Social the quality. The following social/sociocultural external
Globalization, the increased usage of the virtual world and
the current lifestyle are few factors that leave an enormous impact on Apple. Two
factors always have been on forefront of Apple product thought the history, the
design and the quality. The following social/sociocultural external factors are
the most significant in the firm’s environment:
1. Rising of mobile access (opportunity), Apple provide
easy-to-use mobile devices. Already, Apple taken steps to exploit this
opportunity, through the iPhone, iPad, and Apple Watch.
2. The music industry growth increased (opportunity), the
main essential music store is iTunes, people prefer to buy iPod, iPhones, and
iPad. Apple has gained so much from social factors because it’s defining an individual’s
3. Rising use of social media (opportunity). The rising use
of social media is also an opportunity because it increases demand for digital
devices like Apple products.
4. Potential market place in third world country (opportunity).
Apple can see growth in consumer spending in the coming decades in third world
countries where people are not aware of Apple products. The company can
penetrate the market unexplored market and can harbor new possibilities of
Apple always takes advantages because its innovative and
high technological products. The large amount has invested in research and
development field by Apple. current technologies and technological changes
affect business conditions. In Apple’s case, the following technological
external factors are the most significant:
computing trend (opportunity), that becomes
popular among individuals and organizations. Apple can exploit this
opportunity by offering cloud friendly devices and apps.Technological
integration (opportunity). Apple can take advantage of this
opportunity by continuing of providing products that connected to each
apps market (opportunity). Apple is in a positive to exploit major
opportunities in the technological dimension of its business environment.
The company operates globally which makes it vulnerable to
many legal factors and litigation:
1. Offering financial services by Apple Pay: This will
increase level of regulation and also Government oversight. Financial services
are offered which offers increased levels of legal action.
2. Entering automobile industry: Apple planning including
automobile manufacturing, pushing its team to begin production of electric
vehicles as soon as 2020. Auto business will also increase insurance, legal
proceedings and regulatory costs of Apple.
The biggest environmental issue faced by Apple us nonworking and disposal of
electronic devices. The expense of lithium batteries disposal costs very high.
E-waste can influence the Company’s revenues and brands.
Environmental and pollution concerns in China will finitely affect growing
concern which will increase regulation and result in high manufacturing costs.
The decision of China to limit the use of fossil fuels and cutting down
greenhouse gasses will increase electricity costs increasing manufacturing
expense for Apple.
Various environmental factors like:
Disposal of used or non-working
electronic devices: Apple is countering a massive problem of discarding the
electronic junk that is used or is in non-working position. This company is
facing a huge problem of discarding the electronics that has lithium batteries
in it. It would cost the company some huge expenses. Apple is forced to incur
the expenses because of the environmental factor related to it.
E-waste can be highly dangerous if not recycled
properly. The reason is that it contains harmful chemicals like lead and
arsenic. Ewaste if not properly disposed of can lead to environmental
pollution. Governments around the world are now increasingly focused on
controlling the environmental impact of businesses.
Global warming: Due to
increasing rate of global warming, Apple could face the problem of transoceanic
shipping that is the core part of Apple chain supply.
Increased electricity cost:
Apple is vulnerable to increased rates of electricity because of its dependence
on data centers and other internet infrastructure. The company has to shell out
more expenses in its manufacturing facilities.
Apple has focused on the creation of renewable energy to offset its