What Attracting Customers to Purchase Apple Products Research Paper

Pages: 30 (9235 words)  ·  Bibliography Sources: ≈ 9  ·  File: .docx  ·  Level: College Senior  ·  Topic: Business - Advertising

¶ … Attracting Customers to Purchase Apple Products

Investigating the reasons as to why individuals purchase Apple Inc. products.

What attracts customers to purchase Apple products?

The IT industry is the driver of change, but its own change impacts itself as well. Incremental levels of competition force the IT&C manufacturers and vendors to also focus on issues outside product quality. A question is being as such posed relative to the elements which generate the sale of Apple products, particularly the reasons as to why customers buy the respective items. The starting point in the analysis is constituted by a general look at the elements which drive customer purchase decisions, which is then followed by a complex analysis. It is finally concluded that the reasons for purchasing Apple items vary across individuals and groups and include elements such as brand strength, product quality or peer pressure. The recommendations constructed based on the analysis refer to increases in the Apple consumer base by developing and implementing strategies which attract more price sensitive consumers, older consumers and more technical buyers.

Table of contents

Chapter 1

Introduction 3

Chapter 2

Literature review 5

2.1. History of the buying behavior 5

2.2. Individuality in the purchase decision & #8230;6

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2.3. The social and cultural environments 7

2.4. The decision making unit (DMU) 8

2.5. The purchase decision within the IT&S industry 10

Chapter 3

Methodology 11

3.1. Methodology 11

3.2. The questionnaire 16

3.3 The research samples 20

a) Apple Inc. 20

b) The research sample 21

Chapter 4

Data analysis and discussion 21

4.1. The qualitative analysis 21

TOPIC: Research Paper on What Attracting Customers to Purchase Apple Products Assignment

4.2. The quantitative analysis 23

Chapter 5

Concluding remarks 31

5.1. Conclusions 31

5.2. Recommendations 33

5.3. Significance and relevance of the study 35

5.4. Questions for future research & #8230;36

References 39

Chapter 1

Introduction

The IT community is more often than not the promoter of change within the modern day society. Information Technology and Communications impacts all dimensions of life, from the way one prepares a meal to the means in which one conducts their professional responsibilities. And the technological applications are no longer confined within the boundaries of one country, but -- through the forces of globalization -- they have come to be present in all global regions.

One of the direct results of this globalization of Information Technology was the intensification of competition within the IT industry. Firms are now more than ever focused on creating innovative applications to enhance the quality of human life. The higher levels of competition within the IT industry -- just like higher levels of competition within other industries -- have materialized in a series of consumer benefits. For once, clients were presented with a wider selection of IT products and services from which to choose those that best served their needs. Secondly, in order to face the competitive threat, companies were forced to implement lower retail prices which generated the consumer benefit of more affordable and more easily accessible IT products and services. Third, the IT sector was continually innovative as companies developed newer and better products in order to remain competitive.

Aside however the technical features of the IT industry, consumers are also attracted by a series of other business strategies and decisions, such as implementation of marketing strategies -- promotional sales, discount prices and so on -- but also the development of a strong Customer Relationship Management which increases the customers' loyalty to the firm.

In this context, Apple Inc. is recognized as a reputable IT manufacturer, which has managed to consolidate and increase its customer market. Aside the innovations, Apple is also known for its focus on customer satisfaction. Given this understanding of Apple, a question is being posed relative to the reasons as to why individuals choose to purchase the company's products. In other words, the purpose of this study is that of identifying what attracts customers to purchase Apple products?

In answering this question, several study objectives are set, as follows:

To analyze the impact of the Apple products onto customers

To identify the features of Apple which best satisfy the customers

To identify which elements sit at the basis of the decision to purchase an apple product

To identify the role of the community in the purchase decision

The above objectives represent in essence the research questions. The significance of the study is a dual one, with importance for both practitioners as well as academicians. The study is structured as follows: literature review, methodology, data analysis and discussion and, finally, concluding remarks.

Chapter 2

2. Literature review

2.1. History of the buying behavior

Before launching the actual discussion as presented in the specialized literature, it is necessary to offer a starting point in the analysis. This is constituted by the following hypothesis: the purchase decision with customers is given by a combination of elements such as necessity, product features and social pressures.

The reasons as to why individuals decide in favor of purchasing or not an item are various and complex and the topic has constituted an increasing area of interest throughout the past years. In 2004 for instance Bob Kimball and Jerold Hall mentioned that the business community had undergone a series of social, economic, political and technological changes, and that these changes had impacted the purchase decision of customers. In other words, the very study of the purchase motivation needs to go beyond the traditionally assumed questions. In the very words of the authors, "in the new world of business, with its focus on partnerships and relationships, we need to take a different perspective on what motivates prospects to make an affirmative buying decision. We need to go far beyond traditional benefits and value, far beyond the basic closing skills and techniques" (Kimball and Hall, 2004).

Throughout the 1940s and 1950s decades, the decision to purchase would be influenced solely by the necessity to use the respective item. And the context was a world in which technology was barely existent, production efficiencies were minimal, competition was inexistent and the focus on customer satisfaction was not even created as a concept. At this stage, the companies manufactured whatever items they could and then sold them to individuals.

During the 1960s decade however, a major modification occurred within the industry and it materialized in higher levels of competition, which subsequently forced manufacturers to focus more on customer information. The actions were generally recognized as being market oriented and they primarily revolved around the identification of the target market and of its needs and demands. Afterwards, the company would produce and sell those respective items required by the customers (Kimball and Hall, 2004). From that point on, the manufacturers and vendors would focus incrementally on customer satisfaction.

2.2. Individuality in the purchase decision

James L. Burrow and Jim Bosiljevac (2008) argue that at the basis of the purchase decision stand a multitude of factors, but the authors believe that the two most important factors of the decision are the individual characteristics of the buyers and the socio-cultural environment in which they live. The individual characteristics are given by the elements of one's identity, specifically:

Personality

Gender

Ethnicity and Race.

The personality of the individual encompasses the emotions, attitudes, life style and behavior, all which impact the decision to purchase an item. In terms of genders, researchers have also here observed differences not only in the products and services purchased by males and females, but also in terms of the nature and type of the respective products and services.

The ethnicity of a person impacts the purchase decision to a varying degree, based on the individuality of the customer and the values of his community. While not an ethnicity, a relevant example how a community can influence a purchase decision is observed within the Amish community, where most consumer goods are frowned upon and where the necessary commodities are self produced or grown. Finally, the age of the consumer influences the type of products they would be purchasing, such as medicines instead of dippers. The age of the consumer is a great part of the marketing strategies and the differentiation is easily observable at the levels of commercials, television shows, magazines and so on addressed to a specific age group (Burrow and Bosiljevac, 2008).

2.3. The social and cultural environments

As before, the relevant example of how a culture can impact the purchase decision is given by the Amish community. Aside from this particular community however, the culture represents the means in which families are organized, the habits of the individuals, the chains of authority and so on. Within some communities for instance, the purchase decision is predominantly -- or even exclusively -- taken by the males of the family. Within other communities however, the decision is taken by mutual agreement between genders, or the decisions are divided based on household responsibilities, such as the woman will decide on the purchase of the dishwasher whereas the man will decide upon the purchase of the automobile. Finally, in a third category of communities,… [END OF PREVIEW] . . . READ MORE

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