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Eco 561 Week 4 Complete

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ECO 561 WEEK 4 COMPLETE

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ECO 561 Week 4 COMPLETE
Apple iPhone Business Proposal
Apple launched its first phone known as the iPhone in 2008; the phone is designed to target people who wanted and needed to communicate and store information. The phone is design to provide a wireless Internet connection, music, and talk into one. The features of this phone include a 3.5 touch screen without the aid of a keyboard, using more than one finger to control the phone, and shifting the screen to view in different modes. The market for the phone was small in 2008; but today the phone has taken over. In this paper I will present a business proposal for the iPhone addressing the market structure and the elasticity of demand for the phone.
Market Structure
The Apple smartphone is part of an Oligopoly market; an independent market and has its own behaviors strategies. According to McConnell, Brue, and Flynn (2009), “Oligopoly, in contrast, blends a large amount of monopoly power, a small amount of competition through entry, and considerable rivalry among industry firms” (p. 222). Because Apple’s smartphone industry and competition was small, it needs to take control of the market by differentiating the iPhone from others phone in its category. Apple needs to develop a plan that will help them to target the upper class professionals first, next taking over the college students, and finally making the phone a global product. Once Apple establishes this plan, it is on its way to acquiring success in the industry. Apple directed its attention to the iPhone by making it capable of accessing the Internet, downloading music, videos, and taking pictures. To do this, Apple created a phone with a unique

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