Beats By Dre Essay Example | Topics and Well Written Essays - 2000 words

Beats By Dre - Essay Example Due to the entry of new players into the market, the level of competition is believed to be on the rise, as manufacturers adopt more aggressive and market cantered marketing approaches to reach out to new customers (Breen, 2014). Beats by Dre is a headphone manufacturing line in the united states that has gained significant prominence due to the promotion and celebrity endorsements that it has acquired in the past. The company own the consumer can access significant patent for audio technologies and some of the music from online music stores. However, as a strategy to reach out to new customers and increase influence in the market, the company has collaborated with a number of companies including HTC and Chrysler (Doyle 2011). In 2014, Apple Inc. acquired the company through a cash and stock deal worth more than $3 billion, one of the largest company acquisitions ever witnessed in the headphone industry. In this report, beats by Dre will be discussed in light of its competitive market strategies and how it performed in the face of emerging small businesses. Porter five force analyses and Ansoff growth matrix will be used to evaluate the performance and prospects for the company (Johnston, 2012). The headphone industry has emerged as one of the most attractive sectors in 2014 due to the emerging interests from music producers, mobile phone companies among others. Though the industry is still emerging from low market recognition, the reputation it has gained in the market demonstrates its great potential and future prospects. A number of small companies have entered the market and they continue to rise above the stiff competition (Akoth, 2014). One such company is beats by Dre, a headphone company that was founded in 2006 by Dry Dre, an American musician. Through a well-coordinated market campaign and market sensitization programs, the company acquired dominance and respect in the industry. This attracted major