Apple game Console Essay Example for Free

Apple game Console Essay Apple is planning to enter the intensely competitive gaming industry, dominated by three large competitors, Microsoft, Sony and Nintendo. Apple’s has success with providing quality products and, has already established markets for Mac computers, notebooks, TV, iPad’s, iPhone’s and iPod’s. As Apple has a reputation being high quality, stylish and, luxurious brand, the new game console will be perceived to have the same qualities. Step 1 Idea Generation With the new technology and changing consumer preferences the gaming industry is continuously evolving. With the right product catered to the market, differentiation can bring market share, profits and, growth. Using marketing research Apple needs to identify what is already in the market, the demand for them, how they could be improved and differentiated. Step 2: Screening Strength †¢Already established successful brand name †¢Loyal customers †¢Apple perceived as innovative, superior quality and, stylish products †¢Ability to generate higher profits due to premium price charged Weakness. †¢Failure in the launch of the first gaming system †¢Inexperience in the video game industry †¢Short life span on game consoles Opportunities †¢Apple caters to the premium market which has less competition †¢Continuously expanding market. †¢Consumer demand for new innovative products Threats †¢Intense competition from already established competitors †¢Challenges caused by the continuously evolving market to regularly release new innovative products to stay competitive. †¢Risk of reputation if the new launch fails. Step 3 – Idea evaluation At the evaluation stage Apple needs obtain an understanding about the consumer reaction towards the product using concept testing. It is important that the target market, the size of the market and potential opportunities are identified when deciding whether to enter the market. Consumer needs should also be identified and the console should be developed to satisfy their needs. Rough estimates of costs, revenue and profitability should be made to determine product feasibility. Step 4: Development As the product development requires substantial financial commitments, extensive research and development should be carried out before building a prototype. Apple should use innovation and creativity when designing the product ensuring target markets needs are met. Market testing should be carried out to identify the consumer responses and revisions should be done to avoid failures. Step 5 – Commercialization. Before the roll out, extensive advertising and promotion should be carried out to introduce and, to promote the product. As Apple has its own stores, consoles can be initially offered to the market without having to deal with dealers and middlemen. This allows Apple to gradually roll out product to the market. As Apple has already established brand name, the new console would surely thrive. However, they need to ensure that its operating capacity is not at a maximum point and can be increased if required.