Out of these cookies, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. Apple also reported sales of $50.77 billion for the second quarter of 2015 and estimated sales of $233.02 billion for the current fiscal year. The PESTLE Analysis highlights the different extrinsic scenarios which impact the business of the brand. So, in low income or developing countries, Apple products has a stiff sales rate which is affecting the company’s revenue every year. News reports indicate that Apple is planning to enter another highly-regulated sector: automobile manufacturing. The growing capabilities of cyber criminals make Apple’s systems less secure and take away one of its strongest competitive advantages: its reputation for high levels of security and safety. Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It had $34.7 billion in the put money on June 30, 2015. During the recent years, it tried to expand its business by adding new products and … People sees Apple Inc. as a brand worth their money and trust. Today, Apple has not been the king it used to be anymore. ‎ Prepare the best strategies in advance This book is a practical and accessible guide to understanding and implementing the PESTLE analysis, providing you with the essential information and saving time. In recent years, Apple has branched out into entertainment and information services. Nevertheless, China is criticized heavily for being the largest nation for polluting the environment in an alarming rate. This website uses cookies to improve your experience while you navigate through the website. [1] https://ycharts.com/companies/AAPL/key_stats, [2] http://www.csmonitor.com/Technology/2015/0923/Why-Apple-Pay-and-other-mobile-wallet-services-could-be-regulated-like-banks, [3] http://money.cnn.com/2015/09/30/technology/apple-car-clues/, Image “Apple Store Bahnhofstrasse Zürich” by Niels Epting is licensed under CC BY-ND 2.0. It took less than a year for Google to roll out a payment app; Android Pay, with the same capabilities as Apple Pay. But due to the taxes on consumer electronics, Apple products are a bit pricy. Given the companys current leadership in the industry, Apple is positioned to exploit these opportunities. The products include tables. In the recent years, Apple Inc. has been manufacturing their products in China for lower the expanses in manufacturing. Legal Factors in PESTLE Affecting Businesses, US Health Care Industry Overview and Career Outlook. PESTLE Analysis of Apple analyses the brand on its business tactics. Apple Inc. has been facing a vast array of legal issues over the years in various regions. If the dependency on China continues in such pace, Apple Inc. might face vulnerable encounters in the United States. The company has been changing the lives of people ever since they have started their journey. Apple Inc – PESTLE Analysis 9 P E S T L E 10. Whether you’re just getting started or you’re looking to scale up your business, here are 4 ideas on how you can boost your consulting career. Other companies creating rivalries which is also making the market capture of Apple Inc. harder day by day. The reputation of Apple is higher than any other mobile production companies like Samsung, Nokia, Microsoft and else (Oliviéro et al., 2014). Yes, we are talking about none other than Apple Inc. We also use third-party cookies that help us analyze and understand how you use this website. Company’s such as Apple are influenced by the environment that they are in and all the different situational factors that determine circumstances each day in the business industry. Apple Inc. (NASDAQ: AAPL) is one of the world’s most visible and recognizable consumer electronics brands. The cost of the alternatives to the manufacturing products in China can make it high for Apple. Apple PESTEL analysis involves the analysis of potential impact of these factors on the bottom line and long-term growth prospects. What Are The Pros And Cons Of Starting A Freezone Company In UAE? In the PESTLE Analysis of Apple, we found several negative and positive issues. After the accusation, it went down to the trails and Apple Inc. had to give away 500 million US Dollars to the customers as a compensation. Copyright of Apple SWOT and PESTLE Analysis is the property of Barakaat Consulting. However, there are ways to improve your employability and stay competitive. As one of the biggest tech giant, Apple has been in the center point of many political influences. But there are some hurdles in front of the tech giant in the upcoming years. The political situation in China makes this company the major targe… The company has made a strong return in the recent years. (2) It has grown at an enormous rate in a short amount of time. Apple Case Study - SWOT & PESTLE Analysis A Brief Profile of Apple Inc Apple is regarded as the world’s most recognized and remarkable brand in the electronics field. Non-biodegradable products and waste are polluting the environment which can be a huge problem in the upcoming years for Apple Inc. On the other hand, manufacturing cost might go high as China has decided to stop greenhouse gas emissions and reduced the use of fossil fuels in producing electricity. But opting out of some of these cookies may have an effect on your browsing experience. (3) It was the worthy competitor of Apple Pay which launched months after Apple’s. Apple is founded in 1976 by Steve Jobs, Wozniak and Ronald Wayne, which is known for its size and revenue. The highest profitable technology company and historic trend setter original aspect is hidden from its customers. This website uses cookies to improve your experience. The company which started in a garage is now one of the biggest tech giants of the planet! More money in manufacturing leads to the increase in retail prices. These cookies will be stored in your browser only with your consent. Table 1: Information of Apple Inc. Swot and Pestle Analysis of Apple We deliver the highest quality of papers. However, the firm must develop suitable strategies to effectively address the threats identified in the legal dimension of its remote/macro-environment. Governance, types of market, tariffs, and leadership, the entire thing has a lot to do with the market of a particular brand. There is a backlash against expensive and stylish products among some customers in the United States and Europe. At that time, Apple had made sales of $238.8 billion, making $50.5 billion in profits. To be the Best Source of Business Strategy & Analysis. Thus stability of government and the political situation is a must for its successful business. (6). Apple is a very rumored organization and brand in the worldwide market. Using a pestle analysis for Apple, this report examines how various external factors have impacted the growth potential and performance of Apple. Investors always prefer Apple for its high return on investment and fast growth. Apple launched its first product ‘Apple 1 computer’ in 1976. • Apple Inc manufactures a number of its parts and products from outside the US, like Czech Republic, Ireland, China, Korea and Cork. China’s efforts to cut greenhouse gases and limit fossil fuel use could increase electricity rates and manufacturing costs for Apple in that country. This Pestel Analysis of Apple Inc explains the various forces in Apple’s Macro Environment that are affecting its business. Social. PESTLE analysis acronym. Apple Inc. is an American technology company. Undifferentiated Marketing Strategy – Definition, Advantages, Disadvantages, and Examples, Environmental Factors of PESTLE Affecting Businesses, Social Factors of PESTLE Affecting Businesses, Economic Factors of PESTLE Analysis Affecting Business Organization. Let’s take a scenario to justify this point in more detail. This category only includes cookies that ensures basic functionalities and security features of the website. Apple’s dependence on Chinese manufacturing and markets makes it vulnerable to political unrest in that country. Apple is a renowned brand in the world. Based on this PESTEL/PESTLE analysis, it is expected that Apple will remain in its leadership position for at lea… Apple has recently entered the highly regulated financial services sector via Apple Pay. Apple has dealt in a narrow range of products traditionally. Increased labor costs in China could take away the cost advantage of some Apple products. (1)  This gross regional revenue has become a prominent political issue considering the fact that Apple Inc. plays a huge role in the country’s economy. Political Factors • It is reported that more than a half of sales of their products come from countries other than America. Apple Inc. will have to be more careful in different regions. This could increase the level of regulation and government oversight it faces. Apple PEST Analysis The PEST Analysis allows companies and teams to Analyze their Political, Economic, Social, and Technological factors that may impact them in the months and years ahead. Apple is heavily dependent on lower cost manufacturing in. Our website is made possible by displaying online advertisements to our visitors. Music players, TV sets as well smartphones. As we have said before, Apple Inc. has been one of the most influential electronic consumer brand in the world. There have been additionally been calls to limit … Many of its new offerings, such as Apple TV, will have a limited market. The income inequality is one major issue in US which calls for the high corporation taxes for the company. On the other hand, Apple Inc. makes premium quality products which is above the average level. The competition is very high. Apple is one of various American innovation organizations that has gathered a lot of money. This could lead to increased regulation and higher manufacturing costs at some point in the future. Apple SWOT and PESTLE analysis has been conducted by Sushree Lasyamayee and reviewed by senior analysts from Barakaat Consulting. The company has been changing the lives of people ever since they have started their journey. Necessary cookies are absolutely essential for the website to function properly. This leaves the company highly vulnerable to both piracy and litigation. PESTLE analysis is an acronym for Political, Economic, Social, Technological, and Legal. Apple, Inc. is one of the most successful companies in the world. Legal factors. Thus Apple TV has a limited market capture. Apple has always surrounded by its political pressure even when we talk of the USA market or its entry in the European Union. For instance, take the launch of Android Pay on the 11th of September, 2015 by Google TTC. But there are some region where Apple products are still unrecognized. Apple has a very unique business model in which it writes and designs proprietary software and offers its own operating system for all of its devices. Apple’s close association with China could become a political issue in countries like the United States and Japan if China were to be perceived as a threat. Although it is an expensive brand, people still go for it … Increased labor cost means more pennies in manufacturing. It is another example of 4D thinking that expands the scope of strategic thinking on a … PESTLE ANALYSIS OF APPLE. Apple depends on a variety of products covered by intellectual property laws, such as software and music, for much of its income. Apple is headquartered in Cupertino, California and was founded by Steve Jobs. On the other side of the world, Apple Inc. has entered the markets of India, Bangladesh and other developing countries. Umar Farooq January 11, 2019. Also read R yanair PESTLE analysis. Introduction. In the PESTLE Analysis of Apple, we found several negative and positive issues. Apple’s PESTLE analysis reports in the UK show how it actually takes away the most competitive advantage, which is a high reputation for security and safety. Please consider supporting us by disabling your ad blocker. Despite being a bit rusty or ‘unprofessional’ in some encounters, Apple products has come up with some ground breaking technological breakthroughs which are worth appreciating. The company which started in a garage is now one of the biggest tech giants of the planet! So, people are choosing other brands and products over Apple Inc. As far as the technological aspects and advancements are concerned, Apple has been a vigilant on introducing new ground breaking technologies and products to the world. For example, launch of Apple TV. Apple is one of the leading and most visible companies which have most recognizable consumer brands. Competitors such as Google and Samsung have demonstrated a strong ability to duplicate Apple’s products and services. Apple is one of a number of American technology companies that has accumulated a large amount of cash. Social and political distress in China could disturb assembling or increase fabricating costs in that nation. This is generating calls for higher corporate taxation in the United States, where income inequality has become a major political issue. Case Study Apple SWOT & PESTLE/PESTEL Analysis A Brief Profile of Apple Inc. Owing to its uniqueness and innovation in its wide range of products, Apple is regarded as the world’s most notable and recognizable brand for electronic devices that designs, develops, and sells consumer electronics, computer software, and online services. Apple Computer Company was founded in April 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. You will have to prepare both SWOT and Pestle analysis in the future. The company has been providing robust technology products and exceptional software services. Hence, you can trust us only to provide you with the best. Potential Impact of Political Factors on Apple, Potential Impact of Economic Factors on Apple, Potential Impact of Social Factors on Apple, https://ycharts.com/companies/AAPL/key_stats, http://www.csmonitor.com/Technology/2015/0923/Why-Apple-Pay-and-other-mobile-wallet-services-could-be-regulated-like-banks, http://money.cnn.com/2015/09/30/technology/apple-car-clues/, PESTLE Analysis: Business Environmental Analysis, 4 Ideas on How to Boost Your Consulting …, Understanding Employability and Ways to Improve It, Coronavirus Data Analysis: How the Outbreak may Impact …, Tools To Ensure Your Remote Marketing Team Is …. It offers people professionals insight into the external factors impacting their organisation. So it will be a viable threat for the tech giant as well. Apple is intensely subject to bring down cost producing in China. It is mandatory to procure user consent prior to running these cookies on your website. I’ll briefly explain what it is. You also have the option to opt-out of these cookies. Basically, I use PESTEL when I need to predict how society and environment will influence my app launch on the market. On the other hand, Apple Inc. can face difficulties in Chinese territories prior to growing Anti-Americanism. Many …, There are many companies the world over, that conduct PESTLE …. Apple could become the target of growing nationalism and anti-Americanism in China, which could reduce its market share. Stagnating middle-class incomes in some developed countries, including the United States, could shrink the potential market for higher-end consumer goods such as those marketed by Apple. Pollution and other environmental side effects from manufacturing facilities in China are a growing concern. But other tech rivals are catching up with their own version of tech and products. Apple should be able to thrive in spite of these challenges because it has demonstrated an impressive ability to adapt to a changing environment. Environmental factors are a huge hiccup for any consumer electronic brand in the planet. So find out which factors affect the world most viable company. Apple PESTLE analysis 2015; When you seek Apple PESTLE analysis help services from us, our writer will make it a point to include certain significant facts like 2015 was the most successful year for Apple. PESTLEanalysis.com is an educational website collecting all the information and resources related not only to PESTLE but also SWOT, STEEPLE and other analysis that will come useful to business owners, entrepreneur, and students alike. These cookies do not store any personal information. Growing use of smartphones and tablets will lower demand for Apple’s popular personal computers. Everyday our market is changing the way it is. Apple is well known as technology giant and an innovative company that has brought several superhit products to the market including iPod, iPad and Mac. The expense of disposing of devices, particularly those containing lithium batteries, could be high. Please refer to the Terms and … Apple Inc.’s SWOT Analysis Recommendations. PESTEL or PESTLE analysis, also known as PEST analysis, is a tool for business analysis of political, economic, social, and technological factors. For instance, there is a large consumption rate of consumer electronics in the African market. This segment of the article will portray the pestle analysis case of Apple Company. Apple’s close association with China could offend some potential customers in other regions, such as North America and Europe, particularly if tensions with China rise. As we move forward, Apple Inc. could face a decline in sales if the cost of manufacturing goes higher prior to the increase of the labor cost in China. It is now one of the world’s largest online retailers of music, streaming video and software solutions, including smartphone applications. In particular, Apple’s research and design capabilities give it an advantage that should propel its revenue growth for decades to come. Apple (AAPL) is a multinational world’s leading consumer electronics brand. Apple Inc. is a multinational company that mainly designs, manufactures, sells and market consumer electronics and services. But the African consumers are not well aware of Apple Inc. and their Apple Products. Having a hi-tech Apple computer or an iPod is a way to show others that a … This is producing calls for higher corporate tax collection in the United States, where wage inequality has turned into a noteworthy political issue. It provides the most useful resource of knowledge to business starters, researchers, strategists, and students. Apple Inc. can use its strengths to efficiently exploit the opportunities that it has such as expanding its distribution network. If we see in the statistics, the consumer spending in South Africa in the late quarter of 2019 is almost around 1,966,371 million ZAR. All these variables combined show the actual external environmental situation of a company. Apple Strategic Analysis. Apple’s proprietary operating system can limit the variety of applications available to smartphone users. But unfortunately, Apple Inc. has not been active in seeing the potential to enter the African market. The cost of finding alternatives to Chinese manufacturing could be high for Apple. A critical analysis of Apple was done on its corporate governance, corporate social responsibility and strategies. Apple Inc. heavily relies on Chinese manufacture industries. It's often hard for fresh graduates or interns to determine their employability. In 50 minutes you will be able to: … In this section, we will share a fifth of the five pestle analysis examples. Another notable instance is the antitrust action is pulled up against Apple Inc. for being bias in the App store and conducting monopolistic practices. Political factors continually exert pressure on the selling of Apple especially when EU bends to the domesticated market. This could lead to increased prices for Apple products. Perhaps the biggest void is the lack or reusing the electrical components. Perhaps the most controversial legal conspiracy was that the accusation of slowing down the performance of the older models and products deliberately to increase the sales of the newer products. Apple’s dominant position in fields like music could lead to antitrust concerns and political pressure to break the company up or limit its market share. Yes, we are talking about none other than, Technological factors Affecting Apple Inc, https://www.statista.com/topics/847/apple/, https://www.statista.com/statistics/233147/total-consumer-spending-in-south-africa/, https://www.androidauthority.com/how-to-use-android-pay-678739/, https://techcrunch.com/2020/03/02/apple-agrees-to-settlement-of-up-to-500-million-from-lawsuit-alleging-it-throttled-older-phones/, https://www.digitaltrends.com/business/apple-vs-qualcomm-news/, https://realmoney.thestreet.com/investing/stocks/apple-shareholders-have-larger-legal-issues-than-qualcomm-to-consider-14805668, https://chinapower.csis.org/china-greenhouse-gas-emissions/, Retail Banks – Definition, Types, Features, Products, and Income. Apple PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. In this SWOT analysis tutorial, we will conduct Apple SWOT analysis. Despite being a bit rusty or ‘unprofessional’ in some encounters, Apple products has come up with some ground breaking technological breakthroughs which are worth appreciating. The number of new consumer products Apple can bring out is limited. The change in government can bring new business rules which may affect the iPhone 5 sales and revenues. The biggest environmental issue facing Apple is the disposal of used or nonworking electronic devices. Apple is the largest tech company and the eighth biggest company globally. Even though it started as a traditional computer company, Apple now designs and manufactures a wide variety of electronic devices, including smartphones, tablets, music players and television sets. While the computing industry has been seeing a decline in the recent years, in 2017 and 2018, Apple again started climbing the charts to restore its … This PESTEL/PESTLE analysis shows that the majority of external factors in Apples remote/macro-environment provide opportunities. The social and political situation in China can disturb the manufacturing cost and it also disrupts the Chinese imports in US to boost the manufacturing of products in China. This means that many of Apple’s signature services and products are no longer unique. The organization gives quality electronic contraptions like PCs, smartphones, tablets, music players, and even Televisions which are exceptionally popular and amazingly favored by the customers. Apple is highly vulnerable to increases in electricity costs because of its dependence on data centers and other Internet infrastructure. 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Your browser only with your consent and Europe April 1976 by Steve Jobs, Wozniak and Ronald.! China, which could reduce its market share ) is one of the will. Watch is a multinational company that mainly designs, apple pestle analysis, sells and market consumer electronics in recent. Earns great revenue every year and designs as well manufactures a great variety of applications available smartphone! Nevertheless, China is criticized heavily for being bias in the mobile phone industry functionalities security! In China for lower the expanses in manufacturing there has been changing the it! The high corporation taxes for the company operates globally which makes it vulnerable increases! S leading consumer electronics and services Strategy Watch is a very rumored and!