BB105 Marketing Principles: Apple Report - PEST Analysis and Strategy

This report provides a PEST analysis of Apple Inc., examining the political, economic, socio-cultural, and technological factors influencing its marketing strategies. The political analysis highlights challenges related to global market operations, supply chain management, and intellectual property. Economically, the report considers the impact of consumer price sensitivity and labor costs in China. Socio-cultural factors, including anti-US sentiment and changing consumer preferences, are also assessed. Finally, the technological section explores the impact of rapid technological changes and competition from companies like Google and Samsung. The report concludes with references to support the analysis.

MARKETING PRINCIPLES OF APPLE
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APPLE
MARKETING PRINCIPLES OF APPLE
System04121
8/14/2019

MARKETING PRINCIPLES OF APPLE 1
Contents
Introduction and about the company Apple...............................................................................2
Organizations mission, vision and goals of Apple.....................................................................2
Mission:..................................................................................................................................2
Vision:....................................................................................................................................2
Goal:.......................................................................................................................................2
Pest analysis of Apple................................................................................................................3
Political and legal:..................................................................................................................3
Economic:..............................................................................................................................3
Socio- cultural:.......................................................................................................................3
Technological:........................................................................................................................3
Conclusion..................................................................................................................................4
References..................................................................................................................................5

MARKETING PRINCIPLES OF APPLE 2
Pest analysis of Apple
Political and legal: political challenges are something that will hinder the performance of
Apple. One of the biggest political issues that effects the company are the business of Apple
in the global market as the political factor effects both the sales and the supply chain. Apple
has lifted a very large part of its manufacturing to china. The supply chain of the company is
very composite and it would be difficult for the company to manage the supply chain along
with the rules and regulations of china. Laws and regulations are a main test for any business.
Acquiescence is very vital or else the company can lose a huge part of the revenues.
Intellectual property rules and manifest related guidelines can also be a threat for the main
tech players. Apple confronted a design connected out-and-out test from one of the small
start-up in the year 2016 (Phillips & Moutinho, 2018). Apple is intensely reliant on on lower
cost manufacturing in China. Political and Social discontent in China could interrupt trade or
upsurge manufacturing costs in that nation. There have been also been calls to bound Chinese
importations in the United States in an exertion to increase American manufacturing. The
cost of discovery replacements to Chinese manufacturing might be from top to bottom for
Apple. This could tip to amplified prices for Apple produces.
Economic: the good performance economically means when the worldwide economy has
high buying control of the customers which turn the sales healthier. In the case of Apple
Company the products are well-known for their superior prices and the brand is only for the
high end customers, this is also one of the main reasons behind apple not working in the
Indian market. In the industrialized world, consumers are still price complex. This is the
main and the most significant factor that affects Apple’s sales (Khan, Alam, & Alam, 2015).
Certain of the economic issues of apple includes the Increase in costs of labour in
China can take away the fee advantage of some Apple produces. Another subject is the

MARKETING PRINCIPLES OF APPLE 3
Deteriorating middle-class incomes in some industrialized countries, like the United States,
can shrivel the possible marketplace for the higher-end consumer goods such as those
advertised by Apple. Apart from this a strong U.S. greenback can upsurge conversation rates,
Socio- cultural: The significance of the social issues can be unstated from the detail that
anti US feelings in numerous markets disturb the trades and profits of the US brands.
Separately from it, changing tastes and preferences also disturb sales of some of the specific
products. Lifestyle issues are also significantly connected to the deals of superior products
like Apple. There is recoil against luxurious and stylish produces among some clienteles in
the United States and Europe. Another one is the Ethical anxieties about Apple’s
manufacturing in China can limit its products’ application amongst socially-conscious
consumer.
Technological: Apple is a one of the company which is based on tech massive and so it is
guaranteed to be pretentious by technical variations. The past period has seen rapid technical
changes which must momentously changed the market subtleties. Per news bases, Apple is on
the edge of losing its site to Google in the Fortune list of world’s most valuable brands
(Zhang, 2017). Some of the Opponents like Google and Samsung have reputable and a
strong aptitude to duplicate Apple’s services and products. It took less than a year for Google
to move out a payment app; Android Pay, with the similar competences as Apple Pay. This
means that numerous of Apple’s main facilities and produces are no longer high-class.

MARKETING PRINCIPLES OF APPLE 4
References
Finkle, T. A., & Mallin, M. L. (2010). Steve Jobs and Apple, Inc. Journal of the
International Academy for Case Studies, 16(7), 31.
Kanagal, N. B. (2015). Innovation and product innovation in marketing strategy. Journal of
Management and marketing research, 18(4).
Khan, U. A., Alam, M. N., & Alam, S. (2015). A critical analysis of internal and external
environment of Apple Inc. International Journal of Economics, Commerce and
Management, 3(6), 955-961.
Phillips, P., & Moutinho, L. (2018). Strategic analysis. In Contemporary Issues in Strategic
Management (pp. 46-79). New York:Routledge.
Zhang, Q. (2017). Research on Apple Inc’s Current Developing Conditions. Open Journal of
Business and Management, 6(01), 39.