Apple Inc.'s International Expansion: Marketing Strategies for Growth

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Extended Business Project

Contents
Introduction......................................................................................................................................3
Company overview..........................................................................................................................4
Conclusion.......................................................................................................................................8
References........................................................................................................................................9

Introduction
The main purpose of this report is to show the importance of marketing strategies to expand the
growth of the business more in the international market. Marketing strategies play an important
role in the success of any business and it is one of the most important aspects of the business.
This report shows the marketing strategies adopt the company Apple to expand the growth of its
business more and to gain a competitive advantage in the market. With the world full of
competition, it is important for the company to adopt different marketing strategies to survive
and to build an image in the market. This report shows the different strategies adopted by the
company Apple to attract more customers and to enhance their customer base. Apple Company
is also using various marketing tools to determine the external environment of the company and
also using tools like SWOT analysis to determine the strength and weakness of the company.
With the help of such tools, the company will be able to determine its position in the market and
also how the company can grab the opportunities is discuss in this report.

Company overview
Apple Company is basically from America, it is known for its latest technology and latest
featured gadgets. The company main headquarter is located in California. The company is
famous for its unique design and do their business in electronic devices such as mobile phones,
software of computers and other online services. Apple is a big international company in the
world. The company manufactures various products which include iPhone, iPad, Mac, iPod,
Apple Watch, Apple TV and many more.
This company was established by three people which are Steve Jobs, Ronald Wayne, and Steve
Wozniak in the year 1976. With the innovative design and latest features, the company soon
capture the market. Apple has always the tendency to demand high prices of their products which
caused lots of problem of the company in the initial stage of their company. To overcome such
problems, the company came up with a campaign to think different. This campaign has helped
the company a lot in building new customers. In the year 2011, Steve job resign from their post
because of health issues. Tim cook appoints as the new CEO of the company (Bergvall-Kåreborn
and Howcroft, 2013).
With the passing years, Apple has gained lots of success and now the company holds a revenue
of approx. $265 billion across the world. Apple now becomes the world biggest company in
terms of technology and also one of the most valuable company off the world. The apple
company has also become the third-largest manufacturer of mobile phones. The company have
overall 1, 23000 employees and have approx. 500 retail stores in 23 countries. The company is
also known for its brand value which values the company more in the market.
Competitive advantage
Apple Company can use various marketing strategies to gain a competitive advantage in the
market. A competitive advantage is an attribute through which the company can beat its
competitors in the market. In this scenario, the company can provide the same products to the
customers like their competitors but at a lower cost (Whalen, et. al., 2016). This will not only
build more customers in the market but also enhance the market value of the company in the
market. The company can competitive advantage in the market with the help of PESTLE

analysis and SWOT analysis. These are the marketing tools through which the company can
examine the external environment of the market and according to that can enhance their
productivity. These are as follows:
PESTLE analysis
With the support of Pestle analysis, Apple Company can determine various factors which can
impact the growth of the company. This factors can be Political factors, Economic factors, Social
factors, Technological factors, Legal factors, Environmental factors.
Political factor- As Apple is the biggest technology company in America. The company needs
to pay high taxation rate where the inequalities in the income have become the major political
issues. This factor can affect the profits of the company. There are various political and social
issues are going on in the country of china due to which it can affect the manufacturer cost of the
company Apple as the company mainly depends on China for their low-cost manufacturing. As
the company is very close to the country china, this can become a political problem in other
countries like the USA and Japan (Khan, et. al., 2015).
Economic factors- As the country china is increased their labor cost, this can become more
complex for the company Apple. This will cut down the cost advantage of many products of the
company. In the country USA, there is an increase in the exchange rates of the US dollar due to
which company have to spend more business doing business in the countries of China and
Europe. The company tends to sell expensive products which can lower down the market share
of the country with people of average income.
Social Factors- The Company can establish their business in the countries of Africa where most
of the people are unaware of the apple products. The company can establish their business in that
part of the county, this will assess the company in generating more profits and company can
make their image in that part of the country. The company can also enhance their sales by
targeting young people in the parts of the USA. This will allow the company to build more
customers at a rapid pace as the young people prefer the latest gadgets. The company can suffer a
big loss in the countries of Europe and the USA because of the closeness of the company with a
country like China.

Technological factors- With the evolution of technology at a rapid pace, competitors of the
company is launching the same apps as an apple to steal their customers. Apple needs to launch
unique and advance innovations to capture the market once again. The company has launched
new products but there is a limited customer on it. The company needs to offer new features to
their customers to attract new customers and to enhance their market.
Legal Factors- Apple has launched the new app which is related to payment and financial
services. This will enhance the number of regulation and legal terms in the company as the
company is dealing with financial services. The company needs to follow such regulation to
protect themselves from any kind of legal issue in the future. Apple also launches various
software and music apps for its profits which means the company needs to follow more
regulations (Abraham, 2013).
Environmental factors- Apple is facing the various environmental issue and the biggest issue
which the company is facing is the disposal of expire or non-working electronic devices. These
are the devices which contain lithium batteries which is dangerous for the environment. In the
country, China, the manufacturing process can cause various effects like pollution. This will
affect the manufacturing process of the company and also enhance the cost of the manufacturing
process.
To gain a competitive advantage in the market, the company can use SWOT analysis which
assesses the company in examining their strength, weakness, opportunities, and threats. SWOT
analysis of the company are mention below:
Strength- The major strength of the company is its image as the biggest innovator of electronic
devices in the market. By launching new gadgets of the latest technologies and features, the
company has gained the image of the biggest innovator in the image due to which the company
can attract more customers in the market. This will enhance the revenue of the company and the
company able to generate more profits (Sammut‐Bonnici and Galea, 2015). The other strength
of the company is its strong and effective marketing team which allow the company to encourage
more customers to purchase the products of the company. Apple Company has brining more
innovation in its products and promoting their products effectively which allows the company to
attract more customers every day.

Weakness- The major concern of the company is the price of their products, Company tends to
sell their products at a high cost due to which most of the customer having average income
unable to purchase the products of the company. This I also a reason the company is unable to
establish their business in the developing countries. The other weakness of the company is that
their market share is decreasing because of their closeness with the country China due to which
many consumers are avoiding purchasing the products from the company.
Opportunities
The company's major opportunity is to fulfill the high demands of the customers on their
products. Despite the high price of the products, there is a high demand for the company's
products in the market because of its innovations and advanced features. The company has
recently launched new products which are PowerBook and Power Mac has attracted the
customer a lot. The company can introduce more products like that to build more customers in
the market (Bharadwaj, et. al., 2013).
Threats
The major threat for the company is the arsing of new competition in the market. The biggest
competitor of the company is Samsung and Hitachi which are continuously launching new and
advanced products in the market to attract more customers. This is the major threat of the
company as their competitors are launching new products at a low price which is a major
concern for the company
Apple Company can adopt the marketing mix strategy of (7 P'S) to attract more customer.
This strategy is as follows:
Place- It is essential for the company to provide their products easily to the customers so that the
customers do not have to face many problems while purchasing the products from the company.
Apple has provide their products on the places of Apple stores, online stores of Apple and App
stores.
Price- To build more customers, the price of the product plays an important role. It is also a vital
component of the various plans of marketing because this defines the company's profits and

growth. The company has reduced its prices on some of its products to attract more customers
(Arora, et. al., 2016).
Promotion- Promotion of a product plays an important role in attracting new customers. With
the help of promotion, customers can get to know about the new features of the products.
Promotion mainly consists of advertisements of the products, branding, and promotion of
products on social media.
Product- the company can launch new products with new features to maintain the interest of the
customers for the company.
People-The Company need to provide good customer services to their customers so that the
customer will remain connected with the brand and it will also enhance the customer retention
rate of the organization.
Physical evidence- The Company can shape their business to satisfy the needs of its customers
more. The company can also change the design of the stores or the uniform of the sales
executives in order so that the company stores look more attractive (Dillon, 2013).
Process- This will allow the company to make changes in its production process so that the
company will be able to manufacture new products at lower rates. This will allow the company
to generate more profits and will enhance the growth of the company.
Recommendation
It is recommended to the company to analyze the marketing condition carefully and launch more
innovative products more which will fulfill the needs of the customers. This will build more
customers in the company and will enhance the growth of the company. It is also recommended
to the company to lower down the prices of their products so that the company will be able to
establish their business in the developing countries.

Conclusion
From the above report, it can be concluded that it is important for bug companies like Apple to
analyze the marketing condition with the help of PESTLE analysis and SWOT analysis. This
tool can help the company to gain a competitive advantage in the market which assesses the
company in enhancing the growth of the company more. It can also conclude that the marketing
mix strategy like 7 P's will assess the company in the expansion of their business more in the
international market. Apple Company can fulfill the requirements of its customers by examining
their needs with the help of these marketing tools. St the end, it concludes that these strategies
play an important role in enhancing the revenue of the organization and also assess these
organization to build more customer base.

References
 Abraham, S., 2013. Will business model innovation replace strategic analysis?. Strategy
& Leadership, 41(2), pp.31-38.
 Arora, A., Arora, A.S. and Sivakumar, K., 2016. Relationships among supply chain
strategies, organizational performance, and technological and market turbulences. The
International Journal of Logistics Management, 27(1), pp.206-232.
 Bergvall-Kåreborn, B. and Howcroft, D., 2013, December. The Apple business model:
Crowdsourcing mobile applications. In Accounting Forum (Vol. 37, No. 4, pp. 280-289).
Taylor & Francis.
 Bharadwaj, A., El Sawy, O.A., Pavlou, P.A. and Venkatraman, N., 2013. Digital business
strategy: toward the next generation of insights. MIS quarterly, pp.471-482.
 Dillon, J., 2013. Marketing communication strategies for mobile online
services (Doctoral dissertation, Dublin Business School).
 Khan, U.A., Alam, M.N. and Alam, S., 2015. A critical analysis of the internal and
external environment of Apple Inc. International Journal of Economics, Commerce and
Management, 3(6), pp.955-961.
 Sammut‐Bonnici, T. and Galea, D., 2015. SWOT analysis. Wiley Encyclopedia of
Management, pp.1-8.
 Whalen, P., Uslay, C., Pascal, V.J., Omura, G., McAuley, A., Kasouf, C.J., Jones, R.,
Hultman, C.M., Hills, G.E., Hansen, D.J. and Gilmore, A., 2016. Anatomy of competitive
advantage: towards a contingency theory of entrepreneurial marketing. Journal of
Strategic Marketing, 24(1), pp.5-19.