Blackberry was once an iconic Canadian brand on top of the mobile device industry that, in recent years, has seen its popularity and market share dwindle at the hands of the IPhone and Android. So what is the reason for the demise of Blackberry? To answer this question, we must look at Blackberry’s business model.

For years, Blackberry had been an innovator. Blackberry Messenger was the preferred instant messaging software that allowed users to message without the cost of data usage, while blackberry devices best fit consumer needs. While drowning in overwhelming success, the company failed to see changing trends in consumer demands.

We have talked about the importance of reaching a target market first, and when IPhone and Android came out with touchscreen phones, Blackberry had quickly fallen behind. Years later, when Blackberry finally launched a touchscreen phone, customers who wanted this feature had already made the switch and it was too late. Other customers had stayed with Blackberry because of its unique keypad. By giving up their main distinguishing feature, they had given up a competitive advantage and subsequently lost even more customer loyalty.

Blackberry’s failure to commit to their business plan is ultimately what led to its demise. The company failed to be forward thinking, deviated from its strategy, and is consequently nearing inferiority in an industry it once owned.

Sources: http://www.theglobeandmail.com/report-on-business/the-inside-story-of-why-blackberry-is-failing/article14563602/?page=all