Ted Bauman is an experienced economist who uses his editorial platform at Banyan Hill to advise investors on lucrative investment deals. Bauman was born and raised in the United States but later immigrated to South Africa where he got his college degree and began a lucrative career in the world of economics. While at South Africa, Bauman worked as a consultant for big multinational companies and organizations including European and African government agencies. Bauman later in 2008 relocated back to the US and began his working career for an Atlanta based international organization. At the organization, Bauman was tasked with determining the sustainability and stability of the firm’s large programs.
Ted Bauman in one of his recent articles is cautioning investors against investing in Apple. According to Bauman, the once tech giant doesn’t seem to have a bright future as it had before the passing of the firm’s founder and CEO Steve Jobs. Although the firm’s past financial performance is looking good, investors are not interested in the previous financial performance but are rather more interested in the firms future and potential. Consumers have higher expectations from Apple since the company is known for great innovations and growth. However, the company has been faced by a myriad of challenges since the death of its founder and growth has stagnated for a while now. Ted Bauman says, this explains why the firm’s stock is dropping .
What is making Apple remain still profitable is its pricing power. Most of the firm’s profit comes from the iPhone product that enjoys a significant market share in countries such as the US, Japan, and the UK. However, the total world market share for iPhone is only 20 percent. This implies that it is not the market share that is making the brand profitable but the high price attached to the product something that is now making investors to get worried says, Ted Bauman. Apple market share according to Bauman is on the decline. The reason for the decrease is because the brand is slowly losing value. Customers tend to buy products whose brands are doing very well in the market. Companies with strong brand names are becoming more profitable and vice versa. Big companies such as Google, Microsoft, and Amazon recorded high profits because of the growth in their high quality brand value.