Originally Posted by phalanx
Sure. Whatever you want to believe. btw, Santa Claus isn't real.
I think the success of the latest Microsoft ads proves me right. Apple's Mac has been wallowing in the sub 10% market share for 20 years, and I don't see that changing anytime soon. Microsoft is coming off of one of its worst years and still made more profits than Apple. It is hard for Microsoft to grow its market share when it has it all. I'm sure you believe that Apple will have 90% market share soon and Microsoft will will go bankrupt. When you don't have a grip on reality anything seems possible.
Apple functions at the Premium end of the market. It isn't one big market. There are levels to it. There are consumers in particular income brackets that are locked out of Apple's demographic. This is one of the defining characteristics of any Premium product.
There are between 50-70 million Mac users. The Mac is understood as, and marketed as, a Premium product. Fewer units sold, but at much higher margins. Apple has stated quite clearly that they refuse to operate at the low-end. This means they provide a vastly different (and very attractive and coveted) user experience that people (who are able to) are willing to pay more for. Apple would not cheapen or muddy its brand image by competing on the same level with the like of Dell, for example. Either you differentiate yourself via some clear, desirable, distinguishing features, or you compete on price like the rest of the pack.
This is what has Microsoft acting so defensive: Windows still has overwhelming unit sale market share, but it is now almost entirely at the low end of the market.
There are substantial implications to Microsoft under these circumstances. Just one of the reasons they are opening these Stores. MS is trying very hard to shed its bargain-bin image. A bit late for that, though.
"Market Share" is very often misunderstood. With a fraction of Microsoft's market share, Apple is not only thriving, but it also is in a position as:
1) The industry innovator
2) The most powerful brand in the industry today
3) Producer of the most coveted notebooks and devices in the industry today
4) The one to follow. Apple does everyone else's R&D for them (apparently.)
So when you discuss "market share", you need to determine exactly which end of the market you're talking about. The lion's share of what part of the market? The Premium end of the market pyramid is near or at the top. It's much more narrow, but the consumer approaches tech (and other products) from an entirely different perspective (often not on price), with different epxectations that Apple happens to cater to. Ideally, you WANT to rule the Premium end. It's these
customers that build your brand, that make it desirable, and that will pay top dollar for what you provide.
About the whole "bailout" issue, you're wrong
(but don't worry, you're not alone - most Windows sufferers get this part wrong.) And if you don't think you are, then show it.