11 stores in the entire country; that is, 1 store per 192 million people( Managalindan 1). Tim Cook must build more stores to raise visibility and get more people to buy all types of Apple products.
On the other hand, Apple has been working on an iPhone specifically for the Chinese population with a specific type of polycarbonate plastic to make the iPhone more comfortable to their needs. Apple is known for its premium products, but downplaying the iPhone will not be a bother to the Chinese at all because they do not have the same type of disposal income that other countries have( Managalindan 1). To understand how much money the average citizens make just take a look at the popular city Beijing where people only make $ 8,000 a year. Apple has the right ideas, but it’ s just a matter of executing them and making sure nothing goes wrong.
Picture by M. I. C. Gadget
China Mobile is the leading mobile carrier in China; however, Apple doesn’ t have a contract with them. Both parties have been trying to come up with some sort of an agreement, but have not being able to because of technical issues and revenue sharing( Managalindan 1). China Mobile is losing business to the second and third largest mobile carriers China, Unicom and China Telecom, because they use 3G services. It is evident that apple needs China Mobile for them to become a big player in China, and China Mobile needs Apple to increase sales.
Overall, the Chinese population wants and needs Apple products because of their unique value proposition, which can’ t be delivered by anyone else. Tim Cook is in the process, making sure Apple’ s strategy is in the right direction in order to make this successful. As long as Foxconn doesn’ t hurt Apple more than it already has, then there is no reason to believe they won’ t successful in this market. But in order to achieve this, Apple’ s three strategies must take place within the next year. The advantage that Apple has over every other company is their reputation for success and brand name and that is something that can’ t be beat.
SOURCES
Managalindan, JP. " 3 Moves Apple Has to Make in China." Fortune Tech Technology Blogs News and Analysis from Fortune Magazine RSS. N. p., n. d. Web. 13 Jan. 2013.
The Associated Press. " Tim Cook: China to Become Apple ' s Top Market." Newsday. N. p., n. d. Web. 14 Jan. 2013.
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