Not enough new iPhones, strategy or supply chain challenge?

An article in the Wall Street Journal titled “Why There Are Never Enough New iPhones” (September 18, 2017) describes the new iPhones launched in September 2017 as being available only in November, with possible delivery delays. The introduction if many models, with significantly different price points, complicates forecasting demand. The tweaking of design details by Apple, Just-in-Time manufacturing, a complex parts supply chain, just one supplier of the new OLED screens, competitor Samsung’s independent division, add to challenges. Is the delay period, when customers preorder, a strategic choice to improve demand forecasts? Will Apple’s financial forecasts, that are in advance of sales, a reason to be conservative in providing suppliers with orders? Should Apple release its products in versions rather than tweaking designs until the last minute?

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About aviyer2010

Professor
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