BTEC HND Business Strategy: Strategic Plan Report on Apple Inc.

This report presents a strategic plan analysis for Apple Inc., examining both its internal and external environments. It begins with an introduction outlining the report's purpose and scope, followed by an analysis of the macro-environment using PESTLE framework and stakeholder analysis. The report then delves into the internal environment, exploring Apple's capabilities and resources. Market competition is evaluated through Porter's Five Forces, and strengths and weaknesses are summarized using a SWOT analysis. The report then discusses strategic planning processes. The analysis highlights Apple's strengths in product quality and operational efficiency while acknowledging weaknesses like employee turnover and lack of innovation. The report concludes with a discussion of strategic options for Apple Inc.'s future.

Programme BTEC Higher National Diploma (HND) in Business (RQF)
Unit Title and Number: Business Strategy (Unit 32)
Assignment title Strategic Plan Report
Unit RQF level/Code
5/
(K/508/0574) Module Tutor
Name /Email
Olajide Joshua
Credit Value 15
Assignment
Brief Code
(J-A 2022)
RQFBMBS320205-V6
Cohort Name
Apr 2020A +Sep
2020A
Jan 2021A & Jan
2021B
Assignment
Date Set
04/01/2022
Student’s Name
Claudia Capalnas
Student’s
Registration
Number
25721
Submission Date
06.03.2022
Distribution
Date
Is this a first submission
yes
Is this a
referral
submission
no
Word Count
3193
Learner’s statement of authenticity
I certify that the work submitted for this assignment is my own. Where the work of others has
been used to support my work then credit has been acknowledged. I have identified and
acknowledged all sources used in this assignment and have referenced according to the
Harvard referencing system. I have read and understood the Plagiarism and Collusion section
provided with the assignment brief and understood the consequences of plagiarising.
Student’s Signature Date 06.03.2022
1
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Claudia
Feedback
The Executive summary is missing
The introduction needs to include
- the purpose of the report
- the scenario of the report
- a brief background information on your selected organisation for the report
- the scope of the report.
Macro-environment:
THE ATTEMPT NEEDS IMPROVEMENT.
Need to properly apply PESTLE framework to analyse the opportunities and threats
opened to your chosen organisation. The attempt made here is too superficial as it
not clearly addressing the task. Also, the Stakeholders' analysis framework included in
the section is not required.
Internal environment:
IMPROVEMENT REQUIRED
In assessing the internal environment, the VRIO frameworks seem to have been
used but has not properly examined how organisation’s resources and
capabilities can be used to gain competitive advantage.
Microenvironment
LO3 NEEDS AN IMPROVEMENT
The attempt made to apply the Porters's five forces to explore the
opportunities and threats confronted by your organisation in the industry where it
evolves is not sufficient. You need to properly apply the Porter's Five Forces
model to identify the level of influence created by each of the
competitive forces. You can further summarise the above positive and adverse
internal and external factors using SWOT/TOWS model.
Strategic Planning
LO4 NEEDS AN IMPROVEMENT
In deciding the strategic options and direction your organisation can engage to remain
competitive in the future, you need to develop a strategic planning process by
PROPERLY using a range of theories. In doing so, you need to
interpret and devise strategic planning for your organisation. You can revert to
the lecture lesson notes/slides to address this part.
2
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

FOR THIS WORK TO PASS YOU NEED TO IMPROVE THE ASPECTS OF LO1, LO2,
LO3 AND LO4 INDICATED WITH BOLD WRITING ABOVE
Further areas to improve before the final submission:
- The originality score must not be more than 15% in the final submission
- Need to cite all terms, concepts, theories and definitions and include the sources in the
full reference list
-Need to be mindful of the grammar, spellings and punctuations. The use of spelling
checks tool and proof reading may resolve the issues
3
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Table of Contents
Introduction......................................................................................................................................3
Using proper frameworks to examine the macro environment's effect and impact on the company
and its strategy.................................................................................................................................4
Examining the company's internal atmosphere and capabilities with the use of relevant
frameworks......................................................................................................................................7
Evaluating Market Sector Competition by Using Porter's Five Forces Framework for the
Company..........................................................................................................................................9
Using a Variety of Ideas, Theories, and Methods to Analyse and Develop Strategic Planning for
the Company..................................................................................................................................11
Conclusion.....................................................................................................................................14
Reference list.................................................................................................................................15
4
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Introduction
Many aspects of strategy formulation are employed in the process of developing the strategies
themselves. Strategic goals and objectives for firms like Apple Inc. may be developed by
considering these factors. Apple Inc. will need to adopt a strategy that distinguishes its goods if it
wants to stay competitive in the marketplace. Having a solid business plan is critical in today’s
competitive world of commerce, and it cannot be stressed. The whole investigation was centred
on Apple Inc., which is one of the most renowned business generating businesses currently in
existence, to better comprehend the operation of the business (Cateora et al., 2017). They will
not be convinced, and they will not be interested, in the same way, that youngsters who do not
use Apple Inc.'s goods are not. Finally, the value of fulfilling the needs will take precedence over
the importance of satisfying the interests of the parties involved. Switching parties is relatively
easy for these clients or consumers. There is a range of ideas that may be used for both internal
and external assessment. A strategic evaluation of the product, on the other extreme, is included
in every section of the report.
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Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Using proper frameworks to examine the macro environment's
effect and impact on the company and its strategy
Several different effects on Apple Inc. have been established by macro-environmental events,
including the economic downturn. Because of the function of the macro environment, each
corporate organisation may understand their requirements and how these requirements are
critical. The understanding of macro aspects that a firm like Apple Inc. has would enable them to
simply develop a highly strong system, which will assist in their continuous growth as well as
the enhancement of organisational efficiency (De Bruin, 2019). Apple Inc. can guarantee that its
goals are realised by having a deep understanding of each of these concepts, enabling it to beat
its competitors in the market. Aside from that, it will allow Apple Inc. to perform even better
within the system in this manner.
Mapping of stakeholders: Stakeholders may be made up of a wide range of people who have an
interest in the actions of a company. Stakeholders are those who will be impacted by Apple Inc.'s
decisions and actions. With the aid of a chart, it is possible to analyse and comprehend the
stakeholders.
Figure 1: Interest and influence of Stakeholder (Rubin, 2020)
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Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

The size of the image will need to be managed and kept carefully, it has been determined
throughout the study process. Apple Inc. employs a diverse range of individuals from a variety of
backgrounds. There are four possible perspectives on it, based on the findings of the paper. The
most important actors are those who are the most strong and who have the biggest stake in the
outcome. Apple Inc. sees itself as a law enforcement agency, among other things. It's less
probable that potential consumers of Apple Inc. would purchase their products if the effect is
reduced (Bryson, 2018). If a product's presentation isn't given enough attention or impact, a large
amount of information is going to be missed. Not only will they not be inspired by Apple Inc.'s
products but they will also have no interest in them. Finally, more weight will be given to
addressing needs than preferences to achieve success. Switching parties is relatively easy for
these clients or consumers.
PESTLE analysis of Apple
The PESTLE paradigm, when implemented to Apple Inc., may give a very effective knowledge
of the external system's influence on the firm's operations. A wide range of factors may impact
and supply different parts of a business's and a company's success (Asad, 2021). As a result, the
use of PESTLE analysis will be critical in this case.
Political dimension: Apple Inc. may be responsible for a growing number of political
consequences and systemic upheavals. In response, the activities of Apple Inc. have grown
increasingly closely linked to those of the administration. It seems that the government is paying
close attention to the activities of Apple Inc. Politicians, on the other hand, are pretty friendly
with them (Feys et al., 2015). On the other hand, Brexit has brought a large number of changes in
the political landscape. In this sense, the political activities of Apple Inc. are being compared and
contrasted.
Economic dimension: Apple Inc. has been involved in several business-related operations. The
economic effect plays such a large part that the jobs are becoming more and more secure. As of
7
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

the end of the year, Apple Inc. had a turnover of 40 billion pounds, which is the largest in the
industry. However, Apple Inc. will have to cope with additional issues now that they've
considered their employees' occupations. Employees play an important part in the efforts to fulfil
the organization's goals (Griffin, 2017). As a result, economic comprehension and management
are solidified. However, they have also contributed enormously to the GDP of the United
Kingdom.
Social dimension: There are several societal challenges that Apple Inc. must address. They'll
have to interact with the general populace. For them, it was simple to maintain intimate ties with
the many social groupings that comprised the system. This is the most effective method of
emphasising the significance of social gatherings. Apple, on the other contrary, does have a very
low consumer turnover rate and a client satisfaction rating that is far higher than the industry
average of 75% (Hitt, 2017). Due to its participation in several corporate social responsibility
initiatives, Apple Inc. has been able to set the bar at the highest level possible.
Technology dimension: In this circumstance, there will be a variety of technical considerations
to consider. Apple Inc. is a technology corporation, and it must deal with technical difficulties in
a precise manner. Organizational effectiveness can be simply ensured once they are in control of
their technical expertise. Since Apple has such an excellent grasp of technology, the company is
reducing costs while also improving customer satisfaction.
Legal dimension: Apple Inc. will be responsible for dealing with the legal implications of the
situation if they arise. Several legal laws and practices have been developed throughout the
years. Apple Inc. will have to practice severe caution in its dealings with the system in light of all
of the aforementioned legal considerations. The legal department of Apple Inc., on the other
hand, is part of the firm as a whole. Apple Inc. has performed well in this scenario.
Environmental dimension: Apple Inc.'s operations have no discrepant impact on the
environmental system as a whole. Apple Inc. was named the Green Company in 2015 for its
dedication to substantial stewardship (Kotler et al., 2018). Several crucial features of this
scenario are also being closely monitored by the authorities. Apple, on the other side, is keeping
a tight watch on everything that is going on here.
8
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

9
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Examining the company's internal atmosphere and capabilities with
the use of relevant frameworks
Internal analysis is required to have a better understanding of the firm's capabilities. To do an
internal analysis, one must examine the company's capabilities, costs, and market feasibility.
Measurements used in internal analysis provide critical information about a firm's assets,
liabilities, advantages, limitations, potential, and dangers. When all of this is taken into account,
the importance of the internal environment becomes clear.
SWOT analysis of Apple
Strengths: When it comes to this scenario, Apple Inc. has several advantages that must be
properly managed. A crystal-clear image of where Apple Inc. genuinely thrives will be provided
as a result of this analysis. As a result of this, they can operate effectively (Wells, 2018). They
can readily generate high-quality and effective products because of their operating framework.
They've also been able to lower manufacturing costs. Increased profits may be expected when
the cost of manufacturing is reduced significantly.
Weaknesses: Apple Inc. will also have to cope with the issues of scalability here. Apple Inc.
Weaknesses may cause a variety of problems. Apple Inc.'s turnover rate is quite large. The low
level of satisfaction among workers is one of the primary causes of the high rate of employee
departure. There has been no new technology offered by Apple Inc. for almost six years, and
workers' skills have not been oriented.
Opportunities: Apple Inc. will get a huge influence on the system as a result of the many
alternatives that will be available to users inside it (Rubin, 2020). Consequently, Apple Inc. is
obliged to take advantage of a variety of opportunities, including operational excellence, to
remain competitive. It was simple for them to maintain strong contacts with the various social
parties inside the system. This is the most effective method of emphasising the significance of
social gatherings. Apple Inc. sees it as one of the most significant changes.
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Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Threats: Several security risks have been identified in Apple Inc.'s investigation. Purchasing
raw materials has become too expensive as of recently. A new and substantial threat to the
institution has developed in the shape of the Brexit referendum (Mabey et al., 2018). It is a
significant political risk that could hinder the expansion of Apple Inc. As a consequence of
Brexit's negative political atmosphere, several businesses have closed, several changes have
happened.
The VRIO/VRIN framework: The VRIO and VRIN analysis frameworks are two of the most
effective tools for getting a hold of a company's internal resources. Regardless of where an
organisation is in the proactive direction, these processes make use of VRIO as a tool for
explaining almost all of the assets available (Planning Dynamics Inc. et al., 2019). "Does this
asset have a significant impact on the company?" it can be questioned. "Does the firm's
substance have a high level of uniqueness?" is an example of a question concerning rarity. When
it comes to acquiring or establishing a business, the problem of imitability may be compared to
the question of whether or not a company without resources or expertise has an advantage over a
corporation that already has them. "Does the company have the ability to obtain a competitive
advantage?" is a topic that often arises in the area of management. It is the most important
framework in the context of VRIO/VRIN (Kotler et al., 2018). Apple Inc. is at a competitive
disadvantage as a result of the scarcity and high monetary worth of the company's resources.
Apple Inc., on the contrary, will be at a competitive disadvantage if they are unable to get even a
single resource to help them. These considerations will allow Apple Inc. to sustain its
competitive advantage for an extended period.
11
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6

Evaluating Market Sector Competition by Using Porter's Five
Forces Framework for the Company
Figure 2: Porter's Five Forces (de Bruin, 2019)
Apple Inc. will need to put together several different understandings to do the 5 forces study.
When a company is researching its rivals, Porter's 5 Hypothesis may be utilised to aid in the
research process (Hm, 2019). According to industrial organisation economics, five factors
control the intensity of competition of a sector and, as a result, the revenue growth of a market.
Apple Inc. may be able to benefit from a range of related goods. The Five Forces Framework of
Apple is following:
Factor-1 Buyers power: It was determined that buyers' bargaining strength for Apple Inc. was
extremely robust, according to this study. Customers have had a big influence on the system
since the sector's purpose is to function in line with the demands of its customers.
Factor-2 Suppliers Power: As a result, Apple Inc. manages all of the natural materials
according to their own, which has helped them to have a more effective relationship with their
vendors. This has resulted in a major reduction in both the efficacy and efficiency of providers'
impact as a consequence of this.
Factor-3 Threats of new entry: It is now believed that the newcomer faces just a very little
threat from Apple Inc. for the time being. However, the industry demands enormous investment
12
Name: Claudia Capalnas
Student ID: 25721
Date: 06.03.2022
(J-A 2022) RQFBMBS320205-V6