When did the iPad first originate? Decided in the end to build a phone with the same functions Hence...
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About the iPadWhen did the iPad first originate?
Decided in the end to build a phone with the same functions
Hence had its origins way back in 2007
Idea first conceived by Steve Jobs even before that of the iPhone ; He wanted ‘a glass, multi-touch display’
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How is the price of iPad determined?
About the iPad
By calculating the estimated total revenue minus production cost,
aiming to maximize profits
Observing the price of close substitutes
Quantity demanded by consumers; change in quantity demanded would result in a change in the price of a good so as to maximize profits, ceteris paribus
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Producers have to look out for
SUBSTITUTES
vs
Samsung Galaxy Tab iPad
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The further the substitute,
the smaller the change in demand
Price wars
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The iPad’s closest rival is Samsung’s Galaxy Tab, which boasts Wi-Fi, 3G connectivity and Bluetooth
It also has a large battery (4,000 mAh) which provides at least 7 hours of viewing time
Both have almost the same form and function
Marketing and branding strategies are what set them apart
Related/Associated Products
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Related/Associated Products
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In order to increase demand and increase profits, iPad producers
must lower their prices.More variety
(such as Blackberry Playbook, HP Touchpad, Dell Streak 7 and Samsung Galaxy Tab)
leads to more choices.
Consumers can now choose their product according to their taste and preference.
Consumers will turn to cheaper substitutes that satisfy same wants.
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COMPLEMENTS
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The demand for iPads is very responsive to the change in the price of the apps and accessories.
Consumers need to purchase apps
through the Apps Store to be installed
to their iPads.
Accessories (such as the iPad smart cover and the Apple wireless keyboard)
are also complements to the iPad.
A fall in the price of the apps will lead to more quantity demanded, hence causing an increase in the
demand for iPads since they need to be used jointly.
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Apple also includes free shipping and free iPad engraving for consumers who order iPad from the Apple Online Store. + A limited hardware
warranty is also available with every purchase of the iPad.
More consumers will be attracted,
increasing the demand of iPads in
the market.
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Producers also have to keep a lookout for income of consumers.
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On the other hand, a decrease in income
Income of consumers
Increase in the demand for iPads.
Increase in income
decrease in the demand for iPads (consumers are less willing and
able to purchase the good)
Instead, consumers will consider switching to normal goods such as
Nokia phones.
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We hope you enjoyed our presentation!
Done by:GwendolynMuslihahSarah Tan
AnisaAbigail SimAbigail Tan
11A101
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WEB LINKShttp://store.apple.com/us/browse/home/shop_ipad/family/ipad
http://www.apple.com/ipad/accessories/
Search engines (for images and information on iPad)
http://www.google.com
http://www.yahoo.com