Our Portion, Week 2 Stats Group Assignment
Profitability is abstract, so it is operationalized to be measure Gross Profit (= Sales Revenue - Cost of
Whether or not one possesses an iPhone or an Android seems to be the water cooler talk across America. Specific variables that differentiate the masses that chose one platform over another, include the obvious, but are not limited to; aesthetics, price, availability, and software design. Over the years, Apple has continued to invest, reevaluate and reposition its branding campaigns and products to enhance the overall user experience, but have fallen short in recruiting loyal Android users. Statistics suggest that those who choose the iOS operating platform graduate from notable schools and possess prestigious education, are working professionals, earn higher incomes, and are generally between the ages of 13-39. The core principles and features seem similar if not, quite the same between Apple brands and Android/Smart products. How can Apple increase its visibility and market share to those who do not identify with better jobs, education and income, but more importantly, with what tools, will Apple capture sales and profitability from the Android user demographic? Is the learning curve for Android users in transitioning to an Apple product greater than that of the variables above mentioned, if so, how can this be curtailed?
Comparing our company’s profitability towards competitors; management theorizes on how to reach a larger customer base that has chosen the competitions smart phones over ours. To address profitability of the company, first we must understand that increased customer base mean true profitability. Customer segmentation of Androids is that lower prices entice the lower income customers to buy from them.
Here is an example of the competitors and our operationalized financial measurements; Apple Gross Profit $11,472,000(= Sales Revenue $42,123,000- Cost of...