Apple has recently introduced 2 new iphone 5’s into the market: iphone 5S and iphone 5C.  Apple has always been known for its costly products that brings a sense of prestigious and status. For this reason, the new iphone 5C has brought the attention of many critics. The iphone 5C is relatively cheaper at $99 compared to the iphone 5S of $199 with contract. With a slower processing speed, lower storage capacity, and manufactured primarily of plastic instead of aluminum and glass, the phone is more basic.  Nicole has made a good point in her post https://blogs.ubc.ca/nicolelylam/2013/10/07/prestigious-apple-looking-cheap/ about Apples’ new approach in efforts of entering the cost leadership strategy from previously being in the differentiation strategy. But I disagree with Nicole in terms of Apple being “stuck in the middle” of The Porter’s Generic Strategies. I think Apple trying to go after multiple strategies may actually be an advantage as Apple can become more competitive in response to the new global demand for smartphones. The iphone 5C allows Apple to tap into emerging markets, primarily those with a lower budget. Apple gave consumers a choice to pick their iphone 5 preference and allows for a greater target market which will increase their revenues.

Reference: http://www.policymic.com/articles/66009/iphone-5c-release-how-the-new-phone-redefines-apple

This week, Tim Hortons Inc. released a new national wide ad campaign designed to tell the story about the companies quality coffee. The video features “To the high-falutin’ strains of cello music, a man in a lab coat runs his hands over rich, brown coffee grounds. Through the grounds an animated story appears: coffee beans growing on a leafy vine, being roasted and examined by a coffee master.”

This 60- second video runs on Canadian television,  through social media sites online and also on the Tim Hortons website. The marketing goal is to target a large consumer audience. Although Tim Horton’s own consumer research says that when comparing the taste and quality of the coffee to other quick- service restaurants, they are still dominating; however, other companies such as McDonald’s Corp have increased in consumer preference as well. Out of 10 cups of coffee purchased at quick service restaurants, 7 are bought from Tim Hortons. The companies new add campaign is marking the values of the company and their products. Not only are they promoting their “cheap, quick-service morning fix”, but their coffees are also high in quality and outstanding in taste. The advertising video tells the story behind the coffee and the masters of it, which I personally were unaware of until watching the video.

References:

http://www.theglobeandmail.com/report-on-business/industry-news/marketing/gourmet-grounds-new-tim-hortons-campaign-tells-story-behind-the-coffee/article14717767/

Many tech companies today have been making bets that wearable smart watches will be the next big thing. Companies such as Samsung, Google, Sony and Apple have been directing their attention to designing wearable devices that do more than just telling time. Most of the smart watches are allow users to take pictures, receive calls, go on apps etc. It sound convenient to me but I would not purchase one. Reviews about the Samsung Galaxy wear have not been the slickest. They are quite expensive, you cannot fully check your emails as it only shows the notifications, and the battery life only lasts for around 1 day. In addition, I personally would not purchase any smart watches because I feel that the purposely enlarged screens would be too big and would cause much inconvenience. Also, why would I use a smart watch when I already have a smart phone that does exactly the same thing but better? In the article ” Why an iWatch may not be as big as the iPhone”, it talks about how people value uniqueness and style when it comes to the accessories such a watches. I completely agree that having the same watch as everyone may not be so cool. Then how come companies still think that smart watches will be such a big hit? The reason is because it is not so much cheaper to produce these watches. “What’s happened is your cost of computing power has come way down, the cost of connectivity has come way down, sensor cost has come way down and can now be integrated in tiny, tiny packages,” Rahman said.

References:

http://www.cnbc.com/id/101084065

http://www.cnbc.com/id/100999033/page/2

Blackberry cellphones were once one of the top mobile devices known for its user friendly keyboard and the security it provides. It was mainly geared towards the business world with it’s excellent connectivity. However, over the past years, Blackberry (Research in Motion) has failed to keep its consumers because of the lack of new innovation compared to other companies such as Apple, Samsung etc. The company overall has been performing poorly and has led to huge price drops in the stock market. The shares for Blackberry has declined nonstop since 2008 from $150 per share to now at around $8 as of September. 25 2013.
This lead to the Fairfax Chief Executive Prem Watsa to making the deal for Blackberry at $4.7 billion. Prem Watsa completed his bachelor’s degree in chemical engineering from the Indian Institute of Technology. Also known as the “Canadian Warren Buffet”, Prem Watsa has had a good reputation for making profits from bets on companies and market trends that looked ill advised at the time, but later turns out to be a correct decision. The RIM company is not running at its highest points at the moment so has Prem Watsa made a good deal ? He says that he does not see Blackberry’s fortune being turned around overnight, but in around four to five years, things will be different for Blackberry. In my opinion, I think that it will be hard for Blackberry to rise again to the top since it has lost so much of the market already do its competitors within these past years. However, I think Watsa is fully capable of changing Blackberry’s future with his skill sets, and I am curious to how he will go about doing so and what the outcome will be in the coming years.

References:

http://globalnews.ca/news/862262/blackberry-shares-extend-their-decline/

http://globalnews.ca/news/858313/blackberry-strikes-deal-to-sell-itself-to-consortium/