Sunday, July 22, 2007

iPhone -is exclusivity the name of the game?

In United states and the rest of the world, people are crying foul over apple's decision to tie in with AT&T for the iPhone. Whether its the customers who do not want to switch over to AT&T because of their existing contractual obligations or it is the operators who want to contain the alarming churn rates, they say the same thing - "free the iphone". What most people are missing out here is the way apple chooses to position itself in the marketplace.

John Naisbitt, authour of Megatrends and Re-inventing the corporation, says, "With luxury goods, here is a paradox: Exclusivity is the name of the game, and if these goods become common and less costly, they lose their exclusivity - and their market," So, in essense, from a strategy point of view, it is in the best interest of apple to maintain the exclusivity.

1 comment:

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