1. Economics Project The iPad

2. Contents Project A When did the iPad first originated? How is the price of iPad determined? What are some of the related/associated products for the iPad? How are these products related to the iPad? Project B Discuss how recent developments would affect your marketing and pricing decisions for the iPad. Consumer’s point of view Producer’s point of view

3. When did the iPad first originated? 3 April 2010

4. How is the price of the iPad determined? USD 499 to USD 829 300,000 units on its debut

5. “focus on how the product would make its proud owner happier”

8. Samsung Galaxy Tab Dell Streak

10. The deaths of Japanese results in the reduction in size of working population. Lesser people are willing and able to pay for the iPad Fall in demand for iPads

11. As producers, Apple should lower the price of iPads in order to increase its total revenue. The demand for iPads can be seen as relatively price elastic since iPads are luxury goods that can be easily forgone. Also, people cast lesser dollar votes for luxury goods, especially in times of crisis. Thus, a fall in the price will lead to a more than proportionate increase in quantity demanded.

12. The natural disaster will cause households to allocate a greater proportion of their income on basic necessities instead of luxury goods like the iPad. Hence demand for iPads would have fallen. The natural disaster will cause households to allocate a greater proportion of their income on basic necessities instead of luxury goods like the iPad. Hence demand for iPads would have fallen.

14. Due to close substitutes of iPad, more people switch to the alternative (Galaxy Tab) when the price of iPad rises. This would induce a decrease in the demand for iPads. Producers would decrease the price of iPad in order to increase the quantity demanded for iPad by making the iPad more affordable. In this way, their total revenue increases.

15. SGD 998SGD 728

16. In conclusion…

17. THANK YOU!