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Apart from its weaknesses, Apple is the world's leading brand. And at the same time, Apple's threats are growing since it is clearly on several companies' target radars. The analysis of this Apple SWOT discloses that one of the world's most prominent companies has used its benefits as a significant player in the technology sector. It recognizes all the major strengths, weaknesses, opportunities and threats which most impact the firm. The SWOT Analysis of Apple is discussed below:
· Apple's inventive product line is one of its main strengths over the years. After hit products, Apple has introduced successful outcomes, which was Apple's main strength. Apple initially produced the MacBook, the iPod, the iPhone and the iPad. In short, Apple has encompassed most of what a person would like.
· Of course, one brand equity must be high to stay in the leading position. As of 2016, the Apple brand is one of the world's most valued corporations. It was approximated that the brand value was $118.9 billion in 2015.
· Apple has had a significant market share and customer anticipation pass through the roof as a top organization since the 1980s. People expect good things every year, and it is not easy for anybody to maintain these expectations.
· As a company, Apple mainly concerns about the incompatibility of most of its products using software/accessories from third parties. On the whole, people enter the Apple universe when they purchase an Apple product, and they must continue with Apple only. It has an enormous effect on the decision making of consumers.
· Technological progress is always ability in the technology industry. And Apple is the one brand people can expect to make the most of its technology. Soon, people will expect even better MacBook's, Iphones, Ipads and watches.
· In an expanding economy, Apple is a growing corporation. The increasing GDP of developing nations is equally essential, and therefore, the usage of premium brands like Apple is increased. Any growing corporation requires a more significant market foundation, and Apple's territorial expansion is gradually building the market base.
· The market penetration of other brands on the smartphone market is one of the biggest threats to Apple. Android consumes market share, which is now 47.5%, while the iPhone accounts for 42%. Android is used by Samsung, HTC, Lenovo, and all who want to join. Android is, of course, being of Google (second most appreciated brand), Apple must be ready to compete for smartphones.
· MacBook is the best in comparison to other laptops. In the laptop segments, competition is growing steadily because of Dell, Lenovo, and Sony. Over the years, Dell has presented several beautiful models, such as the Alienware model. Although everybody loves Apple as a brand, MacBook is also faced with intense competition from other brands.
In the remote or macro environments of Apple Inc's high performance is connected to the effective response of external factors. The company's success is an outcome of strategic management that takes advantage of the opportunities and safeguards businesses against customer electronics and IT threats. Apple's PESTLE analysis investigates the brand's business practices. The PESTLE Analysis of Apple examines several external factors, such as political, economic, social, and technological, that affect its trade activities and legal and environmental factors. The PESTLE Analysis shows the various extrinsic situations involving the brand's business. PESTLE analysis is an indispensable structure for corporations like Apple to recognize the trends in the market and constantly enhance its trade. The analysis of PESTLE is also regarded as the analysis of PESTEL. However, the PESTLE analysis of Apple is discussed below:
· Apple is one of several American technology companies with large amounts of cash accrued. On June 30, 2015, the bank account of Apple had $34.7 billion. Income disparity has become a major political issue in the USA region, leading to higher corporate fiscal requirements.
· Apple relies heavily on lower-cost production in China. Social and political turmoil in China could interrupt or raise the cost of production in China. In an attempt to boost American manufacturing, calls have also been made to limit Imports in the US.
· The market potential for higher-quality consumer products such as Apple's markets could decrease stagnant middle-class income in some developed nations, including the USA.
· Higher labour costs in China can benefit some Apple products from their cost advantage.
· The worldwide area, such as Africa, where people do not know about Apple products, will have the most significant rise in consumer expenditure in the coming years.
· There is no strong emotional attachment of Apple products that boosts demand for customers in those markets and younger generations in established Apple markets, such as the United States.
· Competitors like Google and Samsung have shown a powerful capacity to reproduce products and services from Apple. Google's payment app, Android Pay, with the same functionality as Apple Pay, took less than a year to complete. In other words, several of the signature products and services of Apple are no longer unique.
· Apple can produce only a restricted number of new consumer goods. Many of its new services will have only a limited market, such as Apple TV.
· The heavily controlled financial service sector has recently entered Apple through Apple Pay. The degree of regulation and public supervision it faces could be increased.
· News reports show that Apple plans to enter another heavily controlled industry: car manufacturing. Apple could raise the cost of regulatory, insurance and lawsuits by entering the automobile business.
· Chinese manufacturing facilities are increasingly affected by pollution and other environmental side effects. It could lead at a certain point in the future to higher regulatory oversight and higher production costs.
· Improved regulations and expenses could lead to worry over energy use and other impacts from data centres.
This PESTEL/PESTLE analysis demonstrates that Apple's remote or macro-environment provides opportunities for many external factors. Because of its current position in the industry, the company can take advantage of growth benefits in IT goods and services in the world market.
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