App Analysis Essay on Fitbit

The wearable device market is highly competitive and also dynamic regarding technology and product. The wearable device market is made by multiple companies that create products that substitute each other. The major differentiation in the wearable device market is the functions of the wearable devices with some serving and health monitors while other wearable devices are meant to make a fashion statement of complement the fashion of those who wear them. Technology is a major source of competitive advantage with many consumers opting for devices with more smart functions.

What competitive advantages does Fitbit possess?

Market share

Fitbit has a big market share compared to other competitors which makes it easy for the organization to sell more units and also makes it easy for the organization to introduce new products in the market.

Technology

Fitbit has significantly invested in technology to make their devices more effective and fashionable by collaborating with fashion companies to promote their product image amongst the consumers. Further, Fitbit aims at ensuring they can offer more functions in their wearable devices by investing highly in technology.

Pricing

Fitbit wearable devices are cheaper compared to other products by their competitors such as Apple smartwatches which are expensive. The affordability of Fitbit wearable devices has increased the organization sales and revenues which is important to the organization sustainability.

What advantages do the competitors named in the case have in the wearable device market? What other brands (not mentioned) have similar advantages that could give them the potential to enter the market?

Resources

Fitbit competitor such as Apple Inc. has vast resources which can be used for research, marketing and also buying competing firms which gives Apple Inc. more market share and technology.

Technology

Apple and Samsung have high technology and designs which are appealing to their consumers. Apple and Samsung have technology which is appealing to their consumers who love new functions and applications of their wearable devices.

Lenovo Vibe band which is a product from Lenovo Company is another newcomer that poses significant competition to Fitbit because of their fashionable designs and advanced technological functions which has enabled Lenovo to create long battery able devices.

Comparing the positioning strategies adopted by each competitor, which one do you think will be the most effective? Is there room for more than one player in the market?

The positioning of the wearable devices as fashion based products will be the most successful positioning because of the universal market available for the wearable devices. The positioning of the wearable devices as fitness and health motors is not successful because most of the consumers stop using the products after some time. However, positioning wearable devices as fitness products will limit the market potential of the products and such organizations will lose to organizations producing universal products.