coffee blend to a coffee house franchise with more than 500,000 followers in its Twitter handle guarantees that the message will be received by the 500,000 individuals who will then transmit it to their followers. For Apple, the key is to ensure that the individuals with the largest social links receive the message that interests them first (Laudon and Traver 53-54). Finally, the environment in which the message is being transmitted must be conducive enough to guarantee that it goes viral. In this case, any changes in the environment – such as context and timing – could result in the message becoming a flop and not being received in the best light by the audience. For that matter, people are sensitive to the environment and will only accept a message that is transmitted in a conducive environment. For instance, a message that informs the public of a new iPhone that is in the development stage and will soon be available in the market will be most effective if the message includes images of the iPhone and testimonials from customers (McLoughlin and Aeker 63).
As a result, Apple should consider viral marketing as a new e-business model and strategy that has been facilitated by advanced technologies. Viral marketing develops the relevant message, in the right environment and uses the right platform to ensure that the message is well received and transmitted between audiences. In fact, it is these attributes that would ensure that Apple’s marketing messages go viral since the audiences are more receptive to good messages that are transmitted to them in the right environment. In this respect, viral marketing takes advantage of readily available tools to develop messages that are easily received and transmitted in social networks. As a result, viral marketing is a revolutionary marketing tool that can be applied by Apple as part of its e-marketing strategy.
In addition to viral marketing, it is proposed that Apple should apply a trading platform modeled around internet auctions. In this case, the company would be able to manage a site where customers can use electronic tools and resources (such as the Internet, mobile phones, and computers) to facilitate buying and selling activities that include funds transfer, purchases, viewing of goods, communication and so on. In this case, the electronic system works alongside a finance software to coordinate the trade management processes, integrating activities and information linked to product authentication, transfer of goods and payment, as well as decision-making (Laudon and Traver 127). The internet-based trading platform is projected to gain prominence owing to its perceived benefits to Apple, its products’ sellers and buyers. Firstly, it is anticipated to reduce the costs associated with trade activities, replacing the more expensive human personnel with the cheaper electronic and automated systems. Additionally, online systems will reduce the costs associated with paper. Secondly, it will improve trade efficiency, presenting a paperless system that makes it possible for the customers to conduct transactions from almost anywhere. Thirdly, it will improve customer satisfaction. Fourthly, it will enhance the image of trading, presenting it as being concerned with implementing cutting edge technology that enhances service provision. Finally, it will allow stakeholders to easily and speedily set up automatic instructions thereby providing more control over trade management (Laudon & Traver 127-128). In this respect, Apple should focus on viral marketing and internet-based trading to improve its market share and gain a competitive advantage.
Performance Evaluation
During the proposed model and strategy implementation, there are certain aspects that will be monitored more closely to ensure that it achieves the desired aims of providing a competitive advantage and increasing market share within the set limits even as the remuneration package is justified. In addition, it will be monitored to ensure that it is implemented within the set budget. Obviously, its lifecycle will determine what is needed for it to be implemented to achieve the desired aim. Firstly, it will require funding and a structured effort by an implementation team. The resources and tools for the project will include a review of the current marketing approaches and identify the opportunities that can be exploited. Skills and techniques are required to ensure that model is accurate in achieving the desired aim. The techniques will include taking leadership positions to explain the concept to other Apple marketing personnel. The skills will include interpretation of financial reviews to ascertain how much funds are available for the strategy and testing possible solutions to ensure that they meet the set conditions of improving company performance within set limits. To facilitate evaluation efforts, Apple customers, personnel and other stakeholders will be subjected to periodic questionnaires and interviews that collect their attitudes and opinions, thereby making it easy appraise data to determine trends. In addition, company performance will be evaluated for the period before and after the strategy was implemented to determine its influence. In essence, the selected tools are anticipated to be mutually exclusive in collecting information that is relevant to informing Apple’s marketing practices, using an evidence-based approach to either justify the discontinuation or continuation of the strategy and remuneration packages.

Works Cited
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Halt, G., Donch, J., Fesnak, R. and Stiles, A. Intellectual Property in Consumer Electronics, Software and Technology Startups. New York, NY: Springer, 2014. Print.
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