Economics of Apple and the new Pixel Phone

Economics of Apple and the new Pixel Phone

Written by: Brianna Cieslak

Now that Christmas is just right around the corner, sales are being increase for all Apple products. IPhones, tablets and other kind of computer accessories, are flying off the shelves at all stores. With the holiday season comes a great increase in all product activity. The demand for all of Apple products increase due to Black Friday having a slight sale which increases all sales. This makes customers want to go out and spend their Thanksgiving day buying all of Apple's products for a cheaper price. The chart below has all of Apple’s IPhone sales from 2007-2015. As you can tell, each year the number for IPhones increases. It’s extremely astonishing because Apple is in a Monopolistic Competitive Market which means their competition is extremely high.

Even though the demand may increase, if Apple didn't prepare for their sale their supply may be low and all of their customers may not get the products that they want. This leads to substitution of any other kind of cell phone like the IPhone. Google has now released a new Pixel Phone which will make customers want to substitute their already owned IPhone with the new Google phone. Even though the Apple IPhone already has a high rated camera, the new Pixel Phone by Google is rated the highest smartphone camera ever. And when people run out of storage with their ICloud service on all Apple devices, Google is now offering unlimited storage for all photos and videos. This gives Apple’s customers the incentive to switch to using the Pixel Phone because of the new features that it offers. Even though Apple already has competition with the Samsung Galaxies, it now adds an even greater competitor with the new Pixel Phone by Google. With all the new features that the Pixel Phone is offering, will you switch to using a Google phone?

Attached to this blog post is a video about the new Pixel Google Phone if you’d like to learn more.  https://youtu.be/Rykmwn0SMWU

Works Cited:

@lukedormehl. "The astonishing rise of iPhone sales in one amazing chart." Cult of Mac. N.p., 2015. Web. 21 Dec. 2016.

Google. YouTube. YouTube, 2016. Web. 21 Dec. 2016.

"How Google Pixel will impact Apple's iPhone ecosystem." The Economic Times. N.p., n.d. Web. 21 Dec. 2016.

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