RE: Antonia’s blog

Antonia’s blog talks about Apple’s proposal for a home digital TV entertainment system to be released in 2012 seem like a very enlightening idea. But in reality, is it such a good idea?  Is it worth competing with leading TV industries such as Sharp and Sony? Apple’s hastiness to expand their line of technology isn’t very appealing.  I feel like they’re trying too hard.  There’s nothing wrong in staying in the bounds of your own expertise.  It is better to be master in one particular area than to be average in many.  Although Apple has established strong brand positioning, but he opportunity cost of producing a new line is only worthwhile if the benefits exceed the opportunity cost.  Putting many factors into account, such as, new department, hiring more employees, and finding new suppliers in order to produce the new product.  Apple is better off  being an expert as what they’re already doing than to barge into a strong industry.  Majority of households has already established a TV system company that they rely on. In the short run, consumers will not have an incentive to change. Therefore, Apple should not fall through with this proposal.

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