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Business & Marketing
English (U.S.)
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Apple, Inc: Skimming Strategy To Sell The Iphones (Essay Sample)


Pricing strategy:

Look up the website and/or store of the organization you have been following. (You can pick another organization to respond to this question).
Go to the website of the organization that you are following and confirm the following:
1) Is your organization is using skimming or penetration pricing strategy - to do this search two other competitors and decide what sort of pricing strategy? (Tip: it may be easier to use one product to compare or a category).
2) Do they apply different pricing strategies for different products and services? Why?






Pricing strategy

Apple, Inc is using the skimming strategy to sell the iPhones, as Apple charges high prices for products with the iPhone smartphone being the most popular. Competitors include Samsung Electronics Co, LG smartphones that are less expensive, whereby Samsung Galaxy is one of the most competitive smartphones in the U.S. and international market. When releasing new versions of the iPhone, Apple still uses the skimming price strategy and charges high prices, but lowers the prices over time. Nonetheless, Apple is unique as the company introduces high priced products and also defends the market share by focusing on adding value. Apple Inc sells premium products, and customers are willing to pay for high prices. Additionally

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