Research On Apple 's Pricing Strategy Based On Customer' S Cognitive Value

With the changing business environment and competitive situation, the development of pricing theory has occupied a central position in marketing.FMCG industry, aviation, etc,in view of the demand for adjust the price fluctuation; telecommunications charges and product segments bound by ongoing product innovation and adjust pricing strategy.How to achieve a more profitable price, has been widely attention and research. Pricing theory and methodology has been continuously developed and improved.The development of consumer electronics broke the pricing cost-oriented and competition-oriented,enrich the theory of pricing based on value-oriented.With the development of mobile Internet, the type of mobile devices and services increasingly diversified, the kinds of consumer electronics products and services price decision is of great significance to the enterprise development and market competition.According to the consumer electronics industry characteristics of products and services,andto explore the pricing models of consumer electronics products manufacturers andservice providers for the market development and consumer’s purchase decision has practical value.In this paper, we analyzed the consumer electronics products, about the technical characteristics, the cost structure, the competitive environment, and the business model, to illustrate the relationship between price and various influencing factors. In the consumer electronics market, Apple is undoubtedly the representative one. Apple introduced the products, such as iPod, iPhone, iPad, etc., which not only is popular in the world, but also revolutionized the MP3, mobile phone and computer industries. The core of Apple’s pricing (which is also can be named as the development of enterprises) is value, which is based on customer perceived value.Therefore, this study focused on Apple’s pricing strategy, on the basis of introducing the general common pricing strategy of consumer electronics products.The main analytical tools are Customer perceived value of five-dimensional model, Porter’s five forces competitive model and product life cycle theory. We used these tools to investigate several issues of Apple’s pricing strategy:how did the product’s features and utilities effect the consumer perceived value; combined the pricing model and value which is percepted and recognized by customers, to explore the effects of pricing strategies on consumers and corporate profits for market on the basis of competition and product differentiation; we discussed that, in different market segments and business models, the pricing theory and models effected the corporate profits, and to explore the pricing strategy of Apple iPhone+App Store innovation model.This paper is divided into four parts, the first part is the background and literature. To introduce the development of the Pricing theory, and the pricing model of different market structures. The second part is the theoretical basis and methods. Analyzed the factors affecting the pricing of consumer electronics products, and pointed out the applicability and limitations of the main pricing method. The third part is the key point of this chapter. After introduced Apple’s development process, and analyzed the Apple products’ competition in different market segments, We analysed deeply the pricing strategies under different angles and conditions for successful implementation, from the perspective of strategy, product line and business model. The fourth part is the conclusion. We identified the shortcomings of pricing strategy, gave suggestions for improvement, and identify the inadequacies and prospects of this research.