Jobs has never been to China in his life; his successor Cook visited China 11 times, but his performance in China has declined in six quarters. On September 13, can Apple's iPhone X reinvigorate the Chinese market?
Ten years ago, on January 9, 2007, in San Francisco, Apple founder Steve Jobs introduced the first Apple mobile phone, it is almost five years ahead of other mobile phones.
The strong reaction from the market confirmed Steve Jobs’s words that the iPhone reinvented the phone. The data shows that over the past decade, the iPhone has launched more than a dozen products, with a total sales volume of more than 1.2 billion units, and sales of more than 100 million units per year. According to Counterpoint statistics, the iPhone has brought in $775 billion in revenue and $250 billion in profits over the past decade. Apple's latest market capitalization has reached a record more than 840 billion US dollars.
During this period, the Chinese market, with its rapid growth, became the second largest market in Apple's global territory after the United States. However, Jobs has never been to China for the rest of his life. On October 5, 2011, Jobs died of pancreatic cancer at the age of 56. The last Apple phone he released before was the iPhone 4. On October 4, 2011, the day before Steve Jobs died, Tim Cook released the iPhone 4S instead of him.
Unlike Jobs, Cook attaches great importance to the Chinese market and has visited Huada for 11 times. He once claimed that "to some extent" hopes that China will become Apple's largest market. However, contrary to expectations, Apple's myth left by Jobs has been fading in the Chinese market. In the second quarter of 2017, Apple's Greater China performance declined for six consecutive quarters. At the same time, in the face of the siege of Chinese Android manufacturers such as Huawei, Xiaomi, OV, Apple's market share in China fell to fifth, only 8.2%.
In 2017, Apple celebrates its 10th anniversary. Whether it can revitalize the Chinese market through new products will be a knot in Cook.
Jobs: China has passed in the future
On January 9, 2007, Jobs released the first iPhone at the Musconini Convention Center in San Francisco. After half a year, the 4GB and $599 8GB versions, which are priced at $499, were sold in the US.
After the release of the first generation of iPhone, Apple was riding the dust, making the opponent feel lost. American business media BI commented that "other competitors have used eight years to catch up with Apple."
Two years later, in 2009, the iPhone 3GS landed in China. At that time, its price was amazing. The partner China Unicom program showed: iPhone 3GS 8GB price is 4999 yuan, 16GB price is 5880 yuan, 32GB price is 6999 yuan.
Apple has triggered a buying spree in China. According to media reports, in Apple's official website, the total sales of iPhone4, Chinese buyers once accounted for 60%.
In the Apple offline store, whenever Apple launches new products, fans around the world will line up all night, hoping to get new products in the first time, sleeping in the Apple store is a common thing. In China, the same scene also adds a large number of scalpers that appear on the scene, and a large number of security guards who are trying to maintain order at the scene. At the same time, the overwhelming use of the cottage Apple mobile phone, the booming Apple overseas purchasing is a media hotspot. Having a genuine Apple phone is quite a face.
In the fourth quarter of 2011, China contributed $4.5 billion in revenue to Apple, up 270% year-on-year, and accounted for 16% of Apple's total revenue.
Jobs and his apples became myths in China. "Why doesn't China have Jobs?" "Steve Jobs, you can't learn", "If Jobs was born in China," and other topics filled the media and network at the time. The “paranoid†innovation and entrepreneurial values ​​have become recognized mainstream values ​​in the Internet and IT industry. Steve Jobs’s official biography sold 1 million copies in a month.
However, Steve Jobs has never been to China for the rest of his life, the largest apple market except the United States. In the last few years of controlling Apple, for Jobs, China is just a fast-growing market. In addition, China is a cheap Apple product assembly plant that can provide Apple with a continuous excess of profits.
China is not on Jobs’s list of priorities. In addition to the high price, the Chinese apple fans are "depressed" because the first iPhone introduced by China Unicom has no WiFi.
What makes China's fruit powder depressed is that after Jobs released new products, China is always listed in the second or even third wave. According to media reports, in the list of iPhone 4 and iPhone 4S, China is ranked behind the United States, Europe, Russia, Hong Kong and Taiwan. China has always been regarded by Apple at the time as a third- and fourth-tier market alongside the British Virgin Islands and the Cayman Islands.
Paranoia + perfectionism leaves traces
Today, Apple still has a deep trace of Jobs.
The enthusiasm for the product, the obsession with craftsmanship and design, makes Apple unique. It is this religious fanaticism that Steve Jobs laid the tone that made it difficult for Apple's successors to make subversive innovations.
Under the leadership of Apple's leader Steve Jobs, Apple completed the prototype of iMac, iPhone, ipod and other products. The iPhone is a master of Steve Jobs's aesthetics, product outlook, and values.
Jobs said: "We have all used mobile phones, the experience is always extremely horrible. The software is so bad that the hardware is not so good, everyone hates their mobile phones."
As for how Jobs' ideal mobile phone was born, he explained, "This is one of my secrets - focus and simplification. Simple is more difficult than complexity: you have to work hard to sort out the ideas and make them simple. But this is all In the end it’s worth it, because once you do it, you create a miracle.â€
Steve Jobs's iPhone did it. At the time, the big screen, the only physical key on the front, the all-encompassing App mode, and Apple's own iOS system made the iPhone a unique mobile phone.
“The iPhone 3 starts to use screws. In order to ensure the appearance, the surface of the screw must be equidistant between the lines of the circle.†“The spacing of the main parts of the iPhone4 should not be greater than 0.1 mm. This is to avoid the sandwich design.†The hair should be repeatedly rubbed on the cheeks of the iPhone4 to see if it will pinch the hair. In the requirements of the product details, Jobs's paranoia has always let the fruit powder talk about it.
However, Jobs’s paranoia also gave the opponent a chance to catch up. In order to comply with the principle that the iPhone can be mastered, Jobs stubbornly stipulated that the size of the Apple phone screen is 3.5 inches. Jobs has repeatedly said that this size is "perfect", including the iPhone4 and iPhone4S.
During the last days of his life, Jobs also planned for Apple's future new products, including the iPhone 5.
At this time, the development of smart phones to the big screen has become the market direction. Soon after, the flagship smartphones of Samsung, Lenovo, Huawei and other Android camps have been upgraded collectively, and the 5-inch screen has become the market standard.
It wasn't until Steve Jobs died that Apple gradually compromised the market and upgraded the iPhone's ever-changing 3.5-inch screen to the iPhone 5's 4 inches. But what makes the market ridiculous is that, unlike other Android machines that scale up the same screen, the iPhone 5 has chosen to stretch the body to achieve screen expansion. From this perspective, the iPhone 5 and iPhone 5S still have a strong trace of Jobs aesthetics.
Fruit powder: the successor tolerates some mediocrity design
Starting with the iPhone 6, Jobs's successor, Cook, has really begun to experiment with his own characteristics. He called the launch of each new generation of Apple a micro-innovation.
The spit of the senior fruit powder begins at this stage. In their view, these new iPhone products lack revolutionary innovation, but rely on processor, memory, screen, system upgrades to "circle money." In addition, there have been some designs that will never appear in the Jobs era. In the process, the Android camp, especially the Chinese Android manufacturers, began a small step-and-run style to catch up.
In 2014, the iPhone 6 and iPhone 6 Plus were released. The former screen was 4.7 inches and the latter was 5.5 inches. The bigger screen finally caters to the market hotspots, which has caused Apple to usher in a wave of sales. However, after some fruit powder was taken to the mobile phone, the sound of the spit was constantly appearing.
The most resounding of fruit powder is that the camera behind the new product, the white strip at the back, the wider border and the small screen ratio make it difficult for them to accept. Many users claim that although the iPhone is still their favorite, these designs make Apple's image in their minds no longer perfect.
This design imperfection is even more than the impact of Apple's antenna door and folding door on Apple users. The latter two are the two market crises that Apple experienced during the iPhone 4 and iPhone 5 period. The antenna door is due to design problems, and some users have difficulty in talking when holding the iPhone. The bent door is the extended iPhone 5. After the iPhone 6 was released, some users said that it was easy to bend in the trouser pocket. However, these crises did not have much impact on Apple sales.
The iPhone 6 design has far more impact than the antenna door and the folding door. "The lack of Steve Jobs's apple lacks the paranoia of perfection," said Fruit Powder.
Successor Cook worked hard to make a change. In 2014, Apple introduced new hardware with high hopes: iWatch Apple Watch. This is a brand new product line developed by Cook after the Steve Jobs under the pressure of the outside world, which is of great significance to Cook.
However, the market effect is not obvious, iWatch sales are flat after listing. Fruit powder is said to have a slightly thicker thickness, and the appearance is difficult to be bright, and the ease of use of the interface is also debatable, and cannot be used alone. In the absence of the iPhone, the practicality is greatly reduced. All in all, compared to other smart watches on the market, Apple iWatch is a mediocre product.
At the same time, the Android market is becoming more active. Some technological advances have not been great, but the obvious market-effect innovations have been actively adopted by Android manufacturers, especially Chinese manufacturers, such as Huawei's long battery life, dual-camera technology, OPPO and vivo's automatic photorealization and the comprehensive screen technology launched by Xiaomi. These technologies not only significantly increase the market share of domestic mobile phones, but also steadily improve the cheap brand image of domestic Android phones.
In the face of all these micro-innovations, Apple has fallen behind, from a technology trend leader to an innovative follower.
Some former Apple employees believe that Apple under the leadership of Cook has changed. According to media reports, former Apple engineer Bob Burr thinks that Cook has changed Apple from a "dynamic opportunity creator" to a "boring operating company." He worked at Apple for seven years and experienced two eras of Jobs and Cook. In an interview with foreign media, Burr said that Apple's corporate culture under Cook's leadership has changed.
2015: Apple's turning point in the world
Apple's momentum under Cook's leadership is still strong, but in the world's five major markets, the Chinese market began to sound an alarm.
After the release of Apple 4S in 2011, Mr. Sun from Beijing quickly bought the iPhone 4S for himself and his wife. After a week, his wife’s black iPhone 4S was stolen. Mr. Sun did not hesitate to buy another one for his wife, even the color. It has not changed.
In 2017, Mr. Sun switched to Huawei mobile phones because he felt that “Huawei is more business†and he also likes to try the Xiaomi bracelet. Apple is no longer his only brand choice. From Apple 4S to Apple 6,7, Mr. Sun feels that Apple's innovation is not obvious, but on the contrary, the battery life and compatibility of domestic mobile phones are improving.
The feelings of the former fruit powder have also been fulfilled in commercial data. This turning point first appeared in 2015.
According to the US technology market research company Gartner (Gartner) report, Apple's mobile phone sales in the fourth quarter of 2015 fell for the first time, sales fell 4.4% year-on-year, and the market share dropped from 20.4% to 17.7%. The report also shows that the top five sales rankings are Samsung, Apple, Huawei, Lenovo and Xiaomi.
Behind the decline of Apple is the rise of domestic mobile phones. In the fourth quarter of 2015, in this downturn, Huawei's sales increased by 53% year-on-year, and its market share increased from 5.7% to 8.0%.
In China, domestic mobile phones are struggling to catch up, after the reshuffle of domestic manufacturers, Lenovo is squeezed out of the top five, OPPO, vivo continue to rise, Huawei and Xiaomi continue to develop black technology in the dual camera, comprehensive screen, domestic mobile phone market It has become very lively, and Apple has experienced a six-quarter decline in revenue in China.
In August 2017, Apple released its second-quarter earnings report, and only the revenue in Greater China fell for six consecutive quarters. In the third quarter, Greater China's revenues were US$8.004 billion, down 10% from US$8.848 billion in the same period last year. It is the only one in the world's five largest markets.
Not only did revenue decline, but Apple's shipments also fell in China. According to a survey conducted by the US research company IDC on the second quarter of the China smartphone market on August 3, Apple's shipments decreased by 7.6% year-on-year, and the ranking dropped from the fourth in the first quarter to the fifth. The winner of the championship is the domestic mobile phone Huawei.
After realizing that the Chinese market is “difficult to engageâ€, Cook is also constantly adding to the Chinese market. In addition to frequent visits to China, he has changed the tradition that Jobs has never visited China. Apple has also opened four R&D centers in China in the past year. Located in Beijing, Shenzhen, Suzhou, Shanghai. Previously, Apple has not set up a research and development center in China.
On September 11th, multiple channels reported that the Chinese page will appear at Apple's new product launch conference, which is the first time in Apple's history. In addition, Apple also cooperates with Youku, iQiyi, and Tencent Video. The three websites will simultaneously broadcast live conferences, and will also provide Chinese translations on their own. Obviously, Cook hopes that the release of new products such as iPhone X will reinvigorate the Chinese market.
Opinion 1
"Apple's self-core innovation is difficult"
Industry observer Hong Shibin believes that Apple's decline is inevitable. Apple's mobile phone is a closed loop, not an open ecological chain, so convenient to use without Android. When it first appeared, Apple quickly took over the dominance with its advantages of stability and operability. However, the Android system is constantly improving, and it is bound to divert a batch of fruit powder.
“Apple is in a period of innovation and comfort. It is difficult to form a new innovation node without a driving force. However, it is necessary for Apple to find a new development baton and it is difficult to innovate itself. Then invest in innovative product tracks, consolidate performance, report, and utilize External investment makes up for the lack of internal growth," said Hong Shibin.
Opinion 2
"Apple missed the app ecosystem"
"If Apple can establish an application ecology, it can completely create a new world, but unfortunately it missed it." IT analyst Tang Xin said that Apple under the leadership of Cook is more strategically focused on horizontal exploration, but lacks vertical thinking. . In the past ten years, Apple has tried a lot of new hardware, but it is hard to call success.
There are voices in the industry that, from iphone6 ​​to iphone7, the appearance of the Apple mobile phone has not changed much in three years, and the function does not seem to give too many surprises. The “micro-innovation†advocated by Cook is actually the lack of innovation ability.
"Innovation is always accidental, and imitation is inevitable." For the lack of innovation in Apple's mobile phone, Tang Xin said that if Jobs created the iPhone is an accident, then Cook's gradual exploration on this basis is a return to the enterprise. At normal pace, the existence of Jobs has made the outside world have too much expectation for Apple.
Opinion 3
"The closure of the IOS system limits the development of Apple"
"In the field of smart terminals, Apple's market share is very limited, whether it is watches, stereo or TV. In addition, Apple has made a contribution in the automotive and VR fields, but the returns of these products are relatively limited, and there is no financial report. "Bright contribution", the telecom industry independent analyst Fu Liang said, "The key to Apple's next five years is to extend the advantages of the past 'people's era' to a broader field." Looking at the moment, facing the popularity of IoT and smart wearable devices, whether Apple can launch a breakthrough product is the key to whether Apple can continue its glory.
"The closure of the IOS system has once made Apple's glory, but now it has limited the development of Apple." Fu Liang said that in the field of smart terminals, the operating system gives users a differentiated experience, making users willing to spend thousands of dollars. Money to buy apple products. However, in the battlefield of the Internet, users pay more attention to the manifestation of local functions, and the operating system is no longer a decisive factor. Therefore, in order to obtain more partners and reduce the cost of obtaining customers, Apple's closed and high premium will not work.
Editor in charge: Li Qun
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