Principles of Marketing Management: Apple UK Market Audit Report

This report presents a comprehensive marketing audit of Apple, focusing on its operations within the United Kingdom market. It begins with an executive summary highlighting the importance of marketing management principles in driving business growth. The report includes an introduction that defines marketing management and its role in developing effective strategies. A detailed background on Apple is provided, including its founding and market position. The macro-environmental analysis utilizes the PESTEL framework to assess political, economic, social, technological, environmental, and legal factors influencing Apple's performance in the UK. Micro-environmental analysis examines the company, suppliers, consumers, and competitors. Competitive analysis explores strategic groups. A SWOT analysis identifies Apple's strengths, weaknesses, opportunities, and threats. The report concludes with key findings and strategic implications for Apple's marketing plan in the UK.

Principles of Marketing
Management

Executive summary
The principle of marketing management plays an very important role in enhancing overall
growth and profitability of the business through evaluating essential marketing ideas so as to
develop effective and implement essential strategy needed for the growth of the business. this
report highlights the comprehensive marketing audit of the company that would helps in the
development of the marketing plan. The audit is of the Apple company is taken into
consideration for the UK market in this report. this report includes the detailed analysis of the
current market and the macro analysis using PESTEL also the competitive analysis of the
company is also highlighted. In order to analyse the micro environment SWOT analysis is taken
into consideration along with the key strategic priority of the company.

Table of Contents
Introduction......................................................................................................................................1
Background......................................................................................................................................1
Macro analysis.................................................................................................................................2
Micro Analysis.................................................................................................................................4
Competitive analysis........................................................................................................................5
SWOT analysis................................................................................................................................8
Conclusion.......................................................................................................................................9
References......................................................................................................................................10

Introduction
The term principles of marketing management is defined as the process of use essential
marketing ideas by the business organisation in order to develop and implement effective
marketing strategy, it is mainly the principles on the basis of which the product promotion
strategy are developed. It helps business organisation to use effective marketing strategy which
leads to enhancing the overall profitability and productivity of the business. for this report Apple
company is taken into consideration in order to produce essential marketing audit that would
support the marketing plan. The report will focus on Apple marketing audit in the United
Kingdom market. The Apple is the top American technology company offering consumers
electronics, computer software and online services. The company is the world’s biggest
technology company founded in 1976 by Steve Jobs. This report highlights the detailed
descriptions of the company and the marketing that is considered for the auditing which is
United Kingdom along with the current market analysis. In addition to this the macro and micro
analysis of the company and the competitive analysis is also highlighted also the analysis of
SWOT is also explained in this report.
Background
The chosen company for this report is the Apple Company. The Apple Inc. is one of the
largest American technology company, founded in 1976 by Steve Jobs, Ronald Whyne and Steve
Wozniak. The company mainly offers consumers electronics, computer software and online
services to its potential customers, considered to the second biggest innovation technology
company around the globe particularly in terms of revenue and also the third biggest mobile
producer after Samsung (Alsem, 2019). Company continuously provide advance and innovative
products to their customers in order to satisfy their needs and also to maintain their position in
the market. Because of its innovation and creativity company has gain strong competitive
advantage in the market over the years. The company is operating in the global market satisfying
the needs and wants of its consumers through their relatively high tech products.
The Apple Company has largely expanded their market size over the globe and because
of its use of innovative and advance technology the company’s product are largely preferred by
the customers around the globe, company has large number of loyal customers around the globe
mostly in Europe ( Aula and Mantere, 2020). Most of the company products are sold in the
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United Kingdom. As per the marketing president of the Apple Company, it is analysed that the
sale of the Apple products in the UK especially iPhone has increased effectively. The sale of
iPhone in the UK market is increasing effectively with more than 42% share.
(UK Smart phone market share, 2020)
The above diagram shows the UK Smart phone market share of 2020, and from the above
it is analysed that the Apple Company continue to lead in the UK market with around 34.4%.
The company has strong position in the United Kingdom with its innovative products ( Beirman,
2020). The UK is one of the biggest and strongest markets for the apple company. The leads the
premium segment and is the main contributor in the enhancing the market value effectively. The
apple is the leading technology brand around the globe having strong brand image.
Macro analysis
The macro analysis is the process of analysing all the external factors present in the
environment which directly influence the functioning and profitability of the business. in order to
analyse the external factors the PESTEL analysis is taken into consideration. In context to the
chosen company the PESTEL analysis is discussed below:
PESTEL analysis: It is one of the most essential strategic technique used by the business
organisation in order to analyse the external factors present outside the business organisation but
directly impact the performance of the business (Fehrer and Nenonen, 2020). The PESTEL
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analysis helps business organisation to monitor various factors affecting business such as
political, economical, social, technological, environmental and legal factors:
Political factors: It includes factors like government policies, taxation, government laws
which directly influence the functioning of the business. Any change in the government policies
or political instability will create unfavourable environment for the company (French and
Gordon, 2019). In context to the Apple which is mainly the American based company but
operating around the globe. So any change in the import and export policies will directly
influence the company such as the current policies of imposing VAT of 20% on microelectronics
by the UK government has reduced the electric sale in country. So company has to follow the
policies and rules of country where it operates.
Economic factors: The economic factors includes inflation rate, interest rate and GDP
rate of the country, the developed economy will help company to grow and develop effectively.
Also the developed economy will allow its consumers to spend more on the lavish gadgets but if
the economy is bad then it will lead to consumers spending more on the lavish gadgets. In case
of Apple, the UK has developed economy and apple company leads in the UK market with more
than 34.4%.
Social factors: The social factors includes cultural and behaviour of the consumers which
directly influence the functioning of the business, in order to grow company needs to continue to
satisfy the changing needs of the society. The country like UK is mainly the Socio cultural where
the customers are moving towards fast and energetic lifestyle which leads them towards
depending more and more on the high quality electronics. Company like Apple continue to
provide high quality and advance and creative technology in order to maintain their position in
the market and satisfy needs and wants of the society.
Technological factors: The technological factors include any kind of technological
changes or any technological advancement which directly impact the functioning of the business.
in order to gain competitive advantage in the market place and continue to grow it is very
essential for the business to be technologically advance. In case of Apple which is an largest and
strongest technological company, it will be easier of the company to gain competitive advantage
in the UK market and attract large number of customers effectively (Grewal and Roggeveen
2020).
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Environmental factors: It includes working towards welfare and sustainability of the
environment in order to gain competitiveness. It is the duty and responsibility of each and every
business organisation to work towards the welfare of the environment. In case of chosen
company, it needs to ensure that they are fulfilling their social responsibility in order to enhance
their profitability and increase their customer’s size.
Legal factors: The last factor is the legal factor, it includes laws and legislation which are
needed to be followed by each and every business organisation. The UK government has
implemented a permission restriction law which limits unions. It includes particularly the
intelligent belongings draws the legal impact of the company. In order to work smoothly and
easily in the market the company needs to ensure that they are following all the required legal
laws of the country (Jobber and Ellis-Chadwick, 2019).
Micro Analysis
Company:
Company is one of the well established top technological company having strong brand
image around the globe. Company is continuously working on offer advance and high quality
technology services to its customers enhancing their customers level. Company is mostly
targeting the lavish group. They mostly manufacture the high quality electric products keeping
the needs and preferences of the customers effectively. Company also has large number of
supply chain dealing in the procurements of their products and services. The company
continuously work towards implementing effectively strategy so as to attract large number of
customers and also providing them high quality services through continuously investing the
market research understanding the trends. The company effectively promoter their products in
the UK market in order to attract large number of customers (Kant, 2020).
Suppliers:
The apple is one of the largest technology company and despites that company has very
strong and largest supply chain having large number of suppliers around the globe, company
buys required materials from the different suppliers and then transfer it to their assembling plan,
and the final product is offered to the consumers, the suppliers plays and essential role in any
company. Company has large number of suppliers from whom it retains its capital resources.
Apple is continuously involve in the supply chain process, where suppliers has to work
according to the standards set by the company.
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Consumers:
The company has large number of loyal consumers base around the globe, company
mainly target the middle and upper class group who are mostly tech lovers and has great desire
to pay for the high quality tech products. There i-pad devices is mostly catering the professional
groups because of the feature provided in the device by the company (Myers, 2019).
Competitors:
The apple is one of the top technology company around the globe and because of this
company has large number of competitors in the market. Some of the competitors of the
company are HP, Dell, Nokia, Samsung, Sony and so on. Because of its innovative and high tech
electric technology company has maintained its position the market and has continuously gain
competitiveness. Specifically in the UK market the company has maintain its position and is
continuously leading. in order to grow and develop it becomes essential for company to continue
to provide quality services to its customers effectively and enhance their productivity and
profitability. Apple is the leading company in terms of product development, economies of scale
and in addition to this also in terms of providing quality services to its customers.
Competitive analysis
The term competitive analysis is the process of evaluating and analysing the level of
competition available in the market, this analysis tools helps business organisation to analyse the
number of competition prevailing in the market so as to formulate effective strategy to handle the
competition in the market. In order to gain competitiveness in the UK market company needs to
continuously analyse their competitors effectively.
Strategic group
The strategic group is defined as the process of grouping same companies working in the
same industry following same strategy in the marketplace (Rahim, 2020). In context to the
Apple company some of the companies which comes under the strategic group of the company
can be Samsung, HTC and so on. in context to the chosen company the strategic group is
highlighted below:
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(Aboveavalon, 2017)
(Aboveavalon, 2017)
The first figure shows the Apple Company and its strategic group, from the figure it is
analysed that that Apple is the leading company. Mainly three companies are shown in the figure
Apple, HTC and Samsung, out of which the apple is the leading brand as seen in the figure 1. It
is analysed that Apple is one of the top leading technology company around the globe through
offering advance technology and innovation to its customers. It is also the leading smart phone
company in the UK market at the present (Salindal, 2019).
However the Figure 2 shows the consumers market which is mainly divided into three
category such as the lower income consumers, middle income level consumers and the high level
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income consumers who mostly prefer to buy the high class and high quality products and
services, for the above figure it is analysed that the Apple comes under the high income level
consumers, it offers high quality products and services to its consumers.
Perpetual Mapping
The perceptual mapping is the process of analysing the perceptions of the target
customers about the particular brand or product and services in the marketplace effectively. It is
mainly the diagrammatic representation or visual representation of the brand as per the
consumers preference, it helps in analysing the position of the brand in the market using
diagram. The perceptual mapping of the Apple in the UK market is highlighted below:
(Dr. Ana Adi, 2018)
As it is shown in the above figure that the apple is specifically comes under the high
reliability and high durability category of the perceptual mapping, as they the company is
directly associated with the high quality services and offering high quality products in the
marketplace. In case of UK market the main focus of the company is to offer quality products
with high reliability and high durability (Ziliani, 2019). The iPhone one of the product of the
Apple company comes under the high reliability in the UK, through effectively creating strong
position in the minds of the consumers.
Reviewing closest competitors:
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The two of the most closest competitors of the Apple company are the Samsung and Dell,
the Apple is continuously providing high end quality services and innovative products to its
customers and maintained around 93% of the total earning in their smart phone industry till now.
But it is analysed that the Samsung is also brining new and innovative technology in the market
directly competing with Apple. But with Apple catering the high income level consumers the
profit of Samsung comes down as compared to the Apple. However the Dell is the second direct
competitor of the Apple. Dell is the main operator of the desk based and mobile PCs, the
company offer quality product and services in the various market specially in the UK, but even
though the Apple with its smart iphone remain at the top in the UK market (Szablewska and
Kubacki, 2019).
SWOT analysis
The SWOT analysis is the strategic approach used by the business organisation in order to
analyse the internal factors present in the business organisation but has direct influence on the
functioning of the business. The SWOT analysis is the acronym for strength, weakness,
opportunity and threat. In context to the chosen company the SWOT analysis is highlighted
below:
Strength Weakness
 Apple is one of the strongest and well
known brand around the world.
 Company is considered to be the
most innovative and technologically
advanced company.
 Company has large number of loyal
customers base around the globe.
 Apple has only limited distribution
network for its product and services
which work as its weakness.
 Company offers its product and
services at relatively high price.
 Company mainly targets only the
high income consumers.
Opportunity Threat
 One of the main opportunity for the
company can be expansion of their
distribution network.
 Also company can expand their
business in the new market.
 Increasing competition in the market
is the biggest threat for the company.
 Also changing political and economic
factors can also create threat for the
company.
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 Another threat for the company can
be increasing labour costs in different
countries where company operates.
Strategic priorities:
In order to continue to grow and develop in the UK market the main strategic position of
they company is to continue to provide innovative and advance technology to their potential
customers, company takes relatively longer time to launch their products into the market as
company requires time to innovate creative tech to continue to attract their customers in the well
developed market like UK. The strategic priority of the company to enhance their productivity
and profitability in the market and gain competitive advantage and also continue to maintain
their position.
Conclusion
From the above report it can be concluded that the principles of marketing management
plays an essential role in the developing and implementing effective and essential strategy
needed for the development and growth of the business. it helps business to enhance their
productivity and profitability. This report highlights the detailed analysis of the market audit of
the Apple for the United Kingdom market. and also the detailed analysis of the current market
along with the macro analysis using PESTEL and micro analysis of the company. In addition to
this competitive analysis of the company is done in order to analyse strategic group, perceptual
mapping and reviewing of the competitors and also the SWOT analysis is also highlighted.
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References
Books and Journals
Alsem, K.J., 2019. Applied strategic marketing: a step by step approach. Routledge.
Aula, P. and Mantere, S., 2020. Strategic reputation management: Towards a company of good.
Routledge.
Beirman, D., 2020. Restoring tourism destinations in crisis: A strategic marketing approach.
Routledge.
Fehrer, J.A. and Nenonen, S., 2020. Crowdfunding networks: Structure, dynamics and critical
capabilities. Industrial Marketing Management, 88, pp.449-464.
French, J. and Gordon, R., 2019. Strategic social marketing: for behaviour and social change.
Sage.
Grewal, D. and Roggeveen, A.L., 2020. Understanding retail experiences and customer journey
management. Journal of Retailing, 96(1), pp.3-8.
Jobber, D. and Ellis-Chadwick, F., 2019. EBOOK: Principles and Practice of Marketing, 9e.
McGraw Hill.
Kant, R.T., 2020. A New Dimension of Marketing Intelligence for Retailing Process
Optimisation: A Conceptual Approach. INTERNATIONAL JOURNAL OF CURRENT
ENGINEERING AND SCIENTIFIC RESEARCH (IJCESR).
Myers, M.D., 2019. Qualitative research in business and management. Sage.
Rahim, R., 2020. Pengaruh Bauran Promosi Terhadap Keputusan Wisatawan Untuk Berkunjung
ke Daya Tarik Wisata Ladaya Kutai Kartanegara. Jurnal Administrasi Bisnis Fisipol
Unmul, 8(4), pp.272-279.
Salindal, N.A., 2019. Halal certification compliance and its effects on companies’ innovative and
market performance. Journal of Islamic Marketing.
Szablewska, N. and Kubacki, K., 2019. A human rights-based approach to the social good in
social marketing. Journal of Business Ethics, 155(3), pp.871-888.
Ziliani, C., 2019. Loyalty and marketing (pp. 1-28). Routledge.
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