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Overview of the Mobile Phone Industry

 

A persons social stratification could also be reflected from the phone model that he or she is using (Silva, Ratnadiwakara,Zainudeen,2011). This can be illustrated by the case of Apple. The American based mobile phone manufacturer Apple produced Iphone 5c that comes in various colors to make it more attractable to consumers who is conscious of their lifestyle and outlook (Nagarkoti,2009). The outcome was an astonished and unexpected increase in sales volume (Kantar World Panel, 2014). What can be inferred from this is that targeting consumers based on buying behavior and lifestyle can help to influence the sale in the Smartphone industry. Therefore, the integration of social dimension to the policies of Smartphone manufacturers is increasingly become significant and offers a new direction of which these manufacturers should target.
             Technological.
             With the technological advances in todays society, the Smartphone industry has become more competitive as there is continuous upgrade of Smartphone features. Because of this, the purchasing behavior of consumers in the UK has changed rapidly. Consumers tend to be attracted to high-tech smartphones and therefore the later version of the same smartphone will easily replace the older version, (Higgins andShanklin, 1992). Therefore, the top Smartphone manufacturers have placed significant importance in securing a highly developed R&D department to produce the most advanced features in Smartphone. The 2014 world Research & development expenditure report showed that Samsung spent almost 10.4 billion dollar on its research and development (Willetts, 2014). Securing the most advanced technology can lead to gaining competitive advantage. For instance, Apple was the first Smartphone manufacturer that applied the fingerprint scanning system into its Smartphone in order to secure customers privacy. This innovative technology increased Apples position in the mobile phone market because customers found it to be revolutionary and showed high satisfaction with this feature.


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