In siyu’s blog, she states that introducing 5c isn ’t a good choice for Apple as there are many competitors aimed at middle-income group . I disagree with that .Apple product uses the focus strategy(differentiation) to sell its uniqueness to royalty customers. After launching 5c ,it applies differentiation strategy and expands its customer segment to include middle-range customers. There are people who are unwilling to switch from 5s to 5c,but low-income customers who can’t afford 5s are willing to pay for 5c no matter the uniqueness of 5c is less attractive .They are still attracted by 5c’s brand and superior quality compared with other competitiors, which boosts total sales.
Meanwhile, the cost leadership strategy is also incurred by introducing 5c to the broader market segment . Low-income group are attracted by the price advantage and tend to buy more due to Apple’ PoD , which adds Apple’s force to compete in rivalry. Despite that, Apple owns customers’ loyalty due to previous value proposition. Loyal customers segment demonstrate a part of buyer power of Apple, and it also adds strength by competing with other rivals who only offer the similar price.
https://www.google.ca/search?q=5c+5s+%E5%8C%BA%E5%88%AB&espv=2&biw=1366&bih=621&source=lnms&tbm=isch&sa=X&ei=GHViVLvPO8W7ogSb24KoBw&ved=0CAYQ_AUoAQ