International Business Strategy | Desklib

INDIVIDUAL ESSAY 1
INTERNATIONAL BUSINESS STRATEGY
Lecture: Bui Thuy Duong
IB1705_Group 6
Name ID Student Mission
Nguyễn Việt Yên HE161504
Opportunities of SWOT
Porter’s 5 forces: new entry, Buyers
Conclusion
Mai Thị Bảo Ngọc HS163324 Environment Analysis
Nguyễn Thị Xuân Mai HS163337 Strength Weak of SWOT
Nguyễn Thị Mỹ Linh HS163466 Company profile
Đào Minh Sơn HS176140
Threats of SWOT
Porter’s 5 forces: Sellers, substitutes, rivalry
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TABLE OF CONTENTS
I. COMPANY PROFILE.......................................................................................................4
1. Background.........................................................................................4
2. Mission, Visions & Values....................................................................4
3. Scope of Apple analysis......................................................................5
II. ANALYSIS.....................................................................................................................6
1. Environment Analysis.........................................................................6
1.1. Demographic Trends................................................................................................6
1.2. Social-culture influences..........................................................................................6
1.3. Political-legal pressure.............................................................................................7
1.4. Global trade issue.....................................................................................................7
1.5. Macro Economics Impacts.......................................................................................7
1.6. Technological Development....................................................................................8
2. SWOT Analysis....................................................................................9
2.1. Strengths..................................................................................................................9
2.2. Weaknesses............................................................................................................12
2.3. Opportunities...........................................................................................................14
2.4. Threats....................................................................................................................15
3. Porter's Five Force Analysis..............................................................15
3.1.Threat of Entry...........................................................................................................16
3.2. Bargaining Power of Buyers.....................................................................................16
3.3. Bargaining Power of Sellers......................................................................................17
3.4. Threat of Substitutes.................................................................................................17
3.5. Intensity of Rivalry...................................................................................................18
IV. CONCLUSION.............................................................................................................19
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V. REFERENCES..............................................................................................................19
VI. GRADES ON GROUPMATES....................................................................................21
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I. COMPANY PROFILE
1. Background
Company's name: Apple Inc.
Establishment year: Apple Inc. was founded on April 1, 1976.
Headquarters: Apple Inc.'s headquarters is in Cupertino, California, United States.
Industry: Apple operates in the technology industry, primarily focusing on consumer
electronics, software, and online services.
Main products and services:
Apple offers a wide range of products and services, including iPhones, iPads, Mac computers,
Apple Watches, Apple TVs, Air Pods, Home Pods, iCloud services, iTunes, the App Store,
Apple Music, and various software applications.
Target market: Apple targets a broad consumer market with its products and services. It caters to
customers across different age groups and demographics, including individuals, professionals,
and businesses. [1]
Operating country: Apple operates globally, with its products and services available in
numerous countries around the world. It has a significant presence in the United States, Europe,
China, and other major markets.
2. Mission, visions, and values
Vision: Apple's vision is to create innovative products that enrich people's lives.
Mission: Apple's mission is to bring the best user experience to its customers through its
Innovative hardware, software, and services.
Message: Apple's message is about simplicity, elegance, and ease of use. The company strives to
make technology accessible to everyone.
Core Values:
 Customer focus: Apple puts the needs of its customers first and works hard to exceed
their expectations.
 Innovation: Apple believes in constantly pushing the boundaries of what's possible and
creating products that change the world.
 Quality: Apple is committed to delivering products that are of the highest quality, from
design to manufacturing to customer support.
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 Design: Apple believes that great design is not just about aesthetics, but also about
making products that are intuitive and easy to use.
 Sustainability: Apple is committed to operating in an environmentally sustainable way
and reducing its impact on the planet.
 Inclusion and diversity: Apple values diversity and inclusivity, both in its workforce and
in the products it creates.
3. Scope of Apple analysis
In this analysis, the scope will focus on the global market of Apple Inc. This means looking at a
company's activities, products, and services on a global scale. By analyzing Apple's global
presence, we can better understand the overall position in the industry, the competitive
landscape, and the opportunities and challenges in the market.
Figure 1: Global smartphone market share (Q2 2021 – Q1 2023) [2]
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General competitive strategy
Apple is pursuing a broad differentiation strategy. Apple sets itself apart by providing high-
quality, exceptional design, and personalized service. The scope of their strategy is to target a
wide range of customers ranging from uncomplicated beginner users to users with special needs.
Create value
Apple outsourcing manufacturing basics to third-party original equipment manufacturers
(OEMs) can achieve cost savings through vast economies of scale while in-house design
elements for revenue collection attract and retain users. Apple excels in the areas of industrial
design and user interface and focuses on these areas to deliver a product that is both stylish and
ergonomically natural. Apple's people-friendly devices and highly personalized face-to-face
customer service create a one-of-a-kind value proposition that demands above-average prices. [1]
II. ANALYSIS
1. Environment Analysis
1.1. Demographic Trends
Founded in 1976, Apple Inc. quickly became one of the biggest companies in the world.
Throughout the years, Apple has been a part of the technology market where there has been an
exponential number of opportunities and threats. They identified the target market, how they
have chosen to segment, and the demographics and geographics within the largest target
segments [3]. Apple customer demographics include people aged 18 to 45. They are either
single, married with no kids, or married with young children or teens. Apple's target audience
skews strongly female, with around 66% female to 34% male customers. As a result of
successfully identifying trends in the past, Apple continues to impress with its globally known
brand name and customer base/market. However, Apple must continue to identify future
opportunities to stay relevant in the ever-advancing technological market. [4]
1.2. Social- culture influence
Apple’s business is subject to the effects of social or sociocultural trends. This social external
factor relates to the increasing demand for devices like smartphones and tablets. This analysis
also points to the increasing dependence on digital systems, which is another sociocultural trend
that creates opportunities for Apple to sell more of its products based on higher demand.
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