In: Economics
Its completely appropriate for Apple Inc to adopt differentiation strategy.In fact this strategy has lead the company to gain huge profits.The main aim of the company is to lend best services to its customers,so it's must to adopt differentiation strategy.Tastes and requirements of both domestic and foreign customers should be taken into consideration and product should be designed accordingly.After manufacturing products by including necessary features,products are sold at different price for different countries.This strategy has improved the product services and customers started liking it.Usually customers feel that Apple Inc products depicts luxurious status.All these factors and features made Apple Inc acquire huge profits.It has been successful in earning maximum returns ,gaining reputation in overseas market,high sales,etc.Therefore,differentiation strategy has boosted the sales rate and the Apple Inc turned to be one of the top multinational company.IBM is another top company which serves technological products and IT services.There was a tough competition between Apple Inc and IBM.Later these two companies were forced to adjust their market structure by getting merged and then they started serving best products to the customers.As these two companies serve similar type of services,even their production and managing costs are similar and its difficult to handle such companies.Inorder to adjust these costs and to serve customers with best products,Apple Inc and IBM got collabarated.This lead to Apple Inc to manufacture products with software designed by IBM.Hence,it benefited for both the companies and their products gained high image in doemstic and overseas market.