External and Internal Environment Analysis of Apple
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AI Summary
The report has analysed and identified different internal as well as external environment analysis of Apple Inc. From the case study, it has been identified that there are different kinds of positive and negative attributes of Apple which has led to positive or negative aspects of productivity in the market.
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Running head: EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
External and Internal Environment Analysis of Apple
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External and Internal Environment Analysis of Apple
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1EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
Executive Summary
The report has analysed and identified different internal as well as external environment
analysis of Apple Inc. From the case study, it has been identified that there are different kinds
of positive and negative attributes of Apple which has led to positive or negative aspects of
productivity in the market.
Executive Summary
The report has analysed and identified different internal as well as external environment
analysis of Apple Inc. From the case study, it has been identified that there are different kinds
of positive and negative attributes of Apple which has led to positive or negative aspects of
productivity in the market.
2EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
Table of Contents
Problem/Opportunity Faced by Apple Inc.................................................................................3
External Environment of Apple Inc...........................................................................................3
Internal Environment of Apple..................................................................................................4
References..................................................................................................................................5
Table of Contents
Problem/Opportunity Faced by Apple Inc.................................................................................3
External Environment of Apple Inc...........................................................................................3
Internal Environment of Apple..................................................................................................4
References..................................................................................................................................5
3EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
Problem/Opportunity Faced by Apple Inc
From the respective case study, it can be analyzed that Apple Inc has been able to
gain various opportunities along with problems that has affected growth of company both in a
positive or negative manner (Yoffie & Eric, 2018). Apple has been successful in posting
record sales and profitability in final quarter of 2017 and their revenue percentage was on
higher side. However, there are different issues such as net sales and income of FY 2017 was
below the 2015 peaks. The sale of iPads was declining and PCs sale were declining.
External Environment of Apple Inc
The different factors which create significant effect on Apple include the international
anti-Apple sentiments which are the threat. The anti-apple sentiments are mounting day by
day which is questioning the business-related practices such as the lawsuits of the
organization against the third-party providers like iPhone and MacBook repairers. The
growing type of cloud computing demand is prospect which is increasing technological
integration of business appropriately. On the other hand, the growing type of technological
capabilities of other firms such as Samsung is the threat which affects the growth of Apple.
The steady economies of developed countries along with increased disposable income
of customers have been the major opportunities for Apple to increase their efficiency in
business prospects. Apple has been successful in engaging in various CSR practices that has
helped the company in offering attractive products to the customers, however with
strengthening corporate image of the firm through initiating sustainability image. There are
different legal challenges such as privacy related regulations which can affect the firm along
with threat against policies and procedures of Apple can affect the confidence of customers.
Problem/Opportunity Faced by Apple Inc
From the respective case study, it can be analyzed that Apple Inc has been able to
gain various opportunities along with problems that has affected growth of company both in a
positive or negative manner (Yoffie & Eric, 2018). Apple has been successful in posting
record sales and profitability in final quarter of 2017 and their revenue percentage was on
higher side. However, there are different issues such as net sales and income of FY 2017 was
below the 2015 peaks. The sale of iPads was declining and PCs sale were declining.
External Environment of Apple Inc
The different factors which create significant effect on Apple include the international
anti-Apple sentiments which are the threat. The anti-apple sentiments are mounting day by
day which is questioning the business-related practices such as the lawsuits of the
organization against the third-party providers like iPhone and MacBook repairers. The
growing type of cloud computing demand is prospect which is increasing technological
integration of business appropriately. On the other hand, the growing type of technological
capabilities of other firms such as Samsung is the threat which affects the growth of Apple.
The steady economies of developed countries along with increased disposable income
of customers have been the major opportunities for Apple to increase their efficiency in
business prospects. Apple has been successful in engaging in various CSR practices that has
helped the company in offering attractive products to the customers, however with
strengthening corporate image of the firm through initiating sustainability image. There are
different legal challenges such as privacy related regulations which can affect the firm along
with threat against policies and procedures of Apple can affect the confidence of customers.
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4EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
On other hand, the political aspects include improved free trade policies and stable political
economy which are treated as the opportunity for the company.
Internal Environment of Apple
The core and distinctive kind of competencies of Apple Inc includes the
encompassment of the innovation, quality, marketing, simplicity and the service which is
delivered by the company along with strong financial system which makes Apple brand the
most effective in nature. IPhone is the Trojan horse in the life of the consumer and it has been
successful competitive aspects for Apple (Yoffie & Eric, 2018). From the different statistics
and reports from financial statements of Apple, it can be analyzed that there has been huge
level of increase in revenue which amounts to US$265.595 billion till the year 2018 and there
has been US$70.898 billion increase in operating income of the company as well.
Apple is famous for working with more than hundred of suppliers from the world and
maintaining the sophisticated supply chain management. The net sales of Apple through
indirect and direct channels has accounted to more than 28% and 72% of the entire net sales
in a respective manner. The operations which are carried on by the business are 92600
employees and they are dedicated towards achieving goals (Yoffie & Eric, 2018).
The marketing communication aspects which are applied by Apple includes
advertising, public relations along with direct selling. The exceptional customer service is the
most suitable aspect which will be helpful in managing their brand image. There was cultural
changes which were undergone by employees of Apple and it created chaos, however it is
being managed later on. The HRM practices of Apple have been supportive and the CEO has
been capable of developing diversity in the workplace. The company highly depends on the
research and development which has helped them in developing unique products. The
On other hand, the political aspects include improved free trade policies and stable political
economy which are treated as the opportunity for the company.
Internal Environment of Apple
The core and distinctive kind of competencies of Apple Inc includes the
encompassment of the innovation, quality, marketing, simplicity and the service which is
delivered by the company along with strong financial system which makes Apple brand the
most effective in nature. IPhone is the Trojan horse in the life of the consumer and it has been
successful competitive aspects for Apple (Yoffie & Eric, 2018). From the different statistics
and reports from financial statements of Apple, it can be analyzed that there has been huge
level of increase in revenue which amounts to US$265.595 billion till the year 2018 and there
has been US$70.898 billion increase in operating income of the company as well.
Apple is famous for working with more than hundred of suppliers from the world and
maintaining the sophisticated supply chain management. The net sales of Apple through
indirect and direct channels has accounted to more than 28% and 72% of the entire net sales
in a respective manner. The operations which are carried on by the business are 92600
employees and they are dedicated towards achieving goals (Yoffie & Eric, 2018).
The marketing communication aspects which are applied by Apple includes
advertising, public relations along with direct selling. The exceptional customer service is the
most suitable aspect which will be helpful in managing their brand image. There was cultural
changes which were undergone by employees of Apple and it created chaos, however it is
being managed later on. The HRM practices of Apple have been supportive and the CEO has
been capable of developing diversity in the workplace. The company highly depends on the
research and development which has helped them in developing unique products. The
5EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
excellent kind of relationships maintained by Apple is the most key element which has helped
them in becoming effective.
excellent kind of relationships maintained by Apple is the most key element which has helped
them in becoming effective.
6EXTERNAL AND INTERNAL ENVIRONMENT ANALYSIS OF APPLE
References
Yoffie, D.B., & Eric B. (2018) "Apple Inc. in 2018." Harvard Business School Case 718-439,
May 2018.
References
Yoffie, D.B., & Eric B. (2018) "Apple Inc. in 2018." Harvard Business School Case 718-439,
May 2018.
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