SWOT- “BIGGER AND BETTER”
IPHONE, IPHONE, IPHONE!!! This is what Apple fans in China are screaming for. With such high demand, Apple delays its launch of iPhone6 in China due to the Chinese regulatory laws.
Researcher estimates that over 5 million iPhones will be smuggled into China before the official sale. Furthermore, dealers are flying back and forth to Japan where they can be in the first line to grab unlocked devices and sell it to eager mainland buyers for over 2700 US dollars! While the black market keeps benefiting from the delay, Apple is still undergoing negotiations with the Chinese government which might take over two months.
Proven by Apple’s real case scenario, government policies in different countries are a serious external threat to the company. It is crucial that companies keep updated information on government regulations especially before the launch of their products. By improving the distribution channels with their customers and limiting the numbers of iPhone 6 in the black market, Apple’s policies are focussed in reinforcing its brand identity. In conclusion, Apple should utilize its strength developed through its loyal customer base and partnerships with Chinese phone carriers to overcome the difficulties faced with the Chinese government and the black market.
Works Cited
Dediu, Horace. “Cracking the China Code: Microsoft vs. Apple.” Asymco. 11 Jan. 2013. Web. 26 Sept. 2014. <http://www.asymco.com/2013/01/11/when-will-apples-china-revenues-overtake-the-us/>.
Kuo, Lily. “Five Million IPhones Are about to Be Smuggled into China-right Back Where They Started.” Quartz. 19 Sept. 2014. Web. 26 Sept. 2014. <http://qz.com/268219/five-million-iphone-6-handsets-are-about-to-be-smuggled-into-china/>.Vicent, Jamesd. “IPhone 6 On Sale Everywhere But China.”
News, CBC. “Apple’s IPhone 6 Selling out Early in Canada.” CBCnews. CBC/Radio Canada, 19 Sept. 2014. Web. 26 Sept. 2014. <http://www.cbc.ca/news/business/apple-s-iphone-6-selling-out-early-in-canada-1.2771521>.Vicent, Jamesd. “IPhone 6 On Sale Everywhere But China.”
Vicent, Jamesd. “IPhone 6 On Sale Everywhere But China.” The Independent. Independent Digital News and Media, 19 Sept. 2014. Web. 20 Sept. 2014. <http://www.independent.co.uk/life-style/gadgets-and-tech/iphone-6-on-sale- everywhere-but-china-with-5-million-units-predicted-to-be-smuggled-back-in-9743449.html>.