Apple Swot and Pestle Analysis - Apple Case Study Help

Apple SWOT & PESTLE Analysis: A Comprehensive Case Study Guide

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Brand Overview for Apple SWOT Evaluation

Interestingly, Apple Inc. was established by Steve Jobs, Steve Wozniak, and Ronald Wayne in 1976. Known for its innovative and distinguishable brand value, Apple quickly made a noticeable impact among its smartphone market rivals. Quickly gaining recognition, it continually dished out numerous user-friendly technologies and applications that redefined the term next-generation digitized devices.  

The company designs, develops, and sells computer/device-oriented software, consumer electronics, and wide-ranging cloud-based services. Gradually, it brought about a remarkable revolution in the realm of fashion-centric digital gizmos and advanced PCs. It quickly transformed into the highest-grossing smartphone manufacturer and captured a sizeable market share of the smart device global landscape. With more fame coming their way, the company also earned the status in 2017 of having over 124,000 employees around the sphere. It also dethroned Samsung (another renowned brand) by amassing a record annual revenue and worldwide iPhone sales of over 7735 million.  

Apple PESTLE and SWOT Analysis 

PESTLE Analysis 

PESTLE analysis is an acronym that mainly exhibits the Political, Economical, Social, Technological, Legal, and Environmental factors to assess the external macro environment situation of Apple. Like every brand having both internal and external factors impacting their performance, Apple is no different. With a comprehensive PESTLE evaluation, you can reveal how the brand's external factors have shifted its sales, pitching policy, supply chain, and marketing ploys in various nations over time.   

Tips to Perform Pestle Analysis Case Study for Brands like Apple 

• Always collaborate with multiple perspectives to identify more risks and elimination strategies.
• Make proper use of available resources and expertise from the organization for real-time insights.
• Merging PESTLE with other techniques like SWOT, Porter's Five Forces, and Scenario Planning.
• Not accumulating huge amounts of information without properly analyzing and comprehending the findings adequately.
• Not jumping prematurely to conclusions on the future based on the past and present findings.
• Using PESTLE evaluation for the current approaches to monitoring noteworthy changes in the business's environment.

SWOT Analysis  

Similarly, SWOT is also an acronym for Strengths, Weaknesses, Opportunities, And Threats relevant to a project or brand (much like Apple). It mainly refers to identifying the internal and external facets that either support or prove unfavorable for achieving the brand's goals. An Apple environmental analysis is mainly used as a planning or strategizing process and often proves fruitful in sound decision-making for various unforeseen future scenarios. Of course, the true value of SWOT is it presents business runners with self-reflection on their management and adopted methodology. The SWOT analysis is a flexible tool that has contributed to its enormous success in the industry.  

Suggestions to Perform SWOT Analysis of Apple 

• Determine how or from whom to collect information and identify appropriate sources during research. Ideally, collaborate with numerous perspectives to attain a clear picture of all key components. 
• Use existing resources and expertise from the organization's website. Plot findings, identify the most crucial ones with appropriate strategic options, and write a discussion document.
• Use the accumulated analysis into the current approaches for monitoring noteworthy changes in the business setting. Also, consider merging SWOT with PESTLE analysis to get better insights.
• Never collect huge chunks of data without properly verifying its source. 
• Also, never jump to future outcomes based on current and past findings. Use your critical thinking skills to determine priority activities and strategies that are in context with the brand's mission and future goals. 

MyAssignmenthelp comprises diligent experts to help you carry out comprehensive PESTLE and SWOT analysis on top-tier brands like Apple for your case study projects. Being aptly familiar with both these evaluation approaches, our assigned tutor will function closely and help you every step of the way. Additionally, our expert will even help remove existing writing mistakes and other paper imperfections to ensure the final paper is nothing short of exceptional. Furthermore, besides our personalized research and writing guidance, we also present you with several PESTLE and SWOT analysis case projects on many other noteworthy brands for your reference purposes. 

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What is SWOT Analysis?- SWOT Analysis Of Apple

SWOT Analysis – What it Means? 

Let's first understand what SWOT stands for. It mainly entails – Strengths, Weaknesses, Operations, and Threats. 

Hence, when we mention Apple Case Studies with SWOT analysis, it refers to a technique for evaluating the above four crucial parameters for any business or brand. It helps analyze what the organization or business is currently doing best and formulate effective Apple internal analysis and marketing strategies to combat increasing competition and to accomplish future success.  

Apple SWOT Evaluation 

The Strengths  

• Innovation Powerhouse Among Various Digital Brands—In 2011, Apple generated $108.6 billion, which more than doubled in 2017 to a whopping $228.57 billion in yearly gross sales. But 2015-2016 was their peak year as they accumulated a sum capital of $416.65.  
• Robust Marketing Team Worldwide—Apple's robust marketing team shared in their PESTLE and SWOT analysis (published in CEB) that the best way to promote their existing and fresh products is not via digital marketing and intricate sites. Rather, their team showcased how all feature and service options were superior to Android and Microsoft.  
• Massive Sales Growth—Since 2016, the brand has experienced enormous sales growth in all but most of its product/service segments, even featuring atop Forbes magazine. Eventually, the multinational corporation spread its wings in the entertainment and information sector. Its Safari web browser became a convenient choice among many, and soon; Apple also became the top streaming brand for web solutions.

 The Weaknesses 

• High price points for Apple's Products—Some users have a bittersweet feeling toward Apple's products. These users liked the products' innovative features but disliked their high price brackets. This forced many to not purchase Apple's products despite being impressed by them. A classic example of this was in 2012 when Apple's customer retention dipped from 93% to 88%.  
• Incompatibility with Other Operating Systems –Apple's Incompatibility with other operating systems remains one of its main weaknesses. Their applications come withy intense coding language that only a handful of apps can enter their customary iOS. Due to this issue, they find their user base decreasing every year.  
• Pace of Innovation –Apple has become a powerhouse for many perfectly functioning innovative products and artificial intelligence, occupying a good market share worldwide. However, on the flip side, it also means that they cannot churn out experimental products or service features in their targeted markets without risking hurting their identity. Hence, their inability to experiment with more products and services makes it difficult to maintain the pace of innovation with someone like Google.  

The Opportunities 

• Creating Products with Sustainable Technology – Apple's biggest opportunity lies in creating products with sustainable or green technology. The brand hasn't partaken or implemented any such eco-friendly tech so far.  
• Apple's Tie-Ups with Kia Motors –Apple has partnered with KIA Motors (Hyundai's parent company) to assemble electric cars in Georgia, USA. According to the Wall Street Journal, manufacturing will kick off with 100,000 vehicles by 2024.  
• Buy Now, Pay Later Feature—Apple's new 'Apple Pay Later' in the USA lets customers purchase first and pay the amount in 4 installments over 6 weeks without any extra charge or interest. Hence, over 85% of Americans use Apple Pay, and this number will likely increase.  

The Threats 

• No Countermeasures for Air Tags—There have been numerous reports of Apple's Air tags being used for malicious purposes, like stealing cars and stalking people. However, the brand stated that it's Find My App' will immediately let users know if something unknown is tracking them. Besides that, the brand has no other countermeasures.  
• Class-Action Lawsuits—Apple has been filed with 60 class-action lawsuits. Customers were upset when the brand throttled CPU performance on iPhones with degraded batteries. The company claims that it did this to cause untimely shutdowns. In December 2017, Apple received its first-class action lawsuit after being alleged to negatively affect its products' resale value and compel users to upgrade prematurely to newer versions.  
• New Law on USB-C Chargers—A new law passed by the European Union (EU) required all electrical devices to have common USB-C chargers by 2024. Conversely, Apple mainly uses lightning chargers, which is another proprietary tech for all iPhones. The brand will have to comply and sell its items to the EU.  

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What is PESTLE Analysis? - PESTLE Analysis of Apple

Political Influences  

Several government/political factors influence Apple's expansion and success. Some applicable regulations include tax, labor, anti-corruption, intellectual property laws, international trade policy, and other legal factors.

• Terrorist Attack Dangers – Besides the stable and business-centric UK market, it has been prone to terrorist attacks. Such situations have made it difficult for Apple to function at full capacity. A report indicated how such attacks have increased fear and vulnerability among Apple's UK workforce.  
• Extreme Tariffs in China –Tim Cook made Apple a $50 billion enterprise in China. But with the local government imposing extreme tariffs on Chinese products if found to be selling beyond worth of $200 billion! However, Apple revealed its US tariff rule to counter the restrictions and legal factors that led to its instability in the Chinese market. 
• Suicide Reports – Relevant reports indicate two workers committing suicide due to unlawful working schedules at Apple. Moreover, another incident report revealed that 16 workers were severely injured by an explosion in Apple's production facilities.

Environmental Factors

Several environmental factors, such as climate change, carbon footprint, pollution, etc., have significantly hindered Apple's expansion and survival in specific regional environments.  

• Industrial Emissions—One example is China, which changed its greenhouse gas emission standards. Due to this, many Apple facilities have received a warning signal from government officials.  
• Disposal of Useless Apple Devices – Apple faces another major ecological challenge in some nations concerning their disposal of useless apple devices.  
• Global Warming—Rising concerns about global warming have compelled Apple to alter its manufacturing approach considerably. That has hindered its overall production capacity, which is required to meet the requirements of its market share. 

Social Influences 

Crucial aspects like heritage, population density, culture, and education levels also impact Apple's seamless production and overall operations. 

• High Lifestyle—Apple is always considered a symbol of the high-status quo. However, social status becomes an ineffective force for upgrading smartphones simply as more consumers seek cost-friendly options. The change in iPhone users' mindsets significantly affects their overall sales volume. 
• Immense Potential in Third-World Nations—The brand aims to expand further into third-world nations like Africa and India. Several manufacturing units have shifted from developed nations like the USA and China into developing nations with hopes of diversifying and earning more from other Apple products besides sales from iPhones. 

Technological Influences 

The following technological factors, like the influence of other formidable brands, have hampered Apple's market sales.  

• Inability to Compete with Other Noteworthy Brands—Apple's signature products are good, but it fails to compete with brands like Google and Samsung, which offer advanced gadgets at acceptable customer rates. Hence, Apple must focus more on innovation to stay in the race.  
• Loss in Customer Retention –The brand continually offers pricey accessories to its customer base, but that still doesn't match new-gen innovations from other brands. Since customers are getting equal or better options elsewhere, they are shifting, thus causing Apple to lose users regularly.

Legal Influences 

The company also experienced legal and regulatory threats from governments in several parts of the globe. Below addresses the impact of law and regulatory binds on the business. 

• Legal Challenges on After-Sales Repair and Services—A classic example is the brand facing criticism in Australia, Europe, and the USA regarding its policies on after-sales repairs and services. 
• Government's Pressure on Increasing Privacy Regulations – The government-imposed pressure on privacy regulations in the digital age has led to more restrictions on the company. On the flip side, it also presents scope for the brand to increase its privacy regulations and boost its business operations.  

Economical Influences 

Apple's operations, growth, and profitability have been affected by numerous economic factors, too. 

• Fluctuating FOREX Rates—The fluctuations in foreign exchange rates have impacted Apple's costs, profits, and revenue. For example, a rise in USD results in Apple's services and products becoming more expensive and less demanding for users in other nations. 
• Unemployment—With increasing employment, Apple's innovative gadgets and services may reduce consumer spending on non-essential items. Moreover, such unemployment scenarios may also reduce the brand's capacity to function optimally. 
• Inflation Rates – Inflation can impact Apple's pricing strategies. For instance, high inflation will cause the company to increase production and operational expenses. That may force the brand to modify their prices which will hamper their market competitiveness.

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