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Details
Case Code: CLIBE014
Case Length: 2 pages 
Period: --  
Pub Date: 2005
Teaching Note: Not Available
Subject :Business Environment
Price:Rs.50
Organization :--
Industry :--
Countries : --

Apple in Japan*

 

ABSTRACT

The caselet describes the stiff opposition that Apple computers recently faced in Japan. It also takes a look at how Apple lost its pre-eminent position in the US market and the strategies it adopted to regain this position.
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Issues:

  • Apple's strategies to penetrate the Japanese PC market.
  • Insecurity among the domestic players.
  • Why did Japanese consumers replace their old PC with the Apple's Mac.
  • Japanese government protecting the local PC makers.
Introduction
The California-based Apple Computers (Apple), the leading manufacturer and marketer of micro processor-based personal computers and related computing solutions known for its user-friendly Macintosh (Mac) computer, generated revenues of $358 billion in the last quarter of 2000.

However, it saw a sudden spurt in competition, with many new PC manufacturers trying to lure away its customers. It faced the stiffest competition in Japan and saw a fall in its market share in that country. To compensate for this, Apple tried to increase its US market share by cutting prices.

Questions
1. Apple is contemplating on two options. Which one, according to you, should it pursue?

2. Do you think the Japanese government is right in interfering to reduce the dominance of Mac in Japan? Discuss in detail.

Keywords

Apple Computers, Macintosh, International trade policy reforms, Japanese PC market



* This caselet is intended for use only in class discussions.
** More comprehensive case studies are priced at Rs.200 to Rs.700 (US $5 to US $16) per copy.