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Apple iMac Presented by: Dominick, Patrick, Jalal. Objective. Increase market share Increase iMac sales. History. Apple 1976 Pioneered PC Market Internal & External problems lost Top PC position Apple Mac traditionally, Schools, Design shops studios. iMac introduced Aug 1998
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Objective • Increase market share • Increase iMac sales
History • Apple 1976 • Pioneered PC Market • Internal & External problems lost Top PC position • Apple Mac traditionally, Schools, Design shops studios.
iMac introduced Aug 1998 • Speed & Style Top selling Pc 1998 • Sales Volume 500000 • Apple to the next level
Target Market • Advanced Computer users • Small & medium sized Business • Wireless networking & Intranet EDI market
Alternatives • Mass Personal Customization: Market Development • Apple Specialty Store: Place & Promotional strategy • Lease Bargain Purchase Option: Pricing & Ownership Strategy
Pros: Mass Customization • Good Opportunity, capacity available • Features Added or not • Customers like Choices
Cons: Mass Customization • Bombardments Technical Jargons • Increase Operating Costs • Difficult Inventory Management
Pros: Apple Store First time users test drive Sales person iMac experts On spot customization
Cons: Apple Store • Limited Store locations • Increase in Operating costs • Costs of Training staff
Pros: Lease Bargain Purchase Option • Customers wants choices • After lease term sell it for salvage value • Tape into lower income families
Cons: lease Bargain Purchase Option • Leased computer Obsolete • Warehouse Overhead Costs
Recommendations • All three Alternative Pursue long & Short run • Mass customization chosen feasible means • BPO should have been already be done • Apple store intermediate or long term plan
Marketing Mix • Product & Price • Apple iMac • Features & Options • iMac 6GB Disk Storage $999 • iMac 10 GB Disk Storage upgrade $70 like competitors not $1299
Promotion Computer oriented publications Free technical & installation support Warranty Place Apple web page customization offered User friendly web page Apple specialty store to open over the years Marketing Mix
Future Considerations • Window/Mac OP Compatibility • Medium & Large Business • PC corporate sales 65 million units, worth $140 billion