Chapter 3 IS THE IPAD A DISRUPTIVE TECHNOLOGY

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Jessica E.

Laran

Chapter 3: IS THE IPAD A DISRUPTIVE TECHNOLOGY?

1. Evaluate the impact of the I PAD using Porter's competitive forces


model.

 Traditional competitor:  They convinced to the users that they need to


change their mind to choose a new, handheld product and gadget to
with functionality which is the i Pad. iPad has so many competitors
such as Scroll Motion and Kindle reader.

  2) New market entrants. Ipad that contains cool color display, Wi- Fi
Internet connection, high speed cellular networks, and over 250,000
applications available on Apple’s App Store and watch to video, music,
text, social networking applications and video games. For the mobile
business users, that product give them high efficiency, saving their time
and can use everywhere they want to use. So company’s traditional
delivery platform investing decreased and their investment for the new
digital platform increased well. Using the new digital platform people
can use additional features such as dictionary, glossary, quizzes, page
numbers, a search function, and high-quality images so that the
customer’s impression increased faster and people became to
choose iPad.

 3)Customer. The company started to work with Amazon that


technology platform provider and the largest distributor of books in the
world to use a tiered pricing system that giving publishers the
opportunity to participate more actively in the pricing of their books. For
example: Apple company provided to charge $12 to $14 for e-books
and it gives a high amount of money like a 30% fee on the all e-book
sales.

 4) Suppliers: Constant to the Amazons, Apple has one advantage that


publisher can offer better price than Amazon and also given deal to
publisher using Apple service.

 5) Substitute product or services. Customer will chose for the lowest


price for the contrast of Amazon pricing and iPad pricing. So customer
chose for the Apple because it has the lowest price and so many
opportunities to I PAD service use.

2. What makes the iPad a disruptive technology? Who are likely to be the
winners and losers if the iPad becomes a hit? Why?
  Actually disruptive technology is a new technology that better than old
one, also it can be supplant old technology. People will use only new
technology instead of using old one. For example tablet computers had
simple activities before, but I pad have many improvement such as
gorgeous 10 inch color display, a persistent WI-FI internet connection,
potential use of high-speed cellular networks, functionality from over
250,000 applications able to on Apple`s App store, and ability to deliver
video music, text, social networking applications, and video games.
Also The I Pad has some usage for mobile business users but
professional scientist said it will not supplant laptops or net-books in
the IT world.  This is first fact of I pad is disruptive technology and I
already mentioned about improvement of the I PAD those thing will
makes the I PAD a disruptive technology.

 In Additionally E-book publisher was the winner because they


permitted to make sell their products. Many of the largest textbook
publishers are permitted too. However loser was Amazon and Kindle

3. Describe the effect that the I PAD is likely to have on the business model
of Apple, content creators, and distributors.

 The effect is I PAD will have high quality content from all the types of
media offers by Apple. IPAD become the chosen device by mostly
content creators to distribute their content because Apple has set a
tiered pricing system. I think Apple need to understand market situation
because they were just focus on price, but they still did not solve their
some problem for example they can`t install the others electron
devices. May customer will satisfy with them.  

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