ITunes Store

MG6503: Midterm Exam Individual Assignment: Apple’s iTunes Music Store Using Porter’s competitive forces model, and competitive strategies, analyze why Apple’s iTunes became the dominant service in downloadable music. Answer the following questions about the Apple Company and iTunes to help frame your report. The industry in this case is the “downloadable music industry”: How did Apple dominate the market when it was not the first mover in the industry? [Who were the first movers? Give a couple of examples]. Refer to all the forces in the industry in writing your answer to this question and answer the questions below as part of your answer: Apple was not the first mover to the digital music industry. Prior to Apple, a number of companies…

joined AT&T and created the one and only iPhone, one of the most “sophisticated” smartphones out there. The iPhone 3G allowed you to play music, which could be purchased from iTunes. This smartphone also included GPS capability, a camera, a 3.5 inch touch screen, and internet applications. People waited hours in line, while others camped out at their local AT&T stores. Apple Inc. sold 270,000 smart phones for around $399-$499 (depending on how much storage you wanted) during the first 30 hours…

Concurrently the iTunes store has the largest downloadable content on the internet . It provides a catalogue of eight million tracks, two thousand films (total downloads daily average are in excess of fifty thousand) and twenty thousand TV episodes (Anonymous, 2010c). Prime Facie analysis reveals that the popularity of iTunes cannot be solely attributed to the product delivery; but a concurrent innovation and integration with the portable products that Apple has created over the last decade. It…

inventive image • High customer loyalty • Innovation and very high quality of products • Good distribution channels (Internet, own retail stores in different countries, distribution partner) iPod-related • Product features (outstanding quality and ease of use, low weight, cutting-edge design, compatibility with Windows format) • Iconic status • Accepted Pricing (Premium) by loyal customers • iTunes on-line music exchange…

players, but all contained many deficiencies, such as complex interfaces, short battery life, a playlist that only allowed ten songs, and a storage capacity of about sixteen songs total. Jobs was able to produce the iPod with a small LCD screen, a rechargeable lithium-polymer battery that would last through one thousand songs, and most importantly a small, 1.8-inch drive that held five gigabytes of storage (around a thousand songs). Another cool feature integrated into the iPod was a track wheel…

and clear vision in the Apple Company. However, to evaluate the leadership style of Steve Jobs, the transactional and transformational leadership theory is applied. The aspects which claim that Jobs shows the sign of transactional is due to the establishment of strategy towards the main goal of the Apple Company. Even though making profit would be great, but Jobs claimed that the purpose and passion to create products is the motivation instead (Maccoby, 2012). For instance, Jobs assigned…

Andrew Carnegie used the vertical integration to make his profit. He was a manufacturer of irons, steel in the planet. Carnegie invested in other establishments, where as instead of obtaining other retailers, he clearly acquired purveyors. In return, Carnegie was exchanged with a reduced amount of steel. He had the advantage to make earnings. Most of all Carnegie was able to purchase more of what he received, that means making an investment on the provider. At last, Carnegie procure the train…

computer. Apple has started design, manufacture and market a range of computer, mobile communication and media devices, and portable digital music players, and sells a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. The Company’s products and services include Macintosh (“Mac”) computers, iPhone, iPad, iPod, Apple TV, Xserve, a portfolio of consumer and professional software applications, the Mac OS X and iOS operating…

had enabled the original model to be a success” (Fogg). Another author suggests that the reason Apple products are in such high demand is because “Apple is more than a series of products. It’s a brand experience.” (Joseph). Most people know and love the Apple brand. Its image is universal and easily recognizable, with a sleek design that separates its brand from competitors. “Apple enjoys the loyal following that it does because of the totality and consistency that comes from experiencing the…

Apple Music Apple is a revolutionary company in digital music and has changed the structure of recorded music market with iPod and iTunes in the 2000s. Apple’s iPod and iTunes have led digital music market as the leading provider of MP3 players. However, Apple is now a newcomer in streaming music market with Apple Music, launched in 2015. Since 2005, global digital music revenues have been growing so fast (Exhibit 1-a Global Recorded Music Industry Revenues 2005-2015). Especially, streaming…