External Environment Apple Inc.’s high performance can be linked to its effective understanding and addressing of the external factors in it’s macro environment. These include strategies that are used to exploit any arising opportunities and to protect against potential threats. In order to identify these factors, we can use the PESTEL analysis. While the company may be a leader in the industry, the PESTEL analysis goes to show that Apple must continue to evolve as per the leading external factors. Political Factors Political factors such as geopolitical uncertainties, wars, legislations, authority to work and health laws can potentially impact Apple’s production. Apple has outsourced the production of its components to different countries …show more content…
Purchases of luxury products has gone up as purchasing power of consumers continues to increase in different markets. Music industry growth has witnessed soaring heights which is a big social influence on Apple and its products. One of Apple’s main offerings is the music store iTunes and Apple has gained a lot from this social development and change in modern lifestyles. However, the young consumers in these markets might lack a strong emotional attachment with the products. Also, increasing ethical concerns regarding low cost manufacturing in China could limit Apple’s products appeal among the socially-conscious consumers. Technological Factors IT is one of the highest earning industry and companies who have evolved and innovated have been able to maintain their position. Apple has always been a trend setter in the consumer electronics business and has a very aggressive innovation philosophy. Apple’s investments in unique and advanced technology has always helped it stay ahead of its competition and maintain its position. Apple can exploit the trends in cloud computing by continuing to invest in technology and devices that can be connected seamlessly. Additionally, the apps markets continue to grow and Apple can continue to benefit from
Apple business environment is competitive and fast-paced. Apple suppliers must understand this dynamic and be agile and flexible in responding to changing business conditions. All over the world, people are building Apple products and Apple has a responsibility to make sure that each person is treated with dignity and respect. It’s a massive challenge where Apple work is never done, but each year they implement meaningful, lasting changes across their supply chain. Because of this around the globe, Apple employees are united in bringing equality, human rights, and respect for the environment to the deepest layers of their supply chain. Apple goes deep into their supply chain to enforce their social and environmental standards by empowering workers through education, demanding that suppliers treat workers fairly and ethically at all times, having safe and healthy facilities, and hold their products and processes to the highest
DBQ: The Industrial Boom In the 1860s, industries in Europe were booming. The United States, however, was not developing very much at all. In fact, we were busy fighting a Civil War, and cleaning up the mess afterwards, so there really was not much time or money for the development of huge factories and businesses. In time, the Civil War and Reconstruction eras ended, and America was rapidly growing its industries.
Apple is one of the technology companies in America that have accumulated a large amount of cash reserves, having a $34.7 billion in the bank on June, 2015. This could generate calls for higher corporate tax in the United States, where income inequality has become a major political issue. Apple is heavily dependent on lower cost manufacturing in China. Social and political
The 1920s was known for its prosperous and flamboyant lifestyle. The GDP during that time had risen by 30 percent and unemployment was as at an all-time low of 3 percent. This was not meant to last forever. In fact, it was nearly impossible for this to last any longer than it did due to an imbalance that society was unaware of including that not every citizen was experiencing this uncommon wealth. There were still 3 percent unemployed and even some of the employed members of society did not make enough to support a family and were considered homeless. It was in October of 1929 when this so-called luxurious lifestyle vanished as the stock market crashed at a time when the stock market seemed it would never stop increasing. This caused an economic, downhill, rolling ball effect. Those who took out loans to invest in stocks could not afford to repay the banks causing the banks to fail and close down. When the banks closed down, the depositors of that bank lost their life savings causing them to go broke and some company owners to close their doors. This led to a loss of jobs by the employers of those companies. This time period was known as the Great Depression and rightfully so. It is the most significant setback in the American Economy to date. The Herbert Hoover administration was in effect at this time giving the society an easy target to blame. Come time for the next election in 1932, Americans were ready for a change in authority to bring them out of this seemingly black
I learned that Apple is a juggernaut when it comes to their technological products and marketing goals. Apple focuses on the needs of customer’s light years ahead of their competition and even before most consumers have realized they want Apple’s products. Through their innovative marketing involving social media, word of mouth, Apple Stores they have convinced consumers about the high value of their product even lending to the formation of a “Mac cult” for its diehard fans. The way ahead for Apple is not to lose sight of its brand loyalty and continue to service the customers and entice them with the brand’s prestige. Even with the death of Steve Jobs, I believe Apple forge ahead to differentiate itself from the markets they are in.
Apple (NASDAQ:AAPL) is one of the world leaders in the research, development, marketing, sales and service of personal digital music & video devices, in addition to personal computers globally. Its' innovative music and digital content delivery service, iTunes, has sold over 1 billion songs to date. As of the close of their latest fiscal year the company generated $156B in Sales and generated a Gross Profit of $68B earning a Net Income of $41B (Apple Investor Relations, 2013). The intent of this analysis is to evaluate Apple's strengths, weaknesses, opportunities and threats (SWOT) and provide an analysis of each. The cause, impact and recommendations for each specific strength, weakness, opportunity and threat are provided along with an action plan of how to maximize strengths and opportunities and mitigate the effects of weaknesses and threats. The Apple brand is among the most valuable in the world and its ability to innovate with successive product generations unmatched, yet this has led to a high dependence on its iPhone and iPad platforms, to the exclusion of entirely new businesses. The Apple iTunes platform and ecosystem delivers 30% of all profits and a significant portion of overall revenue, making this single business a stabilizing force in their strategic product and services roadmap (Apple Investor Relations, 2013). Despite these challenges however Apple continues to attain
Technology change has naturally been a major factor in Apple's success. The company played a major role in the shift to a mobile computing society, by developing the personal technology devices that would
Due to a variety of uncertainties ranging from the instability of Mexico’s economy, to a limited knowledge of the possible company to do business with, Charles River Laboratories have to assure to their stakeholders that a joint venture with ALPES is beneficial to the growth of the company.
Every year, millions of immigrants come into the United States. Generally, the United States policies are complex but the topic of immigration in the country is far more complicated to understand. Currently, the topic is extremely controversial yet the government has been trying to avoid addressing it for quite a while now. Nevertheless, it is very rare for a candidate to make immigration policy part of his platform but in the 2016 presidential election Donald Trump even made it part of his campaign which caused world-wide controversy. Trump claimed that he would “make America great again” and create a high security wall along the border between Mexico and the United States. Nevertheless, any decision taken by the government will affect everyone in the country, whether in a positive or negative manner, as “an estimated 11.4 million unauthorized immigrants were living in the United States in January 2012 compared to 11.5 million in January 2011.” The numbers keep increasing every day
Apple is an American multinational technology company that designs, develops, and sells consumer electronics, computer software, and online services. Their best-known hardware products are the Mac computers, the iPod, the iPhone smartphone, and the iPad tablet computers. They represent a form of change in this time period, not only because they look good but also because they represent a symbol of social status. Although, they are other products out there, consumers would choose Apple products because they seem more valuable and also due to the fact that they have much more to offer. In our era, Appearances could also play a huge role in choosing the products people buy referring to technology. For example, Apple uses sleek, slim and edgy designs to attract their buyers. Even though some people uses other products, Apple gadgets stand out the
Apple has prospered internally and it is necessary to consider both strengths and weaknesses. Apple has lots of strengths, the major of them being it’s impressive brand reputation, Apple managed to position the brand as “premium products” for “elite” people. Customers are loyal and tend to stay in Apple’s ecosystem. Apple’s self-reinforcing ecosystem, it has a diverse ecosystem which integrates various hardware and software products into one large interactive space. Status of top innovator, Apple is perceived as the leading innovator and its products are highly anticipated. Apple’s very strong financial performance, high profit margins and very high liquidity. It’s network of retail stores, high-quality customer service helps to create advanced user experience. A powerful marketing strategy, Apple’s team masterly uses various marketing techniques to create a hype for their products and to strengthen the brand.
Also, as the purchasing power of the common has risen in various markets across the global, the purchasing of luxury products have gone up. For examples, the iPhone, iPod, iPad and the most latest technology, iWatch. Having these products are considered as statues symbols in many societies which have also increased the sales of Apple Inc. products. Another big social influence to the Apple Inc products is the rapid growth of the music industry, which have improved markets over the cyber space as well. The main exclusive music store is the iTunes and it is ahead of any of their competitors. Thus, in all Apple products benefitted from the social aspects as it has started defining a modern individual lifestyle.
Apple is being criticized in China for three main issues, including slave labor, guarantee scandal and underdeveloped infrastructure. However, China is a significant market for Apple. Apple’s market share in China is continuously growing while decreasing in mature countries. Issues related to human rights and labor protection in China are sensitive and of globally mutual concern. If we do not address these issues properly, we will lose Chinese customers as well as suppliers and sub-contractors. This may also seriously impact the reputation and sales of Apple products worldwide.
Apple Inc. is known for their innovative products, combining user-friendly technology and elegant design, Apple’s bite of the consumer electronics market has been getting a little larger year by year. The Apple brand is fun, unique, and memorable because it is such a departure from brands that sound serious and corporate. Apple’s Macintosh computers has always stood out because it looks different from other personal computers and relies on software that even novices can learn. IPod backed by music-driven advertising, the player with the white ear buds immediately became the product of choice for many consumers. Newer models such as the iPod Nano and the iPod Touch have continued the
Apple was established as an IT company dealing in exclusively in computers. However, competition in the technology sector forced the firm to focus on other consumer products. The diversification strategy has seen Apple’s sales grow tremendously in the last decade, earning the firm the No. 1 brand position at Forbes. The Apple brand is recognized on an international scale and enjoys a strong recognition thanks to its aggressiveness when it comes to creativity and innovation (Tar, 2013). It has a large number of loyal customers who would purchase the new products regardless of the market price, which guarantees profits from the new division.