The typical business cycle that each business student is well versed with; a boom has to be followed by a recessionary period. Although many brands in the international markets have defied this theory, some have become victim to the business cycle. Apple’s Iphone may fall into the same category if adequate strategies are not applied in due time. Brands tend to apply revival and growth strategies to avoid the recessionary periods. Although Apple’s Iphones have witnessed a surge in sales as compared to its former models, it is still losing out on one of the largest markets of the World: China.
At one point in time, Apple’s dominance was inevitable in the smartphone industry in China where few could anticipate a giant like Apple losing out on market share. However, today Apple’s market share in China has reduced to 11.1% whereas Xiaomi is leading the market with a share of 15.9% as reported by Business Insider. Apple, at present, holds the third position in the smartphone industry of China.
Struggling with the Apple Watch followed by the scenario in China, the world’s leading market for smartphones, makes it inevitable for waves of sheer pressure to kick in at the top management. Analysts will soon start sighting uncertainty to Apple’s place as one of the dominant smart phone suppliers at a global scale.
Many analysts are of the opinion that the kind of innovation that was expected from Apple has long disappeared and today’s happenings are the just the tip of the iceberg aftermaths that should have been anticipated. It is only a matter of time that one will be able to judge, with greater precision and significance, if things were actually moving in the wrong direction.