Premium Essay

Apple and Blackberry

In:

Submitted By trisa123
Words 734
Pages 3
First Mover Advantage and Branding: Apple versus Blackberry

Problem Statement / Purpose of the Case
The problem highlighted in the case exemplifies the demerits of solely depending on a single strategy, like First Mover Advantage (FMA), and not evaluating the status of the firm on a regular basis. The purpose of the case is to showcase the significance of building brand equity, which can even overtake the benefits of FMA, for a firm to succeed in the long run.
Key Issues of the Case
Intense competition, the importance of achieving sustainable competitive advantage, strategies employed to do so, the ease of replication, the need for strong branding, sustainability of FMA, and techniques to sustain FMA are the key issues discussed here.
SWOT Analysis

Problem / Success Factors
The main problems mentioned in the case are – (i) Transient Nature of FMA: Even if a brand attains first mover advantage, other brands may soon tap into the same market and strive for market share. So sustainability of the advantage is a big challenge for the brands. The brand managers’ task is a never-ending one since today’s brand may become tomorrow’s product and vice versa. (ii) Fig 1.1: The Product Life Cycle of a Technology –Based Product
Expected versus Augmented Products: Though a brand can set benchmark in the industry by augmenting the product, soon as all other brands offer the same products, the product becomes an ‘expected one’. Now some other firm may set the new industry standards by augmenting the product further. (iii) Limited Product Life Cycle: The nature of the industry itself is such that constant innovation is required. Fig 1.1 demonstrates the PLC of technology-based products.
The success factors of the case are – (i) First Mover Advantage: By identifying the latent need and offering a product that fulfills the need adequately, brands can get

Similar Documents

Premium Essay

Blackberry Swot Analysis

...phone in the market. Blackberry is known for their highly secure phone environment. The company have provide the phone with secure encrypted network that provide the communication between phones without being stealing the information. Nowadays, people started to use their phone to replace desktop and tablet, and also make payment via their phone. This make the hacker to easily stealing the information from the user. Blackberry has this function as it main competitive advantage against other phone operate system in the market. This function has become an attractive feature for corporates and governments. This is the reason why every US’s president use Blackberry. 2. Strong Focus on narrow customer segment: Most phone company in the market are aiming at customer from every segment. For example, Samsung has many phone series like S series, A series, E series, etc. Each phone series is aiming at each segment. However, Blackberry tries to narrow its customer segment to governments and corporates. This make their company more focused on the customer so it can satisfying their customer need. This helps Blackberry gain more advantage than other competitive. Weaknesses: 1. Blackberry brand is not as well-known as before: Before Apple joined in the smartphone market, or Samsung’s galaxy became well-known, Blackberry is consider as the top brand for smartphone. However, since Apple launched IPhone, and Samsung started to launch it first Android phone, Blackberry have lose it position...

Words: 806 - Pages: 4

Premium Essay

Rim Research

...mobile industry with the introduction of the BlackBerry solution in 1999. BlackBerry products and services are currently used by over 77 million customers around the world. Founded in 1984 and based in Waterloo, Ontario, RIM operates offices in North America, Europe, Asia Pacific and Latin America. RIM’s common shares are listed on the NASDAQ Global Select Market and the Toronto Stock Exchange ((RIM Annual report, 2012). In order to analysis RIM`s corporation strategy, we will analysis RIM from external, internal, business level strategy and Corporate-level Strategy four part, and find key issue of RIM facing now , what is the way out. (RIM, 2012) http://www.blackberry.com/select/get_the_facts/pdfs/rim/rim_history.pdf Research In Motion (RIM), a Canadian company, introduced their new phone BlackBerry 850 in 1999 which creating the wireless email market, and also introduced a Software package called the BlackBerry Enterprise Server which help people access to work email even they are not in the office, people start to use BlackBerry as a corporate mobile phone.in 2007, the RIM became the Canada`s most valuable company, and in 2009 the global smartphone market share held by RIM is almost 20.1% (statista, 2013). http://www.statista.com/statistics/263439/global-market-share-held-by-rim-smartphones/ Key issue: The company is deteriorating http://www.theguardian.com/technology/2013/jan/30/new-blackberry-phones-revealed http://ca.blackberry...

Words: 697 - Pages: 3

Free Essay

Fall of Rim

...return to being the dominant leader in their market. There have been two CEO changes as firstly Thorsten Heins replaced then joint CEOs Mike Lazardis and Jim Balsillie in January 2012, only to be replaced himself less than two years later by John Chen in November 2013 (Blackberry Press November 2013). Senior positions such as Chief Operating Officer and Chief Marketing Officer as also seen changes during this time. This clearly shows the sign of an underperforming or even a declining business that needs such drastic changes to try and grow or even to stop the decline. RIM also decided to change its trading name from Research in Motion to Blackberry in January 2013 by then CEO Thorsten Heins (Blackberry Press January 2013). This was a clear ploy in trying to maximize the launch of their new Blackberry 10 product. The amount of employees once employed by Blackberry as also diminished due to the high amount of loss the company was earning. The biggest action of staff reduction came in September 2013 when they announced approximately 4,500 employees would be released (Blackberry Press September 2013). Currently in today’s economy, Blackberry is no longer the force it once was. According to Statista, Blackberry revenues plummeted from a high of US$19.9 billion in 2011 to US$6.8 in 2014 (2015). That’s a reduction of 66% in 3 years...

Words: 1028 - Pages: 5

Premium Essay

New Product

...Apple Inc. was founded on April 1, 1978 by Steve Jobs, Steve Wozniak and Ronald Wayne and is a Multinational Corporation that develops, design and sells computer software, personal computers and other hand held electronics. Apple’s headquarter is based in the United states in the state of California while there are 394 retail Apple Stores worldwide along with their online Apple Store and iTunes Store. As of 2012, Apple has attained annual revenue of $156 billion dollars and has a total of 72,800 employees. In terms of revenue, Apple is the world’s second largest information technology company just behind Samsung while they are the world’s third largest cellular phone maker behind both Samsung mobile and Nokia. In 2008, fortune magazine named Apple the most admirable company in the United States and throughout the world from2008 through 2012. Although Apple is quite a vibrant and admirable company, they have received numerous criticisms about their labor and business practices as most or all of its products are manufactured outside of the United States. Apple have a wide range product line which they offer to the public but their best known products lines are the Mac line of computers, the iPad tablet computer, the iPhone smart phone and the iPod music player. Apple operating system which is the software that is installed in its computers and electronic devices are called OS X and iOS operating system. Apple also has its trademark iTunes media browser which is only found on Apple’s...

Words: 2152 - Pages: 9

Premium Essay

Research in Motion

...NTP filed a law suit and the case had lasted for six years. The case had a big impact to US government so that the US Supreme Court had to involve. A threat of shutdown BlackBerry provoked big concerns from not only US businesses but also Department of Defense. To save the big market, RIM finally reluctantly agreed to pay a settlement of $612.5 million to NTP. The settlement brought a jump in RIM share nearly 15 percent which was a surprise. Protecting intellectual property is one of important security concerns of a company or firm. There are several ways to implement that policy by blocking video camera of employee’s phones and request them to register their phones. To protect its intellectual property, RIM records all of its employee’s conversations by using its domain. Anyhow, all communications within RIM network are logged and kept tracked. In case of any breach of information, the company will wipe out immediately all the data the device carrying. Employees are well known of the surveillance and fully cooperative with the policy. Customers were able to remotely control the devices to lock, change password, popping up a message of how to return devices, and even wiping out their data. 2. What were some of the industry factors that influenced RIM? For almost many years, the BlackBerry was leading...

Words: 948 - Pages: 4

Premium Essay

Blackberry Rim

...critical aspects you have discovered from the application of your chosen models to the industry and to Blackberry. Strengths 1. Highly secure phones; The primary RIM’s competitive advantage is its very secure mobile phones. The company released its phones with secure encrypted network that allowed sending emails between phones without possibility of stealing the information. This became the USP (unique selling proposition) of Blackberries and was a very attractive feature for corporates and governments that other phones didn’t have. As a result, BlackBerry became no.1 choice for enterprises and governments 2. Strong focus on narrow customer segment; Unlike other mobile phones and smartphones companies, BlackBerry tries to appeal for a narrow customer segment – governments and corporates. The result is a more focused approach to satisfying the needs of this narrow segment, something that other businesses rarely do. Weaknesses 1. Inability to market the brand; BlackBerry’s brand was known for the market long before Apple’s iPhone launch or Samsung’s Galaxy success. When the iPhone was launched, RIM had a better quality BlackBerry phone in the market, enjoyed larger sales and greater brand reputation but was unable to build on that due to poor marketing efforts. It spent and continues to spend significantly lower amounts ($41.3 million) on marketing, about 10 times lower than Apple ($400 million) and 8 times lower than Samsung ($334 million) in 2012, according to CNET. Even with...

Words: 1163 - Pages: 5

Premium Essay

Blackberry Case Study

...Camekia Lee Dr. Chris Gourdine Management July 31, 2014 Blackberry Case Study BlackBerry was formally known as Research in Motion. Research in Motion was founded by Mike Lazaridis in 1984 in Waterloo, Ontario, Canada. The company started in a small shop above a strip mall. Lazaridis started making products that could send wireless messages to electronic signs. Major companies liked the idea. After eight long years Lazaridis decided to hire a guy by the name of Jim Balsillie. Balsillie is a Harvard Graduate with an MBA. In 1999, Research in Motion introduced the BlackBerry 850 pager. The new development was a two way paging system that could send wireless messages and emails through the network. The pager was the size of a bar of soap. The pager was considerably popular in the corporate world because it allowed businessmen/businesswomen to be able to take important messages while on the go. Between the years of 1999 through 2003 sales of the pagers hit an all-time high. During the year 2002 BlackBerry added voice calling to the BlackBerry 5810 model and the very next year releases its BlackBerry with a color screen. During the years 2004 through 2007 BlackBerry was at an all-time high. By the end of 2004 Research in Motion had more than 2 million subscribers. In 2005 BlackBerry was named 100 most influential people by Time magazine. “In 2007 RIM becomes the most valuable company on the TSX (Toronto Stock Exchange) with a market capitalization surpassing $67...

Words: 1349 - Pages: 6

Premium Essay

Adapting to the External Environment

...Adapting to the External Environment: Recommendation to BlackBerry Ltd. 1. Introduction Blackberry had been popular around the world, especially in North America in 2000’s, and it represented a kind of fashion among young generation. It was one of the daily routines to see people using blackberry phones anytime and anywhere; for example, young people texted to each other by using unique keyboards, and business people used it for the internet, texts, address books, schedule management, and so on. Blackberry’s phones were stylish and revolutionary with high technologies and lots of tools in that period. However, there are few opportunities to see those who are using it recently. People shifted to iPhones or smartphones of other companies, such as, Samsung, LG, and Nokia. Then, why is not blackberry popular anymore? Are there any exact reasons or factors for that it failed in the market? These questions are important and necessary for the company to make the company stable and set it back to the market again. The reason why the sales of Blackberry declined greatly must not be only because of the change of the trends. It is essential to analyze the factors of sales decrease to survive in the competitive market. One of the important factors is adaption to the external environment which is necessary for all of the industries. Apple is one of the best examples that could adapt to the market pretty well. Steve Jobs placed emphasis on small devices, such as iPods instead...

Words: 3988 - Pages: 16

Premium Essay

Smartphone

...development and business in general. Google Nexus Offers Little Competition to Apple iPhone Why Google’s New Smartphone Won’t Knock Apple Off Its iPhone Throne COLUMN By MICHAEL S. MALONE, ABC News Jan. 1, 2010 Whether the marketplace is ready or not, the Big Guns in consumer electronics are about to make their move at the dawn of the New Year. Next Tuesday, Google is expected to announce its long-rumored Nexus One smartphone. It is undoubtedly designed to run the Google Android operating system for cellphones, which the search giant introduced more than a year ago. Android was envisioned as a major breakthrough in cellphones because it offered an "open" operating system i.e., one that other companies could use and design applications for. At the time, this strategy was compared to that of Microsoft Windows, which broke the market hegemony of Apple’s decidedly non-open OS in the mid-1980s and within a decade, turned Apple into a niche company. This time around, the new Android phones were supposed to break the hegemony of the Apple iPhone. So far, it hasn’t quite worked out that way with Android. A number of cell phone companies notably Motorola, HTC, and Samsung have adopted Android and seen impressive sales. However, this time around Apple, though still exhibiting much of its old "closed" and proprietary ways, has learned some important lessons over the last 20 years. For one thing, Apple understands, better perhaps than any company on the planet, the importance of...

Words: 7979 - Pages: 32

Free Essay

Jim Balsille

...BlackBerry Jim Balsille The inventor/ innovator of blackberry is Jim Balsille. He was born in Seaforth, Ontario. After high school Jim went to University of Toronto to pursue Business of commerce degree. After he did his masters at Harvard University and he did his PhD at Wilfrid Laurier. In 1992 Jim made a company called Research in Motion (RIM), this wireless technology that revolved communications with the development of blackberry. Balsille serves as Rim’s Chairman and Co- chief executive officer. Rim shared offices with a guy named Mike Lazaridis and they both ran Rim and Blackberry. They were successful businessmen in Canada and had a successful business which ran for a long time. Rim released Rim 900, the first device that is capable of using a keyboard. Rim helped blackberry to add voice calling capabilities and helped blackberry to release a colour screen. In the early 2000’s Blackberry was the most common cell phone, this cellphone was ahead of other cell phones in the market. This cell phone created many buzzes throughout the business world because most of gadgets on the phone was helpful. Some of the gadgets that were built into his phone are text messaging, push email, web browsing, internet faxing, and multi touch interface. Blackberry gave their Email service to many companies after becoming successful in the cell phone market. Many stockbrokers and celebrities were purchasing blackberries. Blackberry...

Words: 974 - Pages: 4

Premium Essay

Research in Motion (Rim) - Blackberry in Decline

...MK100- Principles of Marketing February 3, 2013 Research in Motion (RIM) - Blackberry in Decline Week 4 Assignment #1 Blackberry Cell phones have been an established brand and product offering on a global scale by Research in Motion (RIM). Research in Motion (RIM), a global leader in wireless innovation, revolutionized the mobile industry with the introduction of the BlackBerry® solution in 1999. BlackBerry products and services are used by millions of customers around the world to stay connected to the people and content that matter most throughout their day. Research In Motion Limited, (2013) RIM directly competes with several Smartphone companies like Apple, Nokia, and Google’s Android for market share. RIM’s product offerings include the same product that Apple, Nokia, and Google offer the consumer. The BlackBerry product line includes the BlackBerry® PlayBook™ tablet, the award-winning BlackBerry Smartphone’s, and software for businesses and accessories. Research In Motion Limited, (2013) RIM’s blackberry devices were well known for their security and reliability as an email device. The demographics of the current Blackberry target market is composed of mid to upper class buyers aged 30-55 in the professional, executive, and industrial segments. Blackberry devices served the business world with a sturdy, reliable device that offered the business consumer a device that performed many types of business functions. One of these...

Words: 2131 - Pages: 9

Premium Essay

Blackberry Campaign Analysis

...Zandi, Cameron Marketing 605 BlackBerry Marketing Campaign Analysis Research in Motion, now operating under the name BlackBerry Limited, was once the leading smartphone maker. The term BlackBerry was coined by Lexicon Branding marketing company, inspired from its keyboard resembling the drupelets of a blackberry. The motivation behind the company name switch from Research in Motion to BlackBerry Limited was to consolidate the company’s brand into a single cohesive global presence and to strengthen its recognition among its operating system, smartphones/devices, and its stock trading name. The telecommunication and wireless equipment company was founded in Waterloo, Ontario, Canada by Mike Lazaridis, who served as CEO until January 22, 2012. He was replaced by John Chen immediately. Chen wanted to change BlackBerry’s strategy by outsourcing manufacturing of its hardware to Foxconn, which is most notable for manufacturing the iPad, iPhone, Kindle, PlayStation 4, Xbox One, and Wii U. The reason behind this move is to have the company focus more heavily on software technology development. The company wants to make the brand name synonymous with work. Blackberry’s new brand focus is software and service centric, making up 54% of the company’s revenues in 2013. Blackberry Limited has a loyal consumer base, and is most recognized for its sophisticated network security system, most notably its advanced encryption capabilities, which allows for secure exchange of e-mails. This...

Words: 2583 - Pages: 11

Premium Essay

Blackberry

...Due to the competitive market, there are many alternatives for Blackberry. This can get even more competitive when companies use price skimming, which is selecting a price so that they can get the most from certain buyers. The price of a Blackberry Z10 when it just came out was around $600-700. The price of an iPhone 5S when it just came out was around $750. Due to the cross price elasticity of demand, the rate of response for one item will either go up or down due to the price change of another good. If the iPhone drops $150, apple lovers might ditch their blackberries and not mind the price because of all the negativity surrounding Blackberry. Because they are substitutes, consumers will purchase more of one product when its substitutes price increases and vice versa, but this isn’t the case with Blackberry because of its downward spiral. Blackberry’s search for strategic alternatives did not help them. The company has been in a volatile state for far too long now. Even though Blackberry spent $33 million on marketing; Samsung, Android, Apple, and other phone companies have dominated the market. (Olson 2013). Blackberry’s market share on March 22, 2013 when the Z10 came out was down to 5.9% from more than 50% in previous years. With their famous “giving you tools, not toys” line they haven’t managed much success. As of August 2013, $ 1,509,000 was spent on research and development (NASDAQ 2013). Revenue was approximately $1.6 billion for the second quarter of fiscal 2014, which...

Words: 748 - Pages: 3

Premium Essay

Business

...page=7 The skinny: Enterprises shouldn't automatically dismiss the iPhone for mobile workers just because it's made by Apple. The company has made an effort with the second-generation iPhone to get into the enterprise, with features such as Exchange support, remote wipe and VPN access. Whether enterprises will bite is up to the company and how stringent their policies are regarding mobile devices. For example, the camera can't be disabled; and enterprise applications either need to be custom-built through Apple's SDK, or purchased through third-party applications in the App Store. Companies that want to mobilize their existing Windows applications for use on the iPhone will find this more difficult than on other devices, where Windows Mobile integration with Windows is easier. The lack of a removable battery is a deal-killer with many mobile workers. Heavy usage on the road will require additional accessories, such as snap-on battery packs or charging cables. Despite these issues, the iPhone provides the best mobile user experience – the Safari browser best emulates a PC Web session, and the ability to access thousands of third-party applications can turn this into the ultimate mobile device for work and for personal use. RELATED STORIES • 3G iPhone at a glance • Six common complaints about the iPhone 3G • Smartphone smackdowns: iPhone vs. BlackBerry Storm | The iPhone vs. the G1 • Latest iPhone news TECH SPECS: Operating System: iPhone OS 2.1. Cellular network:...

Words: 5385 - Pages: 22

Premium Essay

Evaluation Essay

...New top-end mobile phones such as the Apple Iphone are allowing a new class of mobile to emerge in the world today. Combined with its ease of use, rich design, and well-organized application system through Apple App Store makes the Iphone an appealing platform for development of other smartphones. The Apple IPhone was released on June 29, 2007 by CEO of Apple Steve Jobs (Honan). The IPhone offers many of the innovative features found on competing devices, but it also differs from other smartphones on the market. In what follows, we will present a qualitative comparison of the Apple IPhone to the Blackberry Storm. Blackberry has been around the game longer than the IPhone has been out, but Apple took a bigger leap in business introducing the IPhone. The IPhone was a big target to put Blackberry down; the IPhone with a 3.5 inch screen, 640 x 960 pixels resolution and capacitive, multi touch screen was no match for Blackberry’s 3.25 inch display, 360 x 480 pixels, and only a capacitive touchscreen. The IPhone one upped the classy Blackberry Storm in every category that is out there. Being a both RIM Blackberry user and a current Iphone user, I must say that there is a big difference switching devices. Blackberry demographics are to business men, while the Iphone is also to business but also traits for kids. The pros of the IPhone are its sleek creative design, fast response, App world, camera in front of the phone, and better memory. Cons of the IPhone are the battery life doesn’t...

Words: 309 - Pages: 2