MGT603 Strategic Management GDB Solution Spring 2013

CPM matrix:
Many mobile companies are in a rivalry to occupy the major share of market. According to the latest research, Samsung Galaxy S4 seems to be giving tough competition to Apple iPhone 5, as few years back Apple iPhone had gripped the whole market with its unique features and advanced iPhone series.
Following are the estimated rating of smart phones according to their market share:
· IPhone = 2.3
· Samsung Galaxy = 3.5
Point of Discussion: Based on the rating mentioned above, you are required to
· Choose the weak and strong rival from “iPhone and “Samsung Galaxy”.
· Mention ONLY the threats & weaknesses for “weak” smart phone and opportunities and strengths of “strong” rival.

Smart phone (Choose the weak and strong rival from the above smartphones)
1)Threats
2) Weaknesses

3) Opportunities
4) Strengths

Solution:

SWOT ANALYSIS: APPLE vs. ANDROID Comparing the two most prominent mobile operating systems on the market STRENGTHS Android Apple THREATS STRENGTHS WEAKNESSES THREATS •Well-established reputation for quality products

•Excellent brand awareness that has gained fierce customer loyalty

•First to revolutionize cell phone with tempered touch screen

•Sleek and modern aesthetics

•Apple Stores offer greater accessibility for customers to purchase products whereas Android does not have their own store

•The iPhone is compatible with other Apple products such as iPod, Mac computers and Apple TV OPPORTUNITIES •Strong growth in smartphone markets to increase Apple’s revenue

•Opportunity to develop iTunes for other mobile systems for strategic alliance

•Strongest developer of mobile apps

•Take advantage of growing need for productivity apps and utilities •Android is supported by Google which adds more credibility to their operating system.

•Unlike Apple’s iOS, Android is compatible with most of the devices like HTC, Samsung, Motorola, Sony Ericson, Micromax etc.

•Android is an open source Mobile OS which is much more flexible in terms of compatibility with other devices

•More free Apps for the Android market.

•Android is more cost effective.This allows Android mobile companies to price their products far cheaper compared to Apple •Less multimedia support for Android mobiles compared to Apple which uses iTunes

•Since most apps are free, the apps are filled with advertisements which can be distracting and annoying to users

•Almost all Android apps require a constant internet connection to operate

•Since Android OS is used by many mobile manufacturers it has to wait for compatibility tests with those manufacturers before releasing upgraded version of its OS

•Android is always prone to external threats like malwares as it is developer friendly and source code can be manipulated •If Apple makes iOS compatible with other devices, Android’s market share will greatly decline

•There are many substitutes in Mobile OS like Symbian, RIM, iOS, Windows etc

•Android is prone to security threats like malwares and viruses which can impasse the mobile

•Downloading apps from untrusted sites may lead the entire system to crash WEAKNESSES •iPhone is very costly if not bought second hand or with a term plan from service provider

•Apple iOS is not as customizable as Android. The interface of phone is unchangeable

•The iPhone operating system is exclusive to Apple whereas the Android system is used by several companies like Samsung, HTC and LG

•Fewer free apps than Android

•Many bugs with new map in the recent iOS 6 update OPPORTUNITIES •Android OS is developer friendly which can result in development of advanced apps compared to Apple’s OS

•Better handset layouts, storage, connectivity, messaging, Multiple language support, web browser, Java support, Multi touch, tethering, screen capture are some areas that Android is excelling in

•Growth of developing countries in Asia and Africa is on the high, and hence it has triggered up sales of smart phones
•Death of Steve Jobs hinders Apple’s development

•Flood of Smartphones in the market that share a similar design to the iPhone for example: Samsung Galaxy, HTC, Blackberry 10

•The rising popularity of Android’s OS especially in Asian market

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