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Question:

Case base learning Activity: Apple introduction of the iPhone was disruptive innovation. Explain what is meant by this.

Answer :

Apple is one of the leading companies in the mobile phone industry across the globe. The company is known for its superior quality of smartphone and similar other devices. Here, it is important to note that iPhone is one of most well-known products offered by Apple.

However, iPhone can be viewed as one of the greatest failures in respect of products launched by Apple. Appleā€™s products are always having premium pricing but the features offered by iPhones are also offered by any android based Smartphones. In addition, iPhones have certain limitations. An iPhone has excessive dependence on iTunes and this is an obstacle. Again, iPhones lack universal Bluetooth file transfer and customers are often required to use Air drop for this purpose. Also, the iPhones lack expandable storage facility or micro SD card. Unattractive body size ratio and screen size are demerits of the products. This often raises questions for justifying the high price to be paid for an iPhone where the buyers can get all these features in a Smartphone offered by other companies. In fact, Samsung, LG and Lenovo have been giving tough competition to Apple in the Smartphone industry.

As regard to the product life cycle, the iPhone offered by Apple seems to be in the maturity phase of the product life cycle. This requires the company to focus on cost reduction and innovation to retain market share. However, Apple has been launching newer versions of the iPhone in the market with new features like novel apple pay for secure payment, battery backup of 80 hours and health barometer.

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