Premium Essay

Customer Behavior Apple Product in China

In: Business and Management

Submitted By abhishekduta
Words 13140
Pages 53
This is the full dissertation on The purchasing behaviour of Apple products between Chinese students (12000 words).

Executive summary
This research focuses on determining the factors which influence the buying behaviour of the customers Chinese students for Apple products. The research was conducted among around 1000 contacts out of which 130 students responded. The research used survey method to collect information from the large audience. The analysis of the information was conducted using SPSS while the survey questions were developed with the help of the literature review which was conducted by review different academic journals. The review of the literature pointed out that there are a number of factors which affect the buying behaviours of customers and that Apple had knowledge about all these factors due to which it was so popular among the Chinese customers. It has been pointed out from the analysis of the information that there are different factors which influence the purchase intention of the Chinese customer such as the quality, brand, design, technology and the functionality. All these are the main focus for Apple products due to which they are so popular among the Chinese customers. It has however been pointed out that price is a significant deterrent and has an adverse impact on the customer buying behaviour. Apple products are significantly expensive in comparison to the competitor products due to which consumers are unable to afford it. The research also suggested those Chinese customers who were using Apple products were extremely happy with the product that they had recommended it to their family and friends. Thus it is evident that the Chinese customers are influenced with the product quality and brand of Apple Inc. It has been recommended in the research that the company needs to focus on product development and price reduction. Customers are…...

Similar Documents

Premium Essay

Customer Behavior

...Many factors play into the consumer behavior of the consumer. Successful marketers take into consideration the beliefs and culture of the buyer, as well as the family situation and even the psychological outlook of the purchase. Reference group is a group who’s perspective and individual takes on in forming values, beliefs, attitudes, opinions, and overt behaviors (pg.499). Reference groups can influence an individual’s cognitions, affective responses, and behaviors. As a consumer, your decision to purchase and use certain products, is influenced not only psychological factors, your personality and life-style, but also by the people around you with whom you interact and the various social groups to which you belong. The groups with whom you interact directly or indirectly influence your purchase decision and thus their study is of great importance to marketer to understand. Primary and secondary reference groups is one with which an individual interacts on a regular basis and whose opinion is of importance to him such as, family, neighbors, friends, colleagues and co-workers. Secondary reference groups are those with which an individual interacts only occasionally and does not consider their opinion very influential. Formal and informal reference groups are groups such as labor unions, social clubs, and societies are types of formal reference groups to which individuals may belong (pg 500-501). A formal reference groups has a highly defined structure, specific roles and......

Words: 851 - Pages: 4

Premium Essay

Management Organizational Behavior- Apple

...Management Organizational Behavior Prof. Agatep Hope Individual Assignment HE YUTIAN (Stephen) Content Page Page1----------Introduction of Apple Page2--------- Organizational culture, design, structure Page3--------- Management of conflict and motivation of employees & Conclusion Page4------- Recommendation& Referencing List If there is a survey about which business you believe is the most valuable and has most revolutionary influence on the society last ten years, it must be true that most of the people will choose Apple. From some professional evaluation about Apple, it describes Apple as an enterprise which has ability to take over the world one bite at a time and is already doing it. As of July 2011, Apple is the largest publicly traded company in the world by market capitalization with 357 retail stores in ten countries and 60,400 permanent full-time employees and 2,900 temporary full-time employees around the world. (Profile: Apple Inc, n.d.)At the same time, its revenue and profit is more than Google and Microsoft combined, and its annual revenue is totaled $65 billion in 2010 and is growing to $108 billion in 2011 miraculously. (Harry Wilson, 2012) Apple not only is one of the most successful enterprises in the world nowadays, but also already is a creative, miraculous and revolutionary company which is founded by Steve Jobs, Steve Wozniak and Ronald Wayne on April 1, 1976 during its starting stage. (Cyrus......

Words: 2404 - Pages: 10

Premium Essay

Consumer Values, Product Benefits and Customer Value: a Consumption Behavior

...creating customer value is fundamental to both profit-seeking companies and nonprofit organizations. Indeed, creating superior customer value is a necessary condition for a company securing a niche in a competitive environment, not to mention a leadership position in the market (Day 1990). According to Porter (1980), a company can follow two generic routes to compete in a market: differentiation and low-cost. Day (1990) maintains that both approaches have the same objectiveC to create superior customer value, because "regardless of which of these routes is emphasized, the effort will fail unless significant customer value is created" (Day 1990, p. 163). Day (1990) addresses the issues in analyzing customer value and proposes that it can be expressed in a "value equation": "Customer's Perceived Benefits-Customer's Perceived Costs=Perceived Customer Value" (p. 142). Although Day's approach to customer value is basically sound, some details regarding consumer customers remain unclear. For example, the process by which consumers perceive product benefits is nebulous: Day particularly addresses product valuation by industrial customers in detail, but this is only in principle a part of a much more complex process of product valuation by consumers. Hence a theoretical framework which underlies the consumers' overall product valuation is still missing in the literature. Such a framework should address the issues of how consumers perceive the benefits and costs of products, as......

Words: 523 - Pages: 3

Premium Essay

Apple Product Life Cycles

...The Apple product life cycles indicates just how big the iPhone and the iPad will be over the next few years. It took the iPod five years to break the thirty million units per annum mark. The iPhone got there in four and the iPad will make it in year two of launch. As for the Sony Walkman it never made it, it took over ten years to top out, the iPod topped out within eight years of launch. Apple product Life Cycles are moving faster and higher sooner than ever before. iPod sales may have peaked in 2008 at just under 55 million units and may fall to around 45 million units this year but the iPhone is set to sell just under 70 million units and the iPad is chasing fast behind. It all adds up to an exciting phase of growth for Apple over the next four years with revenues set to rise over $100 billion in 2011. Students of corporate strategy and business theory are familiar with the concept of the Product Life Cycle. Generally the life cycle is perceived to have four specific stages, introduction, growth, maturity and decline generally plotted with volumes a function of time. In the introduction phase, costs are high, sales volumes are slow, there may be little or no competition and customers have to be stimulated to action. Profits are limited and the product is cash extensive as marketing costs are substantial. Key customers tend to be innovators and early adopters. In the growth phase, unit costs are reduced as volumes increase, advertising is amortised over greater...

Words: 571 - Pages: 3

Free Essay

Apple Product Sales Forecast

...A leading indicator of economic forecast can impact Apple’s product sales forecast is the Consumer Confidence Index. Consumer Confidence is a measure of the level of optimism consumers have about the performance of the economy. Consumer Confidence influences consumption (where consumption is a large part of the Gross Domestic Product (GDP)). According to the text, Principles of Economics, “if consumers expect good economic conditions and are optimistic about their economic prospects, they are more likely to but major items such as cars or furniture.”1 While Apple products may not be considered major items, the company (Apple Inc.) could use the current consumer confidence index as a gauge on how well its products could do in the market in a particular period.(Appendix Personal consumption form freelunch.com) Unfortunately, consumer confidence here in the United States (US) has dropped (from 71.5 to 65.1) in the last two months (November and December 2012)2. This drop has been attributed to the uncertainty surrounding the fiscal cliff debate3. If consumer confidence continue to drop here in the US, Apple Inc. may have to look to overseas to make up any sales deficit. 2. What are the international economic factors that impact Apple’s product sales and cost? APPLE’s operations and financial performance depends significantly on worldwide economic conditions. The various economic factors that come into play are: a) Personal disposable income of consumers b) Currency exchange......

Words: 325 - Pages: 2

Premium Essay

Apple Products

...I love apple products, I cant get enough of them when I was younger I dreamed of having great technology that made my life easier and not harder. Technology can either make you better or worst and I rather choose items that make me better. Simplicity is actually a rarity in the 21st century. And its great to go to a place were you could service for next to almost all your technologic needs. The apple store is one of the smartest places on the planet. They work for you the people, me being a student I look up to people that can make my life easier and I view them as daily heroes of humanity that do not get enough praise. Now you may say to yourself well Farley its just the apple store theirs nothing special about that. Fine I will prove to you in these next paragraphs why I hold the apple story so high in my heart. 2009 March 28, I had just enter training school in the military and I was a young naïve marine and I had just enter sprint and purchased my first cell phone it was a fairly simple mode no crazy features just enough to call mom. It wasn’t any iPhone but it did the job I guess. I know what you’re thinking what does this have to do with the apple well first off the phone already started giving me problems within the first month of having the phone. And yes customer service was horrible when I went to the store they told me to call up the head quarters and when I called the head quarters they told me to go to the store. Now you can see the frustration I had...

Words: 1092 - Pages: 5

Free Essay

Durability of Apple Products

...Durability of Apple Products In recent years and particularly months, Apple has been scrutinized for its products durability. There has been some suspicion that they purposely set out to ensure their goods become defective over a short period of time. This usually coincides with a newer version being released. In this way, consumers will prefer to purchase the upgrade, rather than fix the old model. (Rampell, 2013) In the past month, Apple has released its latest iPhone, the iPhone 6. Fans, bloggers and critics took to the Internet to review its features and functionality. Instantly, social media was hit with the apparent news that the iPhone 6 bends in people’s pockets during day-to-day activities. Whether or not this was the case, the notion had taken storm and was spreading virally. It seems that the already growing concerns are becoming more prominent in the consumers mind. However, Apple released a defending statement on the 26th of September 2014. They disclosed that only 9 customers have complained about their phone being too “flimsy”. They also defended their stance regarding the durability, by boasting their glass was the strongest in the industry and the phone contained inserts that reinforced stress locations. Furthermore, Apple stated that before launch the iPhone 6 went through a series of testing to ensure it was up to day-to-day use. The regarded the matter of bending as “extremely rare” and should have no problems withstanding normal use. (Reed,......

Words: 323 - Pages: 2

Premium Essay

Apple Organizational Behavior

...Organizational Leadership and Structure at Apple Inc. Steve Jobs began Apple Inc. with the notion of “One person- One computer” in hopes of having a personal computer that could be easily used by anyone. As of September 2010 with 46,600 full time employees and 2,800 temporary employees and contractors, this notion holds true today (Apple Inc., 2010). Over the years of Apple Inc. development changes in organizational leadership and structure occurred. Apple’s mission of “changing the world by bringing computers to the masses” brought multiple changes within the company that became a hindrance and a benefit to the company’s growth (Freedman & Vohr, 1989). Under co-founder Steve Jobs and CEO A.C. Mekkula in 1983, then Apple Computers Inc. was under a centralized organizational structure. The authority to make decisions was restricted to higher level management and these managers would still report to Markkula (Schermerhorn, Hunt, Osborn and Uhi-Bien (2010)). Apple’s structure consisted of five product divisions, four product support divisions and numerous administrative departments. These divisions would report to Jobs and Mekkula and final decisions would rest with them. This division created divisions within the company, and newly hired CEO John Schulley stated “As a member of the executive staff, I came away with a clear impression that there wasn’t a common understanding of the company we were trying to build. In fact, there were many, competitive fiefdoms...

Words: 659 - Pages: 3

Premium Essay

Apple Manufacturing in China

...Apple Manufacturing in China I became extremely interested in the topic of the United States not manufacturing in its country after everyone in class said which country their t-shirts and sweaters were made in. Not a single student said they were wearing something that was made in the United States. This should not be a surprise to me since I work in retail and everything I help to sell is from out of this country, but it caught my attention. Why doesn’t America manufacture in its country? After surfing the web for a while I came across a couple articles that helped me to understand why some companies, like Apple, do not manufacture in the states. Several companies decide to open facilities in foreign countries because of lower costs and the opportunity to enter new markets. There are several reasons why companies decide to have their products manufactured outside their home countries. One reason why companies operate in foreign countries is because of the operating costs. Several foreign countries offer operating costs at lower prices. This includes a lower labor cost. There have been some companies that reported they saved as high as 50% in payments for salary due to operating in foreign countries (Joseph, n.d.). The savings in costs is probably the most obvious benefit to operating outside home countries. Business owners can get their work done at lower costs to the company. The wage differences between countries of the west and countries of Asia helps businesses to......

Words: 802 - Pages: 4

Free Essay

China Products

...at the cases of many products, you wouldn't be unfamiliar with the words "made in China". More than 80% of products are made in China. These products are cheaper, more beautiful and delicate than those made elsewhere because of China's technology, its productivity, and its economy are in a stage of high pace development. In addition, China has an advantage in population that other countries do not have, which creates a cheaper labor force. Consequently, more and more investors decide to establish their produce factories in China in order to reduce their production expense. However, not every made-in-China-product is genuine. There are lots of Chinese companies that are producing fake or imitational products and then inject them into the Chinese market. Consequently, fake products play an important role in the Chinese market. It's a pretty big problem because the fake products reduce the original companies' profit, decrease designer's passion, and produce so much inconvenience. It is clear that the fake product-problem has to be solved in the future. The existence of fake products is the 2nd largest problem of Chinese market economy. It would reduce some original companies' profit and increase transaction expense of consumer. Because the market of a product might be seized by its similar but fake products, the company need to spend great sums of money to attack the fake products company. The purchaser also needs to spend lots of money to avoid fake products when a transaction......

Words: 1042 - Pages: 5

Premium Essay

Apple Products

...Apple Products MKT/471 November 11, 2015 Microsoft was created in 1975 by Bill Gates and Paul Allen. These two entrepreneurs created the world’s first operating system that became a household, and business, name. Microsoft’s mission is to “Empower every person and every organization on the planet to achieve more” and their strategy is to “Build best-in-class platforms and productivity services for a mobile-first, cloud-first world” (Microsoft, 2015). Their integrated system is heavily used in today’s market with their dominate competition being Apple. Currently their product that hit that market last month was Windows 10. This system is supposed to be a new sleek design that is replacing the horrible software of Windows 8. Windows 10 brought over the touch screen capabilities as well. Currently, it is offered as a free upgrade with the possibility of an individual being charged for this software after one year of being on the market. Microsoft also offers discounts on other software programming to teachers, students, and even business professionals. This product can be found online and most computer retail stores. Windows 10 is supposed to change the way people interact with their computers. “Windows 10 is the first step to an era of more personal computing, one in which Microsoft is moving Windows from its heritage of enabling a single device – the PC – to a world that is more mobile, natural, and grounded in trust. With Windows 10, applications, services, and......

Words: 1779 - Pages: 8

Premium Essay

Customer Behavior

... which is accomplished through the use of budgets. Recall from financial accounting that the primary purposes of being in business are to make a profit and to add value to a company. Budgets are forecasts of how the profits and value-added aspects will be achieved, in other words, a company’s financial plan. For example, as a manager you may be given a budget that tells you how much to spend, how many units to produce, or how many customers to process. These items will become benchmarks that management will use as measurement tools. At the end of the period, your actual performance will be compared the budget amounts to see how well you have performed. You must understand what the numbers in budgets represent and how the managers that prepare budgets determined the amounts. Why? You will certainly want to know how to maximize your performance evaluation. For example, if a large portion of your grade in this course was based on attendance, you would maximize performance by attending class every day. You may strive to process customers promptly in a business operation if that is the basis on which your performance evaluation is based. That’s where managerial accounting comes in. It will provide you with an understanding of what goes into the benchmarks by which you will be evaluated. 2 Chapter 1 – Introduction to Managerial Accounting What is Managerial Accounting? Managerial accounting is often referred to as management accounting. The Institute of......

Words: 2506 - Pages: 11

Premium Essay

Apple Product

...Cast study of Apple Company Apple is undoubtedly the world's largest and most innovative companies. Their products can always call attention from all over the world, which can promote the company's rapid growth. However, as the market become more mature and there is more competition involved, Apple’s investors should not only pay attention to the company’s opportunities, but also guard the possible threat. Now, the largest threat which Apple is facing is how to develop itself after the Steve Jobs era. Facing this challenge, the best practice for Apple is realizing the pressure and keeping in step with the times. People generally believe that Steve Jobs is the foundation and the driving force of Apple's innovation culture. It is Jobs who bring Apple from the brink of collapse to a global industry leader and one of the most respected brands. From Apple's perspective, we believe that the company's future product blueprint has been basically established within the following two or three years. So the death of Steve Jobs will not affect short-term operations. The main longer-term challenge for Apple depends on whether it can continue to foster the same culture of innovation and the policy of consumer-oriented development approach. Culture is one of the buzzwords of business school, although it cannot be measured, designed or institutionalized. However, we all know that a strong culture always plays a huge role to the company's success and brand recognition. Over the years,......

Words: 707 - Pages: 3

Premium Essay

Customer Behavior

...Consumer Behavior Paper | | 5/20/2012 | Customer Behavior Paper There are many factors that affect my personal buying behavior. I don’t earn a large salary, but I always make sure I am able to buy the best of everything, which is my buying downfall. In this very complicated world we live in, sometimes wants become more important than needs. This can explain why people take out large mortgages they can’t afford, put items on store credit, and take out large lines of credit in order to stay afloat in this economy. Sigmund Freud suggested that we are motivated by conscious and unconscious forces and that is the reason why many buyers feel the pressures in the marketing world to try to fit in and are often slaves to great advertising schemes. The seller is trying to make sure their product becomes an item in every person’s life. The only way for a marketing representative to be successful to discover their consumer’s buying influences. The first factor that influences my buying behavior would be cultural influences. In the United States, we have many expenses that many other underdeveloped countries do not. Growing up, children learn basic values, perception and wants from the family and other important groups. For example, many parents now provide their teenagers with cars, college educations, and food and support. In other countries parents are just providing food......

Words: 1103 - Pages: 5

Premium Essay

Apple Organizational Behavior

...Apple Organizational Behavior Organizational Leadership and Structure at Apple Inc. Steve Jobs began Apple Inc. with the notion of “One person- One computer” in hopes of having a personal computer that could be easily used by anyone. As of September 2010 with 46,600 full time employees and 2,800 temporary employees and contractors, this notion holds true today (Apple Inc., 2010). Over the years of Apple Inc. development changes in organizational leadership and structure occurred. Apple’s mission of “changing the world by bringing computers to the masses” brought multiple changes within the company that became a hindrance and a benefit to the company’s growth (Freedman & Vohr, 1989). Under co-founder Steve Jobs and CEO A.C. Mekkula in 1983, then Apple Computers Inc. was under a centralized organizational structure. The authority to make decisions was restricted to higher level management and these managers would still report to Markkula (Schermerhorn, Hunt, Osborn and Uhi-Bien (2010)). Apple’s structure consisted of five product divisions, four product support divisions and numerous administrative departments. These divisions would report to Jobs and Mekkula and final decisions would rest with them. This division created divisions within the company, and newly hired CEO John Schulley stated “As a member of the executive staff, I came away with a clear impression that there wasn’t a common understanding of the company we were trying to build. In fact,......

Words: 313 - Pages: 2