This is a leading distributor of technology devices and IT solutions. The company is operating in more than 11 countries and is offering its services in more than 25 countries worldwide. Aptec was started in the 1970s as a research and development firm in London. In 1986, it trained over 500 research students. The company then developed and rolled Ricoh and Epson printers in the market. The company continued its expansion to different sectors like Education and IT, where it provided technological solutions.
According to Aswthapa, in 1980, Aptec opened its branches in the Middle East, Turkey and to East Africa. Currently, it is the biggest IT solutions provider in the UAE (46). This is due to its modern Technological orientation and quality of its solutions, which have attracted a wide customer base. So far, Aptec has set up over six warehouses in the Middle East alone. Here, all their retail outlets based in the region access their products. The company offers an exceptional quality solution at competitive prices and also undertakes to deliver the products to their relevant destinations (Aswthapa, 108).
Aptec is the main producer and distributor of IT products and solutions. Owing to the fact that its products satisfy the IBM standards, the demand for its products is massive. The supplies are not only to the Middle East but also the entire global market. The demand is fast growing and is due to expand continuously following the awareness campaign which Aptec has been embarking on since it established its branches in the Middle East (Pradhan, 245). The company has ventured into Web-Based Marketing through a system called Aptec-Online in order to optimize the flow of its inventory, and this has illuminated the necessity of its products worldwide.
The system links all its warehouses to its retailers in a unique way to speed up the movement of its inventory. Despite the availability of substitute products from other IT and telecommunications service providers; Consumers around all Aptec subsidiaries seek its products with greater affinity than products from other companies (Budhirja, Piramal and Ghosal, 246). Its products have built customer confidence due to their quality. The location and reliability of its products are also playing a role in its market control. The customers can easily access Aptec products in many locations. The results of end-users have excellent feedback; this has helped in the increased number of customers.
Budhirja, Piramal and Ghosal, maintain that Aptec manufactures a unique brand of products that have no equal among the other distributors. The user instructions on their products are also easily understood since they are translated into Arabic and other local languages (210). To that effect, Aptec operates with minimum monopoly whose sustainability is nevertheless unpredictable. Aptec delivers a standard of diversification in its products and services. Its products are not just limited to Software and Hardware distribution, but it is rather a wide range of solutions such as Networking, Telecommunication services, Data Management, Technical I.T. Training, System Configuration, Software Development and IT Security.
Having attained a remarkable position as the leading I.T. solution vendor in the regions it covers, the challenge which Aptec Company is left with is to maintain that standard amidst impending competition. Another challenge that Aptec has to fight is the production of counterfeit products which mimic Aptec branding except for minor distinctions. This is detrimental to Aptec’s market capture since these counterfeit products are sold at extremely low prices (The Business Today, 16). The global market is nowadays flooded with such products. Aptec has been transforming its products to make them difficult to replicate by fake companies.
Aptec makes a profit from the economy of scale, therefore; it maximizes its involvement in value-adding activities which are likely to increase the volume of distribution. This explains its decision to partner with other globally recognized vendors such as Exactus’ Aware Mobile. This company has established goodwill in the global market and contracts them for specialized functions. Apart from the economy of scale, Aptec also strives to minimize the cost of production, as well as distribution.
At the same time, it works on reducing operation and computation errors in its chain of distribution in order to eliminate the cost of error reversal actions. Another way through which Aptec Maximizes its profit is through shortening its chain of distribution by supplying directly to consumers. This eliminates the cost of distribution to wholesale outlets and retail outlets as well as warehousing charges. As a result of the above factors, the profit has been increasing, and almost doubling every year as the company continues to widen its geographical coverage of Aptec subsidiaries.
Aptec has established a long history of mild reputation not only to its vendors in the Middle East but to the entire business community. It is a brand name that consumers are proud to be affiliated with as a result of the quality of their past deliveries. This has in turn developed into a mutual bond between Aptec in the United Arab Emirates and its consumers worldwide.
We find in Newswatch that, the quality of products and service delivery are impressive to consumers, and with the consistency of Aptec products’ expansion promises better performance in the future market. The prices offered by Aptec for its products are also competitive considering that Aptec periodically offers distinctive subsidies for some of their products and services during sales promotion and exhibitions (86). Of course, this triggers the interest of clients and creates long-term loyalty to the vending company.
The customer satisfaction level is also high for Aptec Company across all its subsidiaries because they are able to access all I.T. and communication solutions within the same distribution outlet, thanks to the diversification of products and services. This implies that the retailers are able to cross-sell products. Instead of clients purchasing a single product or service, they are able to access other compliments to the same product. The consumers and retailers also have a suitable substitute for the product (Newswatch, 92).
Aptec has a focus on the transformation of society through corporate social responsibility. For instance, Aptec is involved in the promotion of education and technical training. The skills offered to help the society with skills for development. Aptec also does donations of their products such as computers and software to various community-based institutions (Pradhan, 54). They also fulfil the responsibility by implementing technological solutions and bringing Information Technology closer to society and organizing workshops through which they empower society (The Business Today, 38). Through corporate social responsibility, the Aptec fraternity engages in various activities, which both, directly and indirectly, transform the lives of consumers and the entire society.
Aswthapa, Antonn. International Business. London: Tata McGraw-Hill Education, 2005. Print.
Budhirja, suddep, Piramal Gita, and Ghosal Sumantra. World class in India: a casebook of companies in transformation. Michigan: Penguin Books, 2010. Print.
Newswatch. Business news communications. A journal on business daily. Working paper volume 32, UAE 2000 issue, 2000. Print.
Pradhan, Jaya. Multinationals in the world Economy: implications for development. AbuDhabi:Jaya Prakash Pradhan, 2000. Print.
The Business Today. Aptec business success. A Journal of Product Marketing. Working Paper Volume 16, India 2010 Issue, 2010. Print.