Apple and Disney Case Studies
April 2015
Introduction
Different consumers all across the world have different preferences with regard to new and existing products. In this regard, this paper seeks to analyze different cultural perspectives portrayed by consumers. It will address the manner in which the Japanese market reacted to the introduction of Apple’s IPhone which was considered as genius products in some parts of the world. On the same note, the paper will focus on how Hong Kong consumers received the conservative shark’s fin soup.
IPhone in Japan
While introducing the product (IPhone) to the Japanese market, Apple, the company banked on the success stories of other products that had performed relatively well in that country. These were IPods and computers. Furthermore, projections had placed the sales at more than a million products. However, that did not happen. The products were not positively received in the country despite good features that manufacturer thought would suit the Japanese market (Kane, 2008).
One of the biggest mistakes made by Apple was the reliance on the 3G platform that the product had. Japan conventionally had been accustomed to phones that offer 3G internet. This meant that all other phones in the market had been installed with the 3G internet and IPhone did not amuse them. Another flop was evident in the touch screen concept installed in the IPhone. According to Japanese consumers, that feature was cumbersome to use.
The reality within the Japanese market was that most of the phones sold in the market had some of the most sophisticated inputs and technology. This is due to the fact that Japan is one of the most techno savvy countries in the world. Apple had the question, “What the IPhone did not have that Japanese wanted?” and not, “What the IPhone really had?
Apple could not bank on the prestige that its products offer in other market particularly Europe and America where, despite the relatively high price the products (IPhone) are bought due to the prestige associated with them. Naturally, the Japanese market has always shown little concern for European and foreign products and this is evident in the performance of Nokia and Motorola. Apple should have, at least, learnt from those companies’ failures in the Japanese market (Kane, 2008).
In a nut shell, IPhone’s inability to permeate the Japanese market was a result of high price as well as the markets cynicism given that the country has advanced technological knowhow. Most phones in the market already had the characteristic features that Apple wanted to introduce.
There is significant difference in consumer perception and characteristics between Japanese and other European countries. The IPhone which would ideally target the youth did not succeed because the youth (target market) were relatively reserved and did not have “materialistic tendencies”. They were equally picky on products (Leonidour ET AL, 2010).
The Japanese market also had some general characteristics that were unique. Prior to the introduction of the product into the market, the country had experienced economic downturn that had been persisted for more than twenty years and that meant that price of any commodity was high would receive little reception. Similarly, the Japanese culture advocates for relative calm with respect to property ownership; they are not as materialistic as other markets in the world (Kane, 2008).
For Apple to succeed in the Japanese market there was need to understand the cultural undertones. Like other successful companies in that country, Apple should have carried extensive research that stem from retailers and wholesalers.
Apart from extensive research Apple would have permeated the market by providing the market with what the customers really needed. For instance, at the time of entry into the market, most of the consumers were looking for “Emoji’, a feature within the phones that helps in writing more appealing emails. It was commonly used in the Japanese market then. Inability of Apple to put it in the IPhone meant that not many people would resonate with the IPhone. Similarly, Apple should have increased the sales by advancing technological ability of the IPhone. In Japan, for example, people can use their phones as debit cards as well as train and bus passes. Apple had paid little or no attention to such ideas, yet that would have made the product more appealing to the Japanese market.
Today, Apple continues to make good sales in many parts of the world. The company is on the verge of rolling out its most recent payment features installed in the phones. These features allow consumers to make purchases with their phone.
Maslow’s hierarchy of need played a role in the predicament. The hierarchy provided that people have different needs and people do different things to fulfil the needs. In this context, Apple should have come up with a clear mission with regard to what the customers wanted (need). On the same note, they should have incorporated what the customers valued. In that regard, the company would have known what they were offering to fulfil both what the customers needed and what they wanted. With such kind of information they would have formulated a plan that would have succeeded. In essence, Apple failed in identifying the psychological factors that motivate customers to purchase (Leonidour ET AL, 2010).
Apple should have ranked the needs of the Japanese market to identify the category where purchase of the phone (IPhone) would fit. In that regard, they would have known to make the products sell in the market.
However, Apple was able to learn from its mistakes and is currently recognized brand in the Japanese market. For example, the company’s IPhone 6 sales were impressive to the extent that they are threatening to throw Samsung (its competitor) out of the market. The sale of IPad rose by 46% in 2014 and that demonstrates that the company has positive prospects in Japan.
Disney Case
Disney parks spread all over the world are synonymous with money making events such weddings, and other similar events. In this regard, Disney decided to make shark fin soup that was served at Disney Park in Hong Kong. Essentially, the company had good intentions of showing their supporters and consumers appreciation for sticking with the company. The company has shown their appreciation by serving Fin Shark soup which is popular in that region (Bradsher, 2005).
The company’s intentions were met with criticisms and counter criticism from environmental organizations who protested that the soup was made from rare species. Evidently, the discomfort showed the major difference between the Chinese and western markets.
Like in other products, Chinese markets showed their disapproval of products associated with other countries in the world other than their own. In this respect, Disney sought to cater for the market by selling products that are associated with the locals.
To attract the local consumers, the company made some alterations such as reduction of price and redesigning of décor that reflected the Chinese culture. That approach increased the sales of the company with regard to that product since more people visited the park.
The success story was attributed to, ability of the company to play to the tune that satisfied the psychological feelings of the locals. The alterations such as price and the décor that represented the Chinese culture appealed to the Chinese customers.
In order to permeate new cultures, there is need for flexibility and great tolerance and respect of other cultures. Consumers would love to see products that reflect their culture and this is the approach that Disney had. Even within the Chinese market there was diversity and this meant that, in order for the company to deal with the market, there was a need to have products that advocated for diversity. For instance, the company demonstrated appreciation of Chinese people by depicting the Mao culture of the Chinese. Both “Minnie” and “Mickey” were placed in manner that demonstrated a Chinese make over. In turn, the creative resonated with a majority of the Chinese people (Bradsher, 2005).
Disney is a well-established brand that has built brand loyalty in many parts of the world. The company has appreciated diversity and made specific products for different people of the world. Diverse products have, over the years enabled the company to enter many regions of the world. Within the Chinese market the company used the traditional, yet respected meal of a Fin shark’s soup. It was a big risk given that the company was not a Chinese home grown but it was successful because it gave consumers what they were looking for. The soup is occasionally used in events where many people gather such as weddings and that made people overzealous. In this regard, it was evident that the company mastered the culture of the target market (Chinese market) and gave what they identify themselves with.
Disney’s success was attributed to the value of the Chinese culture attachment to the fin soup. Within the Chinese culture fin soup depicts high levels of kindness prestige and philanthropy. In that regard, most Chinese of all walks of life have high regard for the meal. As a result, there were restaurants that banked on the prestige attached to the meal and gained since in some occasions the price goes high. The decision taken by Disney was timely because it relied on the cultural attachment and that, easily, resonated with the locals.
Despite the success story that the company achieved in Hong Kong, it had other potential problems in other parts. Like other restaurants that deal in the fin shark, it received wide spread condemnation from activists who were against the process involved in harvesting of the fin shark. The condemnations were wide spread and that meant some actions on the part of hotels that often served the fin shark soup delicacy.
Disney faced some opposition when they attempted to introduce the success story at West Main Street and eventually bowed to pressure. As a result many other restaurants devised means of adopting the required change and other delicacies are preferred.
Disney management acknowledged the company is still on the learning trend. For instance, the company realized that the customer base increases with time given that Chinese people have more meals than traditional American market .In that respect, the management has a duty to learn more about the Chinese culture. Given that Chinese people are more conservative, permeating that culture is a critical requirement for any business venture in that country (Bradsher, 2005).
Conclusion
The paper has demonstrated that cultural dynamics involved when an organization takes its business to another part of the world. Both Disney and Apple are well established brands that sell different products all over the world. Despite that brand tag, they had to endure high level of flexibility to fit in the international market. As a matter of fact, Apple slightly stumbled because of the inability to foresee the social cultural dynamics in the foreign market. For Disney, it became clear that the tastes and preference and eating habits are different in different parts of the world. In turn, Disney modified the American culture so as to fit within the Chinese market. Apple also suffered as a result of underestimating the international market. It is clear that despite globalization, the market is not homogenized. Different places have different cultures and that explains the variations in the two markets China and Japan. Success is dependent on the ability to understand the foreign market. The company that succeeded understood the market while the one that failed did not understand the market.

References
Leonidour, L. C., Barnes, B. R., Spyropoulou, S., & Katsikeas, C. S. (2010). Assessing the contribution of leading mainstream marketing journals to the international marketing discipline. International Marketing Review, 27(5), 491-518.
Keith Bradsher, (June 17, 2005) “Chinese Delicacy Has Disney in Turbulent Waters,” New York Times, , C1, C7.
Yukari Iwatani Kane, (September 15, 2008) “Apple’s Latest iPhone Sees Slow Japan Sales,” Wall Street Journal,, B3