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Title: Five Forces In Mp3 Player Industry

Essay Details

Subject: Business
Author: Wayne R
Date: January 21, 2014
Level: University
Grade: A
Length: 2 / 448
No of views: 0
Essay rating: good 0, average 0, bad 0 (total score: 0)

Essay text:

by introducing new products or adding new technical features to improve user friendliness). Apple is currently the dominant market leader (market share ca. 65-80 %) and follows a powerful competitive strategy. However, this increases the competitive pressures on the rivals of Apple, which are fighting to win a bigger stake in the growing market by winning new customers, expanding to new regions and taking away market shares from Apple...

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Consumers have strong brand preferences and a high degree of loyalty (e.g. iPod-users). Moreover, complementary online stores (e.g. Apple`s iTunes, Sony`s Connect) create “lock-in effects”. As a consequence, switching costs for customers are considerable and persuading them of a new brand will be very expensive...

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