BlackBerry’s Great Loss

The Globe and Mail reported on Sep. 20 in 2013, “BlackBerry Ltd. will cut 4,500 jobs, write off more than $900-million worth of unsold phones and abandon parts… the writedown will lead to a loss of nearly $1-billion.”

Based on my research, BlackBerry has made two big mistakes. First, BlackBerry gives up its opportunity to establish a point of difference. The all-touchscreen cellphone market has been occupied by Apple and Samsung before Blackberry Z10.  BlackBerry has its easy to use key-board cellphones as its point of difference before the Blackberry Z10. It should have kept developing that point of difference.  Second, BlackBerry didn’t focus on its customers.a BlackBerry insider, ““We believed we knew better what customers needed long term than they did. Consumers would say, ‘I want a faster browser.’…‘You might think you want a faster browser, but you don’t want to pay overage on your bill.’” This mistake shifts customers’ preferences from BlackBerry.

Many Canadians were once proud of BlackBerry, and it is just “too Canadian” to fail, but its future is still bleak.

Resources: http://opinion.financialpost.com/2013/09/27/blackberry-ltd-canada/

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

http://www.theglobeandmail.com/report-on-business/trading-in-blackberry-halted/article14440386/

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