How will apple provide products in this industry

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Apple Inc. is reported to be developing an electric car that will begin production in 2020. Tesla Motors and General Motors are expected to unveil new electric car models in 2017 that will have a longer cruising range and more competitive price point than current models.

Industry watchers believe that Apple is following a similar strategy as it did with its iPod and iPhone. With both products, other companies moved first, making and selling digital music players and smartphones, respectively. Apple learned from those efforts and then introduced a product that redefined the market and was hugely successful.

To develop the technology to compete in the electric vehicle industry, Apple has been aggressively hiring battery experts from other companies. To produce the cars, it is expected to seek an alliance with an auto manufacturer, possibly in China. In this industry, Apple may have advantages due to consumers' loyalty to the Apple brand and its ability to integrate automobiles with the other technologies in its portfolio.

Source: Higgins, T. (2015, February 19). Apple wants to start producing cars as soon as 2020. Bloomberg.

When Apple executives considered the growth potential of the electric vehicle market, currently in its infancy, they were asking which of the following questions?

How will Apple provide products in this industry?

How will Apple compete in this industry?

How attractive is this industry?

Reference no: EM131857105

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