BUS620 Managerial Marketing
Dr. Uchenna Nwabueze
May 4, 2015
The Smartphone industry encompasses all the companies involved in manufacturing smartphones and selling the same to the public. It is a huge industry characterized by constant change and advancements. More features associated with the smartphone environment include short product life cycles, development of technologies and designs, aggressive pricing, and consumers who are price sensitive, with ages ranging from 18 to 49. In addition, the consumers are likely to have some form of college education, with annual incomes of $50,000 or more (Aviram, 2010). Some of the above characteristics of the industry, such as short product life cycles and need for rapid advancements in technologies, may pose challenges to potential entrants, reinforced brand loyalty and stiff competition. Smartphone firms have to be innovative, and invest in research and development initiatives in order to keep up with technological advancements. Moreover, they have to be able to anticipate customer needs and habits so that they offer goods and services that meet and even surpass their expectations. Although some player are dominant in the industry, the open source Android platform offers an opportunity for relatively unknown players to compete with industry leaders such as Samsung Electronics, LG Electronics, Apple Inc., and Motorola Solutions, among others.
The aim of a pestle analysis is to identify specific elements in marketing that could positively or negatively influence the marketing and sales activities in individual brands (Finch, 2012).
In 1993, Samsung Electronics chairman Lee Kun Hee altered the way the firm was conducting business: from a cost saving model to a firm that offered products that were more unique. This shift propelled the firm into being one of the top brands in the mobile phone global...