Apple Rocks--Again!
Topic Introduction to Marketing
Key Words Four Ps, marketing mix, marketing strategy
InfoTrac Reference A126169947
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News Story 

To say that Apple Computer, Inc. had an outstanding year in 2004 is an understatement. With the production of its white-hot iPod music players, speedy G5 computers, and eye-popping ad campaigns, the Cupertino, CA computer maker achieved a level of marketing perfection that most businesses can only dream about. Apple's performance earned kudos from business analysts and industry leaders alike, and the company was named Advertising Age's Marketer of the Year for the second year in a row. If that wasn't enough, Apple's revenues skyrocketed, triggering a quadrupling of its stock price.

So what is Apple doing right, besides everything? Analysts generally attribute Apple's success to three big moves. First, Apple set out to become the leader in digital music. Not only did Apple create the iPod, but it also produced an entire music culture to support its sleek digital music player. Apple's next streak of brilliance involved integrating the iPod music system into an entire line of computer products, from iMacs to PowerBooks. Finally, the computer giant rolled out a retail strategy that sanctioned the opening of high-tech retail boutiques in prestigious shopping locations, each patterned after flagship stores in New York City, Chicago, and San Francisco.

The genius behind Apple's mind-boggling success is CEO Steve Jobs, a visionary leader whose marketing moxie has evolved both through amazing successes and infamous failures. A survivor of Apple's past blunders as well as a recent bout with cancer, Jobs has more lives than many cats combined. Apple's performance is a direct result of Jobs' innovation and creativity--trademark qualities he has displayed throughout his storied career as Macintosh inventor, Pixar Studios founder, and, now, iPod maker.

Questions
1.

Briefly describe how the four Ps of marketing (product, price, place, promotion) relate to Apple Computer's success.

Source Beth Snyder Bulik, "Apple; Look Back: 2003 Winner," Advertising Age, Dec 13, 2004 v75 i50 pS10.
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