External and Internal Environments Analysis Apple Inc.
January 29, 2013
Apple Inc. is a computer product company that was launched into the market through
the collaborative efforts of Steve Jobs and Steve Wozniak in the year of 1976 and is aimed
at reaching the diverse global community. The changes in the external environment of the
company determine the decisions that the corporation will make. Apple Inc. has reputable
frameworks that have been developed to assess the external environments of the company.
The company has identifies the specific domains that affect the operations of the company
from the outside. These forces on the organization enable the operations of the company to
be influenced.
In a broader sense, the entities that fall outside the operations of the Apple Inc and
relate to the company are the external environment. These are the elements that exist
outside the company confines and still affect the organization and its operations. The fast
expansion of e-commerce in the business realm is one of the major external factors that
affect the operations of Apple Inc. The company will hence have internal adjustments of its
systems so as to keep up with the changing e-commerce. Apple Inc interacts with its
external environment to accomplish it set goals.
Apple Inc is aimed at creating value and competition that is sustainable for the
company to attain great profit maximization levels. Through the followinginternal
competitive environments, Apple Inc can remain top in the computer market. The strong
brand image that the company portrays to the rest of the public leads to strong
relationships between the company and the consumers. The organization has the tendency
to focus on research and development therefore creating an avenue where new products are
brought in the market. These advances, adopted through research unveil the fresh
commodities in the market that meets the needs of the customers. Apple Inc has robust
financial performance that maintains the operations of the company. This favorable factor
promises Apple Inc a future full of certainty.
The main function of Apple Inc is the development of personal computers and its
related software. It also offers network solutions and other related accessories that boost
the operations of the PCs. The United States in the main operating place for the company
as the company offers its portfolio composed of the Mac computing system, iPods,
iPhones, iPads, and the specific servers. The operations of Apple Inc have been narrowed
down so as to appeal to a specific group of people with the need for effective personal
computers. This has boosted the corporate reputation of the company since it creates a
strong relationship between the product sales of the organization. Apple Inc has great
portrayal of leadership that is effective to the public. This creates credibility for the
company and its brand hence leading to company that is focused at satisfying the needsof
the customers.Through the external market, the organization will be able to remain
competitive and reach out to the diverse markets that have not been tapped into yet. The
most important factors that affect Apple Inc are as follows: the intense competition from
rival companies that have similar products. This high intensity in the business market
makes the company to lose out on potential consumers who will boost the profits of the
company. The declining PC sale in the market is another external factor that affects the
operations of Apple Inc. This lowers the revenue incomes of the company hence a decline
in the profit margin of the organization. The act of the company dependency on specific
suppliers to facilitate the operations of company propels the company to function
effectively.
An organization can be able to monitor its progress through the use of the SWOT
analysis where the strengths, weaknesses opportunities of an organization can be
uncovered. Through the company innovative products, the Apple organization creates a
great impact
in the PC industry. It is through these innovative ventures that the organization can be able
to fulfill the needs of the customers despite the changes that are being experienced in
e-commerce (Kennedy, 2004, p. 1).
One of the weaknesses that Apple Inc is facing is the act of product recalls. This occurs
when the defective products from the company are returned to the company from the
market. This request of product recall entails the return of a selection or the entire product
line of commodities to the selling company because of specific reasons. This company
weakness costs the organization a lot of valuable funds due to the legal liabilities that they
have to meet in terms of the damages for withdrawal when the goods are recalled back to
the Company. It is important that the external environment is controlled to avoid any
circumstances that will affect the operations of the company. This can be attained through
planning and forecasting of the company operations.
The company has great competitive advantage over other corporations in the same
field of business because of its unique products constantly placed in the market. The
opportunities that the company has are the new smart phones that have captured great
market value. The products have been proven to give the esteemed clients value for their
money yielding to high levels of customer satisfaction. These high rates of customer
satisfaction create customer loyalty for Apple Inc (“All about strategic planning“, 2011,
para. 3). The other 410 837 4825 The academic center room 126
favorable opportunity that Apple Company has over the rest of the companies offering