Vs Samsung Case Study

In society, the amount of smartphone companies that exist now compared to in the 1900s has increased dramatically. This is due to the tremendous advancement in technology and education – the learning steps to be an entrepreneur and opening a company. As the years have gone by, there has been a greater demand for smart phones. This as a result, prompted other big companies to enter into the smartphone market. As more companies enter the smart phone market, it becomes even more competitive. However; the smartphone industry is difficult to enter as there are many barriers set up by existing companies such as patents, better Research and Development, and brand loyalty. There are few sellers in the smartphone industry, and so, each company holds

In terms of the future products both companies create, Apple innovates new ideas and focuses more towards customer experiences, whereas Samsung takes a safer route and learns from its competitors while focusing more on better hardware specs. Apple’s business model is to attract and maintain its customers by having its own products link to one another, resulting in an easy to use interface. A study conducted by the Consumer Intelligence Research Partners (CIRP) in 2012-2013 surveyed 500 individuals who have bought smartphones in the past 3 months. Its data shows that rough 20% of Samsung users converted to Apple and only about 7-11% of Apple customers left and went to Samsung. It also showed that 42% of iPhone owners had owned an iPhone previously while only 43% of Samsung owners had previously owned an Android phone. For Samsung not getting Apple customers to switch, Samsung has “about 37% of its customers who comes from a basic or non-feature phone while Apple only has 26% of its customers upgrading from these lower functionality phones”

They are constantly researching, and modifying each other’s products in order to release their own with more innovative features. Both Apple and Samsung pour in billions of dollars for R&D (Research and Development) in order to stay ahead of each other. They both provide barriers against people who wish to enter the smartphone market through having built Brand Loyalty in its customers, and its constant R&D (Research & Development). Furthermore, Apple and Samsung are able to finance their own advertisements, and analyze their competitors and consumers through