Marketing led management(Apple's iphone) Essay Example | Topics and Well Written Essays - 2750 words

Marketing led management( apples iphone) - Essay ExampleThe study will be concentrate upon the UK based company Telefonica,popularly known as O2.It has been in venture with Apple to promote iPhone in the UK market.The shuffle O2 caters the services in the telecom sector offering integrated unsettled,fixed and broadband services in the UK,Germany,Ireland,Slovakia and Czech Republic In the stratum 2007, Apple launched its product iPhone with O2 in the UK market. Apple iPhone was offered in different tariffs with assortment of handsets in the UK market (Guardian News and Media Limited, 2011). In order to launch iPhone in the European market, Apple call for to have a contract with the service provider. They had options in the European market. There were UKs O2, Frances orangish and Germanys T-Mobile. There were rumours regarding the revenue share percentage deal amidst Apple and others. After the overplus of negotiations, the UKs O2 was finalised for the deal to market Apples product . Strategic Analysis The deal was finalised between the UKs O2 and Apple for the distribution of the Apples iPhone in the UK market. The deal concentrated upon the revenue sharing percentage that O2 would provide to Apple from the iPhone sales. The significance of the deal to O2 can be justified by the strategic analysis through the SWOT evaluation. SWOT Analysis Strengths O2 is known as the successful network floozie in the UK market. The awareness of the brand is huge among the target customer group. There are more than than three hundred stores of O2 in the UK market (Franchise Development Services Ltd, 2011). Telefonica has been operating for more than 85 years in the UK telecommunication industry and has a consistency growth rate and is acquainted with their target consumers need and wants. By the year 2009 it had about 265 million customers operating in 25 countries. Telefonica provides integrated ICT solutions to all segments of customers that can be present in a graphical format below. Telefonica has diverse operations and generates revenue from different market operations, which condition up a strong financial position of the company (Telefonica, 2010). (Telefonica, 2010). Telefonica has been able to increase its consumer base by 2009 and it is still on the rise. The company achieved a 9 % growth in the number of consumers by the culmination of 2009. The expansion in the consumer base will generate more revenues for the company. With the increasing number of consumers there is more possibility of increase in the sales of iPhone. This will generate more revenues for Apple (Telefonica Europe plc, 2009). Apple is one of the leading brands in the global market and is known for its iPhone. The newly launched product of Apple is the iPhone 4 in the UK market. O2 provides maximum advantage to every class of users at an affordable rate (PR Wall Street, 2010). The mobile network of Telefonica covers 99% of the UK populace. O2s 3G network covers o ver 80% of the UKs populace. The best selling dodge of Telefonica O2 UK is the iPhone that has more than 2 million sales (Telefonica, 2010). Weaknesses The UK consumers had the facility of 3G phones before the launch of the iPhone in the UK market. They were already employ the 3G technology. There were problems related to the offering of the call rates. The call rates of the iPhone deal allowed 200 inclusive proceedings for ?35 whereas the competitors provided 750 inclusive minutes with a free phone. The consumers were apprehensive about the contract related to iPhone. The briny concern was regarding the up-gradation of the phone, the device itself as it has non-removable battery and limited battery life. The consumers wanted to upgrade their iPhone 3G as it face the problem of battery life. This problem was a concern for Telefonica O2 UK against their endeavour to increase the sales and get