Over the past 15 or so years, Apple has grown into one of the most renown and known companies in the world due to their innovative and applicable products. Their most popular product, the iPhone has sold upwards of 590 million units worldwide from 2007-2014 (from Statista), making it the most used line of cellular phones ever. This has created a crazed stigma in which everyone feels the need to own the newest upgraded iteration, without much regard to the lack of improvements that Apple puts into each successive product. What is happening here is an organizational behaviour and marketing effect deemed the “Halo Effect,” in which consumers feel inclined to buy other products from a brand based on the merit of their previously purchased products. In this case, Apple is riding the success of the revolutionary iPhone 3Gs as an example, in order to sell their new products. This halo effect is a massive strength of Apple, but it has also landed them massive amounts of criticism based on how they essentially resell the same base product, with few upgrades to ream as much revenue as possible. A commonly used phrase to describe each new models features is “having a new camera, and being thinner and lighter.” This trend has continued in their Macbook Pro and Air laptop product lines as well, but not to the extent of the iPhone. At the UBC Sauder School of Business, mandatory classes make owning a laptop of paramount importance, so almost everyone owns an internet enabled device of some sort. The majority of these devices are Macbooks, and every time a new iteration is unveiled people feel inclined to upgrade. Whether or not people will realize the power of the Halo effect within Apple will determine how long they can keep the charade up before having to return to their creative and innovative roots in order to sell their products.
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