“IPHONES POPULARITY IN MARKET”

SUBMITTED TO

PROF. RACHANA SINGH

Bachelor of Management Studies

Department
VIVA COLLEGE OF ARTS, COMMERCE AND
SCIENCE,

VIRAR (W)

FEBRUARY 2015.
 DECLARATION
I hereby declare that the Research Project
entitled “IPHONES POPULARITY IN MARKET” is
a record of independent research work carried
out by me under the supervision and guidance of
Prof. Rachana Singh. This has not been previously
submitted for the award of any diploma, degree,
associateship or other similar title.

Place: Virar

Date:
 ACKNOWLEDGEMENT
It has been an immense pleasure for me to
have opportunity to be known about “IPHONES
POPULARITY IN MARKET?”

This research has been made possible through

direct and indirect cooperation to various people
to whom I wish to express my appreciation and
gratitude. I am deeply indebted to my Professor,
Prof. Rachana Singh who acted as a continuous
motivator for me by providing me resources and
guidance.

I am also thankful to all the people who took

precious time out from their work schedule to
help me understanding the research.

Lastly, but most importantly I would thank my

friends, family for the ceaseless understanding
and confidence in my abilities.
 ABSTRACT
The aim of the research is to design a survey
questionnaire that includes a multiple questions and
provide different answers of those questions.

The research whether to prefer online or in-store

markets is basically depends on factors in choosing
preferred method of shopping as well as spending more
on online or in-store markets.

Research is done by taking into consideration

various consumers which includes males and females
and their differentiation in ages. This research is not
dependent on specific area as it covers the buying
behavior of consumers whether to shop online or in in-
store markets.

The list of graphs and charts needed in this

research is interpreted according to survey
questionnaire. And in this research will come to know
that online markets are replacing in-store markets.
 SUMMARY
To accomplish the purpose of research, literature
review and questions was done to study the popularity
of iphone in market.

The respondents with no delay replied to the

questionnaire according to their right choices
regarding various questions. The literature also
acknowledges users go not stick to a particular mobile,
feature, looks or price

According to this research,” the growth and popularity

of phone is low as compared to the forging market. In
recent time some due to the increase in the tariff duty
of iphone there has been a slight drop of iphones
market in India”

19
 10.Are you brand loyal?

YES-15
NO-5

18
 APPENDIX
*BLACK QUESTIONNAIRE

NAME: ____________________________ GENDER: ___________________

AGE: ______________

1) Do you have an iphone?

- Yes
- No

2) What do you prefer?

- Iphone

- Smartphone

- Java phone

3) Is iphone better than the other android phone available in market?

- Yes
- No

4) Which phone has more features?

- iPhone
- Smartphone
- Java phones
- Windows phone

5) What do you find attractive about iphone

- Features
- Looks
- Applications
- Marketing technique

6) Is iphone worth for its price?

- Yes
- No
7) Do you think that the tariff duty imposed on iphone should be reduced?

- Yes
- No
8) From where do you prefer to buy iphone?

- Online
- Retail shop
- Apple store
9) Do you think iphone should add more features?

- Yes
- No

10) Are you brand loyal?

- Yes
- No

21
 INTRODUCTION
According to (OPPapers, 2012).Apple Inc is an American multinational
organization located in 1 infinite loop, Cupertino, California 95014, in the middle
of the Silicon Valley. It is focused on designing and developing the personal
computers, other related software products, and the electronic products such
as MP3 players and iPods. Apple Inc’s main products are iMac, iPod, iPhone, and
its latest advanced product is iPad, which is on the verge of creating another
revolution after iPhone. Apple Inc was founded in 1976 and since then Apple Inc
has been leading the way in innovating new products, however it has
encountered numerous ups and downs since then. Apple Inc produced the first
ever extremely successful personal computer. It has been always on the
forefront of innovating new products; however it has often struggled to
maintain the hold on the market share in the product line. Lately, Apple Inc has
transformed its image from an inventive computer manufacturer to a fully-
fledged consumer’s electronic company. Some facts of its success can be
calculated from its sales of $13.95 billion in the year 2005. In year 2005, Apple
Inc had controlled 4.2% of the US market in PCs. Also, Apple iPods models had
controlled 70% of the hard drive MP3 player market. Apple Inc enjoys the
leading share in the handset market, generating over 71% of the industry’s
profit with 6.5% of the international handset market. Apple unveiled its first
iPhone on 9th January, 2007. The most recent iPhone, is iPhone 4S, and it was
announced on 4rth October, 2011 and was released 10 days later.According to
(Scribd Inc., 2013) Apple has to be one of the greatest success stories of all
time. The beginnings of Apple started with Wozniak assembling a simple built
computer machine. It was in the summer of 1971 Wozniak 21 and Jobs 16 were
introduced to each other by a mutual friend Bill Fernandez. Wozniak had shown
Jobs his simple built computer machine and this impressed Jobs to the point
Jobs believed he could sell it for a profit. It was here they would form a strong
friendship because they not only shared a passion for computers, but because
 they were both known as outcasts and for the first time they had a great
understanding, admiration and respect for each other‘s abilities, personality and
intellect. They would begin the Apple project by selling some of their possessions:
Wozniak's HP scientific calculator and Jobs' Volkswagen, they raised $1300 and
assembled their first prototypes in Jobs bedroom. When the project became too big
for the bedroom they moved the project into Jobs family's garage, it was on a huge
wooden work bench that served as their first manufacturing base. The computers were
hand built by Wozniak and first shown to the public at the Home brew Computer club.
After selling a number of the machines Apple was established on April 1, 1976 and went
public on December 12, 1980.

Apple has maintained its great success with its ability to understand what the consumer
wants before the consumer even knows what they want; Apple effectively creates wants
by their constant creative innovation and unique design which is stylish, user friendly and
affordable. They have also been able to create a brand in the high technology world just as
Chanel has in the fashion world. People can easily recognize an apple whether it's the I-
Pod, the I-Phone, the Mac Air or the I-Pad. It has become a product that defines one's
identity in how they desire to be seen by society that is a person who is highly innovative,
intelligent, stylish and apart of the in crowd. This is pure marketing genius. This marketing
genius of Apple has seen this company outperform beyond the business world's
expectations. While so many companies are struggling to break even in the current
recession Apple is getting stronger by the day.

Apple’s Most Successful Products and Services

iPhone 4, iPad&iPad 2, “iPhone”, iTunes, PowerBook G4, iPod, OS X, iMac, Quick time, Mac,
Apple II.

PRODUCTS and SERVICES

Apple Store, Mac, iPod, iPhone, iPad, iTunes.

Other Products and Services

Desktops, Xserve, Notebooks.

5
 HISTORY
The history of the iPhone line of phones begins with a direction from Steve Jobs to Apple
Inc.'s engineers, whereby he asked them to investigate touch screens and a tablet
computer, which later came to fruition with the iPad. Also, many have noted the device's
similarities to Apple's previous touch-screen portable device, the Newton MessagePad.
Like the Newton, the iPhone is nearly all screen. Its form factor is credited to Apple's
head of design, Jonathan Ive.In April 2003 at the "All Things Digital" executive
conference, Jobs expressed his belief that tablet PCs and traditional PDAs were not good
choices as high-demand markets for Apple to enter, despite many requests made to him
that Apple create another PDA. He did believe that cell phones were going to become
important devices for portable information access, and that what cell phones needed to
have was excellent synchronization software. At the time, instead of focusing on a follow-
up to their Newton PDA, Jobs had Apple put its energies into the iPod, and the iTunes
software (which can be used to synchronize content with iPod devices), released January
2001.On September 7, 2005, Apple and Motorola released the ROKR E1, the first mobile
phone to use iTunes. Jobs was unhappy with the ROKR, feeling that having to compromise
with a non-Apple designer (Motorola) prevented Apple from designing the phone they
wanted to make. In September 2006, Apple discontinued support for the ROKR and
released a version of iTunes that included references to an as-yet unknown mobile phone
that could display pictures and video. On January 9, 2007 Steve Jobs announced the
iPhone at the Macworld convention, receiving substantial media attention, and that it would
be released later that year. On June 29, 2007 the first iPhone was released. On June 11,
2007 announced at the Apple's Worldwide Developers Conference that the iPhone would
support third-party applications using the Safari engine on the device. Third parties would
create the Web 2.0 applications and users would access them via the internet. Such
applications appeared even before the release of the iPhone; the first being "OneTrip", a
program meant to keep track of the user's shopping list.[18] On June 29, 2007, Apple
released version 7.3 of iTunes to coincide with the release of the iPhone. This release
contains support for iPhone service activation and syncing. According to The Wall Street
Journal, the iPhone is manufactured on contract in the Shenzhen factory of the Taiwanese
company Hon Hai (also known as Foxconn
 TABLE OF CONTENT
1……………………………………………………..A BSTRACT

2…………………………………………………….INTRODUCTION

3…………………………………………………….HISTORY

4…………………………………………………..LITERATURE REVIEW

5………………………………………………..SCOPE AND OBJECTIVE

6……………………..……………………….RESEARCH METHODLOGY

7…………………………. DATA PROCESSING AND ANALYSIS

8……………………………………………….SUMMARY

9…….………………………………………..BIBLOGRAPHY

10………………………………………….APPEND

).Exclusivity tying of the iPhone to AT&T When Apple initially released the iPhone on June
29, 2007, it was sold exclusively with AT&T (formerly Cingular) contracts in the United
States. The tying arrangement between Apple's smartphone and a specific
service provider caused some controversy, bringing the concepts of jailbreaking
and bricking into the mainstream debate over the future of smartphone
technology.[citation needed] History After a year and a half of negotiations, Steve
Jobs reached an agreement with the wireless division of the telecomm giant AT&T
(Cingular at the time) to be the iPhone's carrier. In return for five years of
exclusivity, roughly 10 percent of iPhone sales in AT&T stores, and a thin slice of
Apple's iTunes revenue, AT&T granted Apple roughly $10 a month from every
iPhone customer's AT&T bill.[citation needed] In return, consumers were unable to
use any other carrier without heavily modifying their device. Apple retained
complete control over the design, manufacturing, and marketing of the iPhone.[22]
Since some customers were trying to jailbreak their iPhone to avoid the AT&T
network, AT&T decided to charge consumers if they were to leave the network.
This caused complaints among many consumers, as they were forced to pay an
additional early termination fee of $175 to end the contract, and the device would
Remained locked.[23] Other companies such as Google complained that tying
encourages a more closed access based wireless service Shared from Google Keep

6
 Literature Review

Literature Review. APPLE PRODUCT GROWTH AND VALUATATION. Apple’s 1997 “Think
Different” marketing campaign was one of its most memorable ever. Billboards and banners
featured huge black-and-white portraits of performers, artists, scientists, and political
leaders whose outsider ideas eventually became mainstream. The implicit message was that
Apple’s “insanely great” products were for quirky rebels who would one day dominate the
world. The photo of Steve Jobs on the cover of his posthumous biography would have fit
right in. The Apple of today is turning its back on that creative class. Apple no longer
designs for creators of digital media, who tend to be very demanding about product
quality. Instead, Apple builds for consumers—in both senses of the word: people who spend
their own money, rather than their companies’, and people who consume digital media, as
opposed to people who produce it. Focusing on digital consumption has made Apple wildly
profitable, but the company’s products have trended downwards in quality, flexibility, and
even reliability. Apple appears to be suffering from growing pains. The company—which
declined to comment for this article—seems increasingly overwhelmed by the wide range
of products and services that it has created, and is responding (quite logically) by spending
significantly less effort on items that appeal to a shrinking percentage of its customer
base—a group that unfortunately includes digital creators. The danger is that by focusing
on consumption, rather than production, Apple will jeopardize the very essence that first
made its products insanely The Good Apple From one perspective, Apple's world could not
be rosier and its future shinier. Rising from the rubble of a disintegrating company in
1997, Apple has reached the pinnacle of success in 15 short years. With a market
capitalization of over $500 billion, Apple is amongst the most valuable and highly
profitable companies in the world. Its remarkable success lies in the company's ability to
create truly innovative products with vast customer appeal. Apple flouts the conventional
wisdom of the consumer electronics industry, which emphasizes low cost, "me-too"
products, and a continuously shortened product life. Instead, Apple has opted for constant
and discrete product innovation, resulting in fanatic consumer loyalty and a high level of
profitability. The Bad Apple So why does Apple treat its customers and workers by two
different standards? When it comes to customers, Apple is a bold innovator that leads the
industry into new directions and forces others to follow. However, when it comes to the
management of its supply chain and treatment of workers in the Chinese factories that
make its products, it hides behind the constraints of prevailing industry practices. What is
even more disconcerting is the fact that these practices are in violation of not only local
and national laws, but also of Apple's own voluntary self-imposed code of conduct. It is
important to note that this voluntary code of conduct breaks no new ground. It is at best a
modest attempt to ensure that workers will be treated fairly and provided with a safe
work environment. Yet the violations continue, despite years of monitoring factories where
Apple's own audits show persistent non-compliance and despite these factories' repeated
broken promises to improve. Apple's Strategic Profile - Value Culture vs. Cost Culture In
my view, Apple's good and bad sides both emanate from the same business philosophy:
adroit exploitation of market power for the sole benefit of the company and its investors.
This model does not consider "what is fair" but what is competitively achievable in higher
prices for products sold and lower costs for products made. Value Culture: When it comes
to customers, Apple applies the notion of value, i.e., a pricing strategy that is driven by its
focus on the value—real and perceived—to its customers. The customer is willing to pay a
price that is equal to the product's perceived value to the customer. Hence, as long as the
customers are satisfied, Apple is under no obligation to reduce its prices. Why Apple's
growth is set to continue ? "Apple's increased profits have once again confounded
skeptical analysts, who expected the company's latest results to disappoint. Shane
Richmond says there is little sign of an end to Apple's rise.” When Apple launched the
iPhone 4S, in October last year, there were some analysts who called it a disappointment.
It wasn't fast enough or thin enough or magical enough, they argued. In fact, many
complaints seemed to be based on the fact that it wasn't called iPhone 5. A few days later
the phone went on sale and Apple sold four million in three days. That didn't stop many of
the same experts queuing up to express their disappointment in Apple's third-generation
iPad last month. Once again, it was considered to be insufficient as an upgrade on the
previous model and once again, the new gadget flew off the shelves; Apple sold three
million in the first three days. Despite two enormously successful launches in six months,
investors were concerned as Apple's second-quarter results approached this week. The
company's share price reached a record high on April 9 but fell by 10 per cent over the
two weeks that followed. Though shares were still up 40 per cent this year, investors were
said to be worried about whether Apple's phenomenal growth could continue. In typical
fashion, Tim Cook, Apple's chief executive, confounded sceptics and announced a 94 per
cent increase in profits on the same quarter last year, powered by iPhone and iPad sales.
The company sold more than 35 million iPhones in the second quarter - an 88 per cent
increase, year-on-year - and almost 12 million iPads - an increase of 151 per cent. Tim Cook
said: "Just two years after we shipped the initial iPad, we sold 67 million. It took us 24
years to sell that many Macs, and five years for that many iPods, and over three years for
that many iPhones." In other words, Apple's current boom is being driven by its 'post-PC'
devices, the iPad, iPhone and iPod touch. Those products contribute a huge proportion of
Apple's products and all of them are less than five years old. Colin Cieszynski, an analyst
with CMC Markets Canada, said that there were indications that Apple is "probably in a
bubble and vulnerable" but that many investors clearly believe the company can continue
for a while. He said: "The company’s ability to enter new markets and continue to
successfully launch new products may determine whether or not the shares are able to
maintain investor support over the longer term." According to one insider, Apple's share
price is the dominant topic among staff at the company's headquarters in Cupertino,
California. Employee stock options will make plenty of staff very rich indeed, especially if
shares hit $1,000 (£620) next year, as some Wall Street Analysts have predicted. The
share price currently stands at a little over $600 (£372). Apple plans to initiate a
quarterly dividend of $2.65 per share later this year - its first since 1995. The move is
one of several changes made to the way the company operates since Mr Cook became chief
executive last year. In his first months in charge, Mr Cook instituted a charitable giving
programme for employees and visited the Foxconn factories in China, where Apple's
products are made. Foxconn, which also makes products for Sony, Microsoft and Dell,
among others, has been criticised for its labour conditions. In response, Mr Cook raised
the profile of Apple's Supplier Responsibility programme and commissioned the Fair
Labour Association to audit the company's suppliers. Apple, like much of the technology
industry, has been embroiled in patent lawsuits as manufacturers and developers sue and
counter-sue one another. Steve Jobs, Apple's co-founder and former chief executive, who
died last year, had declared "thermonuclear war" on Google's mobile operating system,
Android. He told his biographer, Walter Isaacson, that Andoid was "a stolen product" and
he would go to any lengths to destroy it. This week, Mr Cook took a more conciliatory tone,
saying that Apple would rather settle its patent lawsuits with rivals such as Motorola,
Samsung and HTC. He told analysts: "I've always hated litigation. We just want people to
invent their own stuff." Those who believe Apple's success is temporary argue that its
rivals will inevitably catch up. The company has taken a lead in smartphones and in tablet
computers, the sceptics say, but rivals have seen the opportunity and will produce better -
or simply cheaper - versions and erode Apple's lead. If that is true, it's taking a long time
to come about. Though the growth of Android has been rapid, the question of who is in the
lead depends very much on what you measure. In terms of handset profitability, for exam
ple, Apple is very much ahead. When it comes to the 'tablet market', such a thing barely
exists. There is an iPad market and, two years after Apple launched its device, no sign of a
significant competitor. This week Tim Cook echoed comments he made at the launch of the
new iPad last month. He said: "Across the year you're going to see a lot more of the kind
of innovation that only Apple can deliver." Whether that is bravado or a hint of big things
to come remains to be seen but on past form it should make Apple's rivals nervous. Not
only growth up like that, in this day Apple inc. is the big superstar of the 2011 Top 100
Global Brands list was Apple. Not only did Apple get designated as one of the top ten
brands in the world, its brand value rose 58% in a single year to propel it into the Top 10.
How can it be determined that a brand is 58% more valuable in 2011 than it was in 2010

7
SCOPE AND OBJECTIVES
The scope of this research is not specified
geographical area but users of any area using
iphone.

The objectives of this research find out the

growth and popularity of iphone in market

To know the factors behind overall satisfaction

of user
 RESEARCH METHODOLOGY
1.Primary data

Primary data are directly collected by the researcher from

their original source. It refers to first hand information
collected by the researcher for the first time.

2.Secondary data

Secondary data refer to second hand information already

collected for some other purpose previously. When the
researcher utilizes secondary data then he has to look into
various sources from where he obtain them.

Sampling plan

The sampling plan used for the study of this project is

“Systematic Random Sampling”

Sample size

Sample size collected is 30.

Data collection instrument

The data collection instrument used for this project

“Questionnaire”

8
 BIBLIOGRAPHY
http://alvinalexander.com/blog/post/mac-os-x/apple-business-
philosophy-mission-statement

http://writepass.co.uk/journal/2012/12/strategic-analysis-
swot-and-bcg-matrix-of-apple-inc/

http://blogs.hbr.org/fox/2013/01/apple-versus-the-
strategy-prof.html

http://www.strategicmanagementinsight.com/swot-
analyses/apple-swot-analysis.html

http://investor.apple.com/secfiling.cfm?filingID=1193125-12-
444068

http://tech.fortune.cnn.com/2012/11/01/by-the-numbers-
apples-fiscal-2012-annual-report/

http://www.apple.com/supplierresponsibility/pdf/Supplier_Code_of_
Conduct_V3_1.pdf

http://myassignmenthelp.info/assignments/marketing-
assignment-essay-writing-analysis-review-online-apple-swot-p

20
 1.Do you have a iphone ?

YES
NO

9
 9.Do you think iphone should add more features?

YES-18
NO-2

17
 8.From where do you prefer to buy iphone?

Online-3
Retail shop-13
Apple store-4

16
7.Do you think that the tariff duty imposed on iphone should be reduced?

YES-18
NO-2

15
3.Is iphone better than the other android phone available in market?

YES-14
NO-7

11
 4) Which phone has more features?

Ipnone-4
Smart phone-12
Java phone-1
Windows phone-3

12
 2. What do you prefere ?

Iphone-3
Smartphone-12
Java phone-1
windos phone-4

10
 6) Is iphone worth for its price?

YES-12
NO-8

14
 5) What do you find attractive about iphone?

Features-4
Looks-10
Application-4
Marketing technique-1

13