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Demand Supply WebQuest 2011. Market for iPads. Gulliver’s Economics Team Oscar, Vanessa, Xue Ting and Gabriel. Producer: Oscar Lee. Outline (Part A). Introduction to iPad When did the iPad first originate? How is the price of the iPad determined?

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Demand Supply WebQuest 2011


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    1. Demand Supply WebQuest 2011 • Market for iPads Gulliver’s Economics Team Oscar, Vanessa, Xue Ting and Gabriel Producer: Oscar Lee

    2. Outline (Part A) • Introduction to iPad • When did the iPad first originate? • How is the price of the iPad determined? • What are some of the related/associated products for the iPad? How are these products related to the iPad? *All prices stated in the following presentation are in United States Dollars (USD) unless otherwise stated.

    3. Apple iPad

    4. The iPad Story • Pub Trivia

    5. Announced on January 27, 2010

    6. Launched on April 3

    7. 16GB, 32GB or 64GB

    8. Wi-Fi only or with 3G

    9. 9.7” 1024x768 screen

    10. A4 Processor @ 1GHz

    11. 256MB RAM

    12. 400,000 Apps on the App Store

    13. Starting from $499

    14. 300,000 sold on launch date

    15. 12,000,000+ sold to date

    16. The iPad Story • How was pricing determined?

    17. Production Cost per Unit

    18. $229.35* to $346.15** *For Non-3G iPad 16GB **For 3G iPad 64GB

    19. Profit per iPad

    20. $269.65* to $482.85** *For Non-3G iPad 16GB **For 3G iPad 64GB

    21. iPad 16GB Wi-Fi

    22. iPad 64GB Wi-Fi+3G

    23. Equilibrium Price • What potential customers were willing to pay for such a new pioneer in the market?

    24. A sub-$1000 price was rumoured for a long time by consumers

    25. The iPad Story • Competition

    26. Launched with no competitors

    27. Competitors finally emerge...

    28. Quite a long time later

    29. Samsung

    30. Toshiba

    31. Research in Motion

    32. HTC

    33. Hewlett-Packard

    34. LG

    35. Asus

    36. Acer

    37. Dell

    38. ...

    39. They tried to replicate the success of the iPad

    40. Samsung launched the

    41. Galaxy Tab

    42. The iPad Story • Comparison • Samsung Galaxy Tab vs Apple iPad

    43. Touch-screen Tablets:

    44. Processor • Cortex A8 @ 1.0GHz • vs • Apple A4 @ 1.0 GHz

    45. RAM • 512MB vs 256MB

    46. Flash Memory • 16GB Built-in + MicroSD Expansion (up to 32GB) vs 16GB/32GB/64GB

    47. Battery Capacity • 4000mAh vs 6600mAh

    48. Battery Life • 7 hours vs 10 hours

    49. Network Connectivity • Wi-Fi+3G vs Wi-Fi only/Wi-Fi+3G

    50. Cameras • Front & Back vs None