Report: Business Environment Analysis of Apple Inc. and Its Functions

This report provides a comprehensive analysis of Apple Inc.'s business environment, encompassing its organizational structure, functions, and the impact of both macro and micro factors. The report begins with an introduction to the business environment and the focus on Apple Inc., an American multinational technology company. It then delves into the different types of organizational purposes (private, public, and voluntary) and their structures, sizes, and scopes. Task 2 explores the interrelationships between organizational functions and objectives, highlighting the marketing, finance, and human resources departments. The report further examines the macro environment using the PESTLE model and conducts internal and external analyses of Apple Inc. using SWOT/TOWS analysis. The report concludes with a summary of the findings and references supporting the analysis, providing insights into Apple Inc.'s strengths, weaknesses, opportunities, and threats within its business environment.

Business and The Business Environment

Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1 ...........................................................................................................................................4
P1 Various types of purpose of organisations .......................................................................4
M1 Structure, size and scope of different organisations link to the business objectives and
product and services...............................................................................................................5
D1 Analysis of complexities of different types of business structures and interrelationships of
different function....................................................................................................................5
P2 Size and scope of range in different types of the organisations .......................................5
TASK 2 ...........................................................................................................................................7
P3 The relationships between functions and objectives of the organisations .......................7
M2 Advantages and disadvantages of interrelationships between organisational functions and
the impact...............................................................................................................................9
D2 Impacts of both macro and micro factors have upon business objectives and decision-
making....................................................................................................................................9
TASK 3 ...........................................................................................................................................9
P4 Positive as well a negative impact of Macro environment on business operations ........9
M3 PESTLE model to support a detailed analysis of the macro environment...................10
TASK 4 .........................................................................................................................................11
P5 External and internal analysis of organisations in strengths and weaknesses.................11
P6 Strengths and weaknesses interrelated towards macro factor.........................................13
M4 Apply appropriately SWOT/TOWS analysis................................................................14
CONCLUSION .............................................................................................................................14
REFERENCES................................................................................................................................1

INTRODUCTION
Business environment is basically refers a the gathering of entire individual person,
entities and other elements which might be in the control of their enterprises. This also can affect
to their profitability, performance, progress , growth and survival. There is almost every business
industry operates themself in the distinctive environment which actually not exist in isolation.
There is such kind of the environment which influence to business as well as affects tot he other
activities. This assignment is going to present the study around the Apple Inc. which s the
American based multinational technological company (Blanchard, Tolbert and Mencken, 2011).
They usually focused on the development, design, sell consumers electronic and other computer
software and other online services. This study cover almost all the aspects and the entire business
environment of this company Including their types, scope, size as well as relationship along with
he objectives of the organisation. This also determine and include their internal as well as
external examine of the organisational weaknesses and strengths which help to the industry in
term of growth an success.
TASK 1
P1 Various types of purpose of organisations
The business environment is that component which actually posses various factory and
components on which the performance of any kind of the industry will be basically depends.
There are actually various types of the enterprises which is categorise in the private, public and
voluntary. There are various outlines which is under the sectors that describe them properly.
These categorised factors can be describes some of them are as follows :-
Private sector :- This is consist of the organisation which can be smoothly run by the
group either the individuals which actually aggregate their own system. They actually shares this
kind of the system which actually traded within their stock market which can be interested and
also can buy them (Brașoveanu and Bălu, 2014). The profits and surplus also shares among the
individuals that actually no one is always given of any kind of share this benefit. There can be
various private firms in the world which make the nation better by providing many opportunities.
There are number of private firms which either be large and small according to their production
which is made by the employees.

Public sector :- This stream possess the business which is actually monitor and
controlled by the government of the nation. They also tend to make deliver their product and
services so they can fulfil the demands and other general public of country. The company doesn't
have that enough support of private for their provision of funding which is supportive by taxes.
That need to pay to authority of the country so they will be enough able to carry these kind of the
facilities at in effective and efficient manner (Cantwell, Dunning and Lundan, 2010). The public
sector at as the producer which actually can be buyer. The governmental bodies function leads to
appoint the board of director and chairman. Which make sure about the decisions as well as
functioning of the enterprises along with the consent of other members of firm.
Voluntary sector :- This sector is well known as the non profit organisations which
actually made long wit the concern so they can make profit and other actual world scenario .
Therefore, when they formed to support and aid to the society in the typical, harsh circumstances
which actually comes in their way. This kind of the firms is usually owned by the group of the
people and other individuals which can set their targets and accordingly set their budget although
they can set to the activities demands to be done. The main responsibility of this kind of people
is to serve services for the people in return with no benefits and hopes.
M1 Structure, size and scope of different organisations link to the business objectives and
product and services
The size and scope of different business organisation are varied from each other. There
are three different sectors such as Private, public and voluntary. The scope of these three sectors
are different.
Public- the purpose of this sector is to provide good quality services and products to
people at reasonable cost.
Private- Its main motive is to earning more and more profit by providing satisfactory
services to consumers.
Voluntary- the objective of this sector is different. It is the non profit organisation and it
includes charitable trust, donations, volunteers etc.
D1 Analysis of complexities of different types of business structures and interrelationships of
different function
The structure of every business firms and sectors are different from each other. There are
primary, public and the voluntary sector and the motives or purpose of all sectors are varied from

each other. In Apple company there are many different departments are working and they all are
interrelated with each other and working together for accomplishing the organisational
objectives.
P2 Size and scope of range in different types of the organisations
There are number of the organisations which is mentioned above at their higher level of
the economy of the country and their respected citizens (Chavis, Klapper and Love, 2011). The
organisation is actually depends on the different ideas and there other offered employments,
standards other services which is provided to their target audience in the United kingdom. It also
refer brief regarding the various sizes, products, services, scopes, visions, missions, objectives of
the stakeholders and the legal structure.
Overview of the Apple Inc.
Apple Inc. manufactures, designers and market the mobile communication along with the
other personal computers,digital music players and media devices. This company sells a wide
range of he related software, accessories, services, networking solutions and other third part
content in digital, applications too. This Apple Inc. diversifies into various segments such as
Europe, America, grater china, Asia pacific and japan. The segment of the America involves
Taiwan, Hong Kong and china. There other rest of the pacific segments of the Asia, Australia
which is exactly not too involves in the operating segments of the enterprises. This company
Apple Inc. deal wit the products such as iPhone, iPad, Mac, Apple smart watch, Television
which is the portfolio of the customer and other software of professional applications such as
iPhone OS (iOS), OS X and OS watch operating system, iCloud, apple play and other
accessories range, services as well as offering support. This company is an American multi
technological company and it is controlled, monitored by the headquarter which is in California,
Cupertino which is the major one to design, develops, consume electronic services. It is knowns
is the world's largest information technology enterprise by their revenue and other second largest
mobile phone manufacturer (Commander and Svejnar, 2011). In the 2015, February this apple
Inc. became one of the top US company that can be valued over at US$ 700 billion.
This company employees almost 116,000 full time workers of the 2016 October. They
also control and maintain approach 498 stores across 22 countries of July 2017. It also operated
their world's one of the largest retailer of the music which is operates by the iTunes store. In the
initials of 2016, in January billion amount of the Apple products were attractively use in the

international level. It consist of the total revenue which is of over $215 billions for their 2016
fiscal year. Therefore, company enjoys their big achievement and higher level of the loyalty
through their bra,ns which has been ranked repeat in terms of the one of most valuable brand.
The value chain analysis of the Apple Inc. are as follows :-
Inbound logistics Operations Outbound
logistics
Marketing and
sales
Services
Alliance with the
major suppliers
Design and
innovation
Horizontal and
vertical
integration
Plugs and play
solutions
Services
 Linkages
with
independe
nt
software
vendors
 Technolog
y driven
 Collaborat
ion along
with best
services
providers
like AT &
T and
Vodafone
 Complete
bundle of
applicatio
ns
 Music
players
with
iTunes
gives
brand with
awareness
a push
 Secure
operating
systems
 Easy to
use
 After sale
services
 Replacem
ent
warranties
TASK 2
P3 The relationships between functions and objectives of the organisations
This company Apple has various mentioned functions and operations which need to be
performed by the,. That must be perform in that manner so they could easily accomplish their
goals and objectives which they desired. Their major objective is to make sure that the task need
to be managed as well as organised in appropriate way along with effective and efficient manner.
The functions of the organisations demands to set them, as according to the consumers of the
enterprises legal structure (Craig and Campbell, 2012). These target usually can be

accomplished by the enterprises of employees who dealing with the firm while performing the
job effectively. They demands for the coordination along to compel their right process in correct
way, Some of the functions of the company which s follows by them are as follows :-
Marketing :- This is quite essential operations in their company which describe their
interrelation in between the customers with their company products. Therefore, this help them to
make their major aim so they can target to their defined audience. This kind of the activity
includes various functions such as the advertising, selling, consumer interaction, promotion and
gather feedbacks. As by adopting this kind of the technique the company being successful in
increasing their sales, profit and other sizeable intensity. Their major focus is on the every level
age group of the audience which comes to their store the offer them products as according to
their demands in order to fulfil their demands and needs. The advertising campaigns is initiated
by the company so through this they can get the attention of more people and they will increase
their sales.
Finance :- This is one of the most crucial activity of any enterprises when it comes to the
financial elements. According to this, The top authority, managers and other delegates will take
the decisions regarding this (Cronan and et. al., 2011). The company shareholder will usually
depend on these kind of the elements so they can make the better investment for this firm. This
report will be structured form to their statistics which may be possess with the accounts of their
factor of financial and other officials of the company so they cam take their very minimum span
of time n taking their decisions. As by appropriate examine which must be bring out in between
the number of departments of organisation. After that, the department of the finance will be try to
allocate their budget as according to the different phases, stages and activities according to
estimation in their generated enterprises.
Human resources :- The Apple Inc. organisation mainly divide their objectives and goals
into the two categories (De Jonge, 2011). There is short term goals and on other hand there is
long term goals through which help them to accomplish their target by time as following all this.
The proper ambience and management is essential and good human resource that's key of the
entire management through which they can hold success and growth. As by developing and
improving their functions of work appropriately which made their departments that is responsible
for hiring and making selections for the further training and motivating people which can reduce
heir conflicts of the company. The major responsibility is to make sure that the employees are

satisfy with their job and work and motivate them. Through this kind of steps enhance
birthweight performance in terms of the knowledge, work and many more. It is the responsibility
of the human resource department is to hire the capable staff members who can perform the
business activities and their job in a proper manner. Manager should provide them training
facilities for the purpose of enhancing their capabilities of work, knowledge and the skills.
Research and development :- In the research and development section for the markets
they usually interpret and examine their consumer so they can realize their what actually expect
from their support and side. They also demands to figure out the demands and preferences of the
consumer by doing the market research (Elzinga, Gulledge and Lee, 2012). So, they will get the
idea about the clients attitude and to stand in the market environment they have to innovate their
things an present the product in respective creative idea. They need to work and determine all the
features of the product an development them so the consumer will attract more that leads to the
rise in sales by maximizing profit.
M2 Advantages and disadvantages of interrelationships between organisational functions and the
impact
In the Apple business organisation, there are different departments are working. They all
are working together for achieving the common goals and objectives of company. The main
advantage of interrelation among the organisational functions is that they all work in a team and
also support each other. Its impact will be good and positive on business. Its main disadvantage
is that their work is different from each other and also they do not have much knowledge about
the work of other sector. So, it will develop the negative and bad impact.
D2 Impacts of both macro and micro factors have upon business objectives and decision-making
The two different environment micro and macro both can be create a positive as well as
negative impact on business. To create a good impact on business, it is necessary to management
of Apple company is to control all the micro factors. It will helps in decision making process. On
the other hand, macro factors are mostly develop the and affect and also creates problems in
achieving the gaols and objectives of company.

TASK 3
P4 Positive as well a negative impact of Macro environment on business operations
The Apple Inc. deals with the great impression when it comes to the market strategies for
their better technological products. They has usually occurred from the various policies and
strategies which already structured by their organisation. They make their successful target by
the specific time interval so they can attract more consumers by their current ideologies,
products, fourth coming trends of products which also ca keep their respective demands and
other requirements in their contrast. There are number of the companies which face some kind of
the decrement in the market place, share that actually observes by their external components
which might be present in these current macro environment. This kind of the organisation
introduce various new current and fresh product in the business environment after the
appropriate examine of products (Gebauer, Paiola and Edvardsson, 2010). The status of the
market is very dynamic and consist of very favourable conditions which might be improved
along with the time.
Some of the negative as well as positive affects of macro environment given below as
above:
Economical- It is the main and important component of the external factor. Under this,
all organisations are impacted through the international as well as national issues and problems
related to the economic. It consists the interest rate, inflation, share market, fiscal policy etc. All
the components related to this factor are affect on the business organisation and it can be
negative as well as positive.
Technological- In this present time, the technology impacts positively on the business.
With the help of technology, company can make its operations and activities in an effective and
efficient manner. Like, Apple business firm uses the new technology for increasing the features
and new specifications in its electronic products. The fastest and advanced technology helps in
increasing the quality of products. With the help of technology, staff members can do the
business activities in an effective and efficient manner.
Environmental- It impacts more on the transportation services. If the climate will be
good then its impacts will also be good and from this the transportation of goods and services
can be done properly (Gecevska and et. al., 2010). If in case the climate will not be good then in

this case, the services and the products will not be delivered on time and it creates the negative
affect.
Political- The instability in the political parties creates a bad impact because from
changes the parties the rules and regulation are also change. The rules and policies of every
country is different from each other. Some of the legal system like for an instance an anti
discrimination and the minimum wages develop the internal environment.
Legal factors- It is related to in what manner the law impacts on the behaviour as well as
business. It consists the health and safety act, copy right, import or export law, discrimination
law etc.
M3 PESTLE model to support a detailed analysis of the macro environment
The PESTLE Analysis is necessary to examine the macro environment which can impact
on the business. In the PESTLE includes political, social, economical, technological and alos
environmental. Apple Inc. do not control all these factors.
TASK 4
P5 External and internal analysis of organisations in strengths and weaknesses
The analysis related to SWOT helps in understanding the external as well as internal
weaknesses, strengths, threats and weaknesses of Apple business organisation. The internal
environment are those components which top management or can say a business organisation
can not control them (Hamilton and Webster, 2015). It consists customers, employees, suppliers,
society etc. The top management of Apple company includes the people or employees in the
decision making process. On the other hand, company can not managed and control the external
factors and in it consists the technological, environmental, political, social, legal and the
economical factors.
The SWOT analysis of Apple organisation given below as above:
Strengths (Internal environment)
Apple is a big or can say large size organisation in the United Kingdom. The main motive
of this business enterprise is to provide good quality and the unique features technical products.
The main devices of this company are iPhones, Mac Book, iPad and many different devices. It
promotes it products on large scale (Iskanius, Page, Anbuudayasankar, 2010). It is a valuable as
well as strong brand name. Some of the strengths of this company given below as above:

 The main strengths of Apple company is that it is a leadership of its services and
the products at the market place.
 The profit margin of this firm is high.
 This telecommunication company conducts its promotional activities son the big
platform and also expense more on it.
 Apple company has a strong brand name and it innovate many new things to
make the products better and unique from others.
 It uses new and advanced technology in its business and regarding it, managers
gives the training and also provides guidelines regarding it.
Weaknesses
 The cost of this product is higher than the other company's products.
 Minimizing in the sales of this company due to reducing the sales of Mac, iPads
and the iPhones products.
 The major weakness of this company is that it has a limited distribution of
network.
 The buyers of Apple products are low in numbers because the cost of its products
are high.
 In the latest versions of goods, there is no any kind of improvement.
 The expend low on the research and the development as comparison to the other
telecommunication business organisations (Kang, Lee and Kim, 2010).
Opportunities
 It can do the investment in the research and the development programme.
 This company can make concentration on the segmentation of products and
services.
 It can enhance the compatibility of goods.
 It can expand its distribution channel.
 From making improvement in the technology, the demand of smartphones and the
tablets can be increased.
 It can develop the new products and services in its products line.
 This company can develop the strategic partnership.
 The management of Apple Inc. can diverse its products.

Threats
 Because of the tax scandal, the good will of this company is damaged.
 Maximizing the cost of production and from this the process of products are also
high (Klapper, Lewin and Delgado, 2011).
 Lack of stability in the China country.
 The cost of labour is increased in those countries where the plants of Apple
company are located.
P6 Strengths and weaknesses interrelated towards macro factor
The top management of Apple business organisation can not managed and also controlled
the external or can say macro factors. It can impact on the policies, rules and regulations,
decision making and the level of performance of this organisation. Some of the major elements
are included in the external factors such as legal, political, technological, social and also
environmental (Laumer, Eckhardt and Weitzel, 2010). So it is important this organisation is to
identify or can say determine all these factors and also trying to make the solution and take
appropriate actions against it. From this , the management of Apple Inc. can make improvement
in its business related operations as well as activities. It is essential for this company to do the
analysis of external business environment and making the business operations successful. To do
Illustration 1: SWOT related to Macro factors
Source: (Prioritisation, 2016)