BBED 4103
E COMMERCE
ANALYSIS OF WEB BASED STORE PORTAL IN THE MOBILE APPS AND GAMES INDUSTRY
Name : Wan Fatonah Bt Wan Ibrahim
E-mail address : wfatonah_81@oum.edu.my
Learning Centre : Greenhill Learning Centre
January 2013 Semester
Table of Content
Items Page Number
1.0 Definition of Contract 3
2.0 Element of Valid Contract 2.1 Offer 3 2.2 Acceptance 4 2.3 Consideration 4 2.4 Capacity 5 2.5 Intention to Create Legal 5
3.0 Factors of Contracts 5 - 7
4.0 Recommendation 7
5.0 Conclusion 8
6.0 Reference 9
1.0 Introduction …show more content…
of Apple Inc
Apple Inc. (Apple), incorporated on January 3, 1977 and well after 30-year history is full of highs and lows, which is what we would expect in a highly innovative company. They evolved throughout the years into an organization that is very much a representation of its leader, Steven Jobs. Apple made several hugely successful product introductions over the years. They have also completely fallen on their face on several occasions. They struggled mightily while Jobs was not a part of the organization. Apple reached a point where many thought they would not survive
Apple rarely introduces a new type of product. Thus, instead of being the pioneer, they are an expert “second mover” by refining existing products .The Company 's products and services include iPhone, iPad, Mac, iPod, Apple TV, a portfolio of consumer and professional software applications, the iOS and OS X operating systems, iCloud, and a variety of accessory, service and support offerings. Besides the Company also sells and delivers digital content and applications through the iTunes Store, App Store SM, iBook store SM, and Mac App Store. The Company sells its products worldwide through its retail stores, online stores, and direct sales force, as well as through third-party cellular network carriers, wholesalers, retailers, and value-added resellers. In February 2012, the Company acquired app-search engine Chomp.
2.1 Key Elements of Business Model
Apple is so tempting to create the secret lies in its business model. Business model is how to create and transmit customer value and company value system. Business model innovation than product innovation and service innovation is more important, and sometimes the skill of no less than the greatest technological invention.
Besides business model is an essential component of the business plan. An e-commerce business model objective is to use and leverage the unique qualities of the internet and the World Wide Web.
2.1 Value Proposition
Value proposition refers to the value a firm offers to a specific target customer segment. ICT has created many new opportunities for value creation and made value creation more efficient. This opens up three ways of differentiation from competitors. First innovation through new, complementary or customized offering. ICT allows firms to include strong and new information components into their offerings or in some cases even completely digitize their products. Through mass customization (Piller et al., 2000) for example, firms can propose value tailored to the profile of every single customer.
The value propositions mobile online gaming offers customers include economized gaming through flexible pricing options, social/collaborative mobile gaming through mobile Internet connectivity, a diversity of game choice, and the ability to play new games irrespective of the mobile phone‘s memory limitations.
2.2 Revenue Model
This element measures the ability of a firm to earn revenue, generate profits and produce a superior return on invested capital. A firm‘s revenue model can be composed of different revenue streams that all have different pricing models. For instance, an online media company could sell its contents in several different ways. It could collect subscription fees from its private customers and demand fixed prices for contents (e.g. articles, films, and sound) from its business customers. The media company may also live from advertising and sponsoring that it could sell or auction to business customers. Another revenue stream could be commissions or transaction cuts from other businesses that conducted sales through the media Company‘s Website. The new pricing mechanisms enabled by ICT should be used in order to maximize revenues.
2.3 Market Opportunity
This is describes what market space does the company intend to serve and what is its size. Basically, it is refers to the company’s intended market space and the overall potential financial opportunities available to the company in that market space. Besides the market opportunity is usually divided into smaller market niches. The realistic market opportunity is defined by the revenue potential in each of the market niches where you hope to compete.
2.4 Competitive Environment
Besides one of key element of business model is competitive environment. Basically a firm’s competitive environment refers to the other companies operating in the same market space selling for similar products. The competitive environment for a company usually influenced by several factors as below followings;
a) How many competitors are active?
b) How large are their operations?
c) What is the market share of each competitor?
d) How profitable are these firms?
e) How do they price their products?
On the other hand, firm typically have both direct and indirect competitors. For direct competitors are companies which is sell products and services that are very similar and involved in the same market segment. While for indirect competitors are companies that maybe in different industries but still compete indirectly
2.5 Competitive Advantage
Competitive advantage is one of important key elements of a successful business model in any area, not only in e commerce. Basically firm achieve a competitive advantage when they can produce a superior product and / or bring the product to a market at a lower price than most of their competitors. Besides firms can develop a global market while other firm can only develop a national or regional market.
Hence firms that can provide superior products at lowest cost on a global basis are truly advantage. In addition firms achieve competitive advantages when they have somehow been able to obtain differential access to the factors of production that are denied to their competitors at least in the short term.
2.6 Market Strategy
Lastly, six elements of business model shall be apply successfully by a firm is market strategy. As we know that the best business concept or idea, will be fail if it is not properly marketed to the potential customers. Everything you do to promote your company’s product and services to potential customers is knows as marketing. While market strategy is the plan which is we put together the details exactly and how you intend to enter new market in order to attract customers.
3.0 Analysis
3.1 Value Proposition
Among them, the customer value is what you can do for customers irreplaceable value, profit model is how you create value for our customers profit in the process, the key resource is internal to pool resources to provide value for customers. The key process is how an enterprise culture within the system and ensure the realization of customer value. Customer value proposition and revenue model are clear customer value and company value, key resources and critical process is described how to achieve customer value and company value.
Apple 's reason for technology companies dominate the world, not just critics that it is praiseworthy fashion design, but also on the surface of the star not only in product innovation, but the key is, Apple has created a new era of excellence belonging to business model . It is a change to Apple 's business model has changed the traditional computer manufacturer’s apathy and become the leader in mobile Internet era.
3.2 Revenue Model
Even a heavy Apple, iPod iTunes, iPhone App Store, iPad, has changed the traditional music, mobile phones and the publishing industry, the establishment of a new order in these three sectors, but also because of Apple 's own grasp of the hardware, software and services industry key, which dominate the landscape of the New World has become the axis of the trend.
A successful business model, the most fundamental is to provide new customer value. For Apple, the Apple user value before the means to provide them with the latest technology out of the industry, and since Steve Jobs returned, Apple began to re-examine the customer value, get rid of the old closed thinking, eclectic, maneuvers, advanced technology, appropriate cost and superior marketing skills …show more content…
combined.
Apple 's products and not particularly cutting-edge technology, but also often not the industry 's first to eat crab, but can at the right time to the right technology to the most appropriate way consumers experience designed to succeed. For example, the first digital music player, the company is not Apple, but a company called "Diamond Multimedia" company, as early as in 1998 they launched a digital music player, Apple earlier than the full 3 years.
3.3 Competitive Environment
Successful business model of the second step is a clear profit model.
Apple has two main profitable path, first by selling hardware products to get the one-time high profits, which currently provides the vast majority of Apple 's source of profit; Second, by selling music to be repetitive and applications the continued purchase of profits, compensation and access to operating platforms.
The two will be mutually profitable ways to enhance a virtuous circle. Because good design, and more than 10 million dollars of music and application support, whether iPod, iPhone or iPad, are better than competing products, the profit is much higher. Similarly, because of superior hardware and support for Apple 's high-volume, those applications are more valuable, more able to promote the development of new procedures and software, driving more and better content into Apple 's supply
chain.
Microsoft, Google and other new and old rivals angry that in the past has been a small minority, and Apple is now closed popular not only completed the turn, but still a separate entity, firmly in control of core resources and core competencies, the opening up of foreign closed, much like a tornado. Apple controls the core of this industry, and also the highest profit margin of the design, channels and marketing chain, and Apple 's hardware, operating software and the iTunes, App Store and other Apple channel platform is only applicable to the Empire itself, the outside world for technology vendors closed. Therefore, the growth of the Empire Apple Apple 's profitability also means that the stronger, so the strong get stronger in the industry.
To iTunes as an example, 2005-2009, the music download service revenue growth has remained high, even if sales slowdown in 2009, ipod music download service is still up 21% of revenue, total revenue rose to $ 4,036,000,000, in the music class services segment revenue in proportion from 16.4% in 2005 to 33.3%.Look at the App Store. As of June 2010, App Store has been to provide users with more than 40 billion free downloads, paid downloads of software ratio of about 19%, the average price of $ 1.49. Apple for each download from the user can get 29 cents a share. From on-line since 2008, App Store for third-party software developers to bring both more than 10 billion revenue increase for about 428 million apples.
3.4 Competitive Advantage
Apple 's key resource is that it has an outstanding CEO Steve Jobs, a representative of the computer industry history and independent spirit of the high-end brands, a number of industry-leading, very spirits of innovation and perfect product design and development staff. Because of the rich in Silicon Valley and Hollywood entrepreneurial experience, walk in the IT and Jobs as the film industry is almost unique among the CEO, a set of technical, artistic and strategic talent Trinity CEO. If the movie and music have to give IT Select a community spokesperson, it is undoubtedly Jobs. Jobs need only be aware of the content network, the network needs to be the right time to trust the content of their movies and music to tie to your boat.
Although Apple has in the last century 90′s gradually fading, but the brand still shine in the hearts of many people, cannot be replaced. Or the iPod case, iPod in design aesthetic, combined with a complete price system, covering high, medium and low-end product line, excellent sales program, Apple 's brand image has reached an unprecedented height. As a fashion favorite, iPod has attracted public concern, in less than 6 years, iPod has sold nearly 110 million total units, conversion of more than 1,000 companies to iPod sects. Appeared to 6th generation iPod, iPod has become a solid mass of global business trends and the number one star.
4.0 Recommendation
Is also important, jobs need to know to adapt to the exigencies of the work style and easy to find R & D personnel. Jobs he had to endure the critical, over and over again to modify products, or even completely negative, have to suffer a bit rude language approach Jobs, Jobs to have to keep thinking that half the artist 's jump. Steve Jobs has asked a designer in the design of a new computer, appearances cannot see a screw. Later, the design of the models with a screw out a little exposed the designer who put the results of Steve Jobs fired immediately. Steve Jobs always seize the core staff, and Apple is always owned or controlled all of their core technology. Apple has just entered a designer annual salary of 20 million dollars, higher than the industry average of 50%. The accumulation of years of human resources, making Apple 's elite of elite consumers in the design of a fool like an excellent product.
5.0 Conclusion
As handsets continue to represent the convergence point of personal communication and entertainment, the future is bright for mobile games. However, several fundamental barriers have to be overcome before mobile phones can offer a ubiquitous mobile gaming experience to consumers. The difficulty consumers encounter finding, purchasing and downloading mobile games are the most pressing challenges currently faced by the mobile gaming industry. New and innovative business models, such as mobile online games, that take advantage of faster cellular networks and Internet-based delivery mechanisms will enable operators to overcome a majority of issues faced by the prevalent downloads model, thereby expand the mobile gaming market to untapped consumer segments. Greater inclusion coupled with enriching mobile gaming experiences is an imperative to realize the true potential of mobile gaming.
4.0 References
Mohamad,Z et al (2010).Marketing management II. (8th ed).Malaysia. Prentice Hall
Drypen (n.d). Marketing mix Product, Price, Place, Promotion the 4ps of Marketing
Retrieved: October 12, 2011 from: http://drypen.in/marketing/marketing-mix-productprice-place-promotion-the-4ps-of-marketing.html
Kimnonis, I (2010).Product life management. Retrieved: October 12, 2011 from http:www.urenio.org
Smith,P (2003). Answer to tough marketing questions. (2nd ed).USA.Kogan page