determine how market commonality and resource similarity imp

determine how market commonality and resource similarity impact Apple’s competitive standing in terms of its main rivals. Provide specific examples to support your response.

Solution

Market commonality is the number of diverse and different markets that a firm and its competitors are jointly involved with and the degree of attached importance each firm has individually in the market. In most cases or scenarios, firms that have multimarket contacts are less likely to initiate any form of an attack against its competitors or other upcoming firms but ardently and firmly respond with much aggression when attacked Bergen & Peteraf 2012). This is because they are so busy into processing and manufacturing numerous products that are targeted to different markets.

On the other hand, resource similarity is the extent with which a firm’s resources that is; both tangible and intangible resources can be compared to that of competitors especially in type and amount. Most firms that have resource similarity are prone to similar strengths and weaknesses because many a times they use identical or partially similar strategies to capture their markets and also use similar marketing strategies to sell their products.

In this regard, Apple Inc. is not an exception to market commonality and resource similarity hence this would in one way or another affect its competitive strength. Since Apple Inc. was established on the 1^st April 1976, It has passed through the test of time and dealt with consistently constant tough competitors in its field of specialization and expertise. These are some of the fields that apple trades in and where it has stipulated stiff and unbendable competition.

Personal computers; Apple produces Macintosh computers such as MacBook Pro, MacBook, MacBook Air. That uses is operating system. In this area it faces stiff competition from computers that use Microsoft operating system who are giants also in the computing world; Personal computers to be precise. One of the many competitive advantages that apple has that has kept it through the ages is that its products are so simple and complex in their own way. Apple has spent a fortune to reengineer its products that has thus given it a ‘name’ and telling someone that you own a MacBook Air is prestigious than the feeling you have when you say you have an android product. Its competitors are Dell, Hewlett-Packard (HPQ), Acer, and Lenovo among others.

Mobile computers;- Apple introduced iPods to the market that saw millions of music lovers flock to buy the product since the iPod has a relatively large memory capacity of about 16GB. It also has Bluetooth technology that enabled iPods share some files via Bluetooth. The iPods were designed in such a way that they are easily portable and also easy to operate, Porter, 2008). Some competitors in this field are Asus, Nokia, and Samsung that also manufactured their own iPods.

Smartphones;- This was a field that was formerly dominated by Canadian giant research in motion. Apple then strategized and ventured into this as they saw a niche and made their very first generation iPhone that was released in June 29^th 2007 which vehemently outwitted and outdid the Canadian giant Research in motion. The Canadian organization restructured severally to no avail; it could not beat apple in their own game. This was then emulated by other computing and innovation firms such as Google that produced Android OS, Huawei, Samsung, Sony, HTC, and Lenovo amongst others who followed suit.

Entertainment media;- Apple Inc. knew from the word go that it had to keep with their customers continuously changing wants and needs thus resorted to make their world more exciting and full of fun. They created a platform where the users of their products that is- iPhones, iPods and personal computers would purchase not only music but also books, applications, games, TV shows, audiobooks and movies. This made them invent iTunes. Apple competitors in the android industry which is Google created playstore that enable their users to be equally entertained.

Mobile payments;- Apple did not venture into this initially but resorted to it and Tim Cook Apple’s CEO said that they managed to garner over 1 million users in the 1^st 72 hours making apple pay larger than all their competitors’ combined. Some of the competitors in this field are Pay Pal which processed $46 billion in mobile payments in the year 2014. Another competitor here is Google with Google wallet. This is a venture that is projected by cap Gemini and RBS to rise from 2014’s $3.5 billion in the US to $118billion by 2018. With all this sectors in Apples key area of indulgence; they are so much at par with its competitors in some areas such as entertainment Media (iTunes) and above its competitors in areas such as mobile payments which they managed to get 1 million users in the 1^st 72 hours. Hence Apple’s competitive muscles are still so strong and as a matter of fact growing stronger with time.