Apple Inc. Business Strategy: An In-Depth SWOT and PESTLE Analysis

This report provides a comprehensive SWOT and PESTLE analysis of Apple Inc., examining its strengths, weaknesses, opportunities, and threats, as well as the political, economic, social, technological, environmental, and legal factors influencing its business. The analysis highlights Apple's strengths...Read More

Running Head: Apple
Apple

Apple
APPLE
SWOT and Pestle are closely related approaches to conduct the analysis of the business.
Pestle stands for political, economic, legal, technological and environmental. SWOT stands for
strengths, weakness, opportunities, and threats to the business. It helps the organization to take
correct decisions so that the goals and objectives can be attained in an effective manner. SWOT
and Pestle of Apple Company are discussed below:
SWOT analysis
Strengths
The company is considered as a leading innovator among electronics brands. Apple is one of the
largest brands that have a large market share. The company is present globally that gives impact
on the competitors. Apple is considered as a leader in both domestic and international market.
Weakness
The weakness of the company is that it offers high price products to the consumers. There are
many products that are incompatible with the accessories and third-party software. If the
customer takes the decision to purchase an Apple product, then he or she has to continue with the
Apple only.
Opportunities
There are many opportunities that exist in the market. The company is giving emphasis on
transforming its Mac platform into a digital hub. This platform will give success and also retain
customers in an effective manner. Apple has goodwill in the market for offering high-quality

Apple
products. The products that are offered by the company are well received and also have a build in
purchasing base.
Threats
The competition level is enhancing day by day. It is seen that the market related to sale,
manufacture, portable devices is highly competitive. The major threat to the company is related
to the strong competition in the market (Khan, Alam and Alam, 2015).
Pestle
Political factor
The sales of the company come from the countries other than America. Apple manufactures
many parts outside the U.S like in china, cork, and Korea. The company can be influenced by the
bad international relations or by war.
Economic Factor
National growth rate can give direct influence on the company. It also determines the sales and
also the demand for the products in the industry.
Social factor
The requirements and wants of the company customer base keep on changing. People use the
products more for entertainment. This factor gives a positive impact on the company, as it is
evaluated that the company is considered as a "King of technology".
Technological factor
Apple is one of the top companies that provide innovative products to the customers. It gives a
positive outcome in the profitability level.
Environmental factor
The company gives the commitment to protect the environment. Apple is the manufacturer of the
most energy-efficient computers in the world.

Apple
Legal factor
When the new product is launched in the market the laws are taken into consideration. Consumer
protection and employment laws give a great influence on the company (Anton, 2015).
So, SWOT and Pestle give great influence on the decision-making process of the
company. The decisions that are taken into consideration by the company are done by analyzing
the market in a proper manner.
Relationship between SWOT and PESTLE
a.) Strength: The strength of the apple company is that it has a large market share. So it has a
direct relation with the economic factor as the share of the market is related to the
economy. The sales and demand of the product depends by considering the market share.
It also takes into consideration the technological factor. By the large market share
productivity will be enhanced that will give direct impact on the profitability.
b.) Weakness: The weakness of the company is that it offers high price of product. So it has
a direct relation with the social factor. If the price of the product is high, then it will give
impact the demand of the consumers.
c.) Opportunities: The Company has the opportunity to expand the market share. So it has a
direct relation with the legal factor. As the market share increases, the rules and
regulations also increases.
d.) Threats: The threat to the company is related with the enhancement in the competition
level. So it has a direct relation with the political factor. As the competition level
increases, it will give impact on the international relations.

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References
Anton, R., 2015. An Integrated Strategy Framework (ISF) for Combining Porter's 5-Forces,
Diamond, pestel, and swot Analysis.
Khan, U.A., Alam, M.N. and Alam, S., 2015. A Critical Analysis of Internal and External
Environment of Apple Inc. International Journal of Economics, Commerce and
Management, 3(6), pp.955-961.