SWOT Analysis Apple has grown remarkably into an information technology giant at a staggering pace. A careful SWOT analysis reveals what Apple has achieved and how it can continue growing and succeeding in its complex and fast-paced market. Apple benefits from excellent brand recognition and a stellar reputation. Apple’s reputation attracts new customers and its performance retains existing customers, making its brand a valuable strength. Also, Apple profits from being a vertically integrated company, which allows it to control many elements in relation to its products, like the processor, hardware and software designs, operating system, and cloud services. It ensures that customers stay within their brand for all their technological …show more content…
Apple currently has $160 billion in cash available, twice as much as the US government. Since 2014, Apple has acquired 59 companies, in which most of them were successfully integrated into projects that Apple was already working on. Instead of investing large amounts of time and money into beginning new projects, Apple can afford to buy other fast-growing, innovative companies that can speed up their innovation and entrance into new technology sectors. Apple also has great room for growth with its recent entrance into the mobile payments market. Payments by mobile phone are quickly displacing card transactions as a safer, easier alternative. Apple can take advantage of this fact with its mobile payment service, Apple Pay, and generate even more profits. Another opportunity for Apple is to cater to quickly emerging markets such as China and India by creating a more affordable line of products. This could open up an enormous new market for Apple products and lead to tremendous growth for the …show more content…
Consumers in India are incredibly price conscious, and Apple recognized that people were not going to go out and spend upwards towards six hundred American dollars, especially when many of them are investing in this kind of technology for the first time. Again, Apple chose to not make a product exclusively for India to cater to the cost conscious consumers. Instead, they have chosen to emphasize the iPhone 4, which they are able to sell more inexpensively because of the fact that factory infrastructure is already developed and the prices for the phones components have actually decreased. As a result, Apple has created a sustainable strategy that allows them to satisfy demands in foreign markets without having to tailor their
This segment can either put Apple on the edge of advantage or decrease the company’s capabilities. Over the years, Apple has proven to be a giant in this field because of its innovative products and services. Apple always takes the led while its competitors follow suit, although this also poses to be challenge for the company, it took Google less than one year to replicate ApplePay, Google called it AndroidPay it has the same capacity to function just exactly like ApplePay. This shows that Apple’s products and services could be copied thereby reducing the uniqueness of the products. Because the short lifecycle of technology, Apple needs to keep upgrading its products and services to stay on the top of the game. “Because the industries in which
Within the last decade Apple has become one of the largest growing companies in the world and the largest valued company in the United States. According to a recent article in The Guardian, a global financial news website, “Apple set a record by becoming the first company to be valued at over $700bn (£446bn).” (Fletcher, N. 2014) This comes as no surprise to the average computer aficionado and shareholder as Apple has been making a name for itself since its inception. From its earliest Macintosh models to today’s iPhones, Apple has been a trailblazer for software, technology and revolutionizing the way we communicate on a Macro level. Their dedication to innovation, quality and service has made them
Apple Inc. uses the Apple brand to compete across several highly competitive markets, including the personal computer industry with its Macintosh line of computers and related software, the consumer electronics industry with products such as the iPod, digital music distribution through its iTunes Music Store, the smart phone market with the Apple iPhone, magazine, book, games and applications publishing via the AppsStore for iPhone and the iPad tablet computing device, and movie and TV content distribution with Apple TV. For marketers, the company is also establishing a very strong presence to rival Google in the advertising market, via its Apps business and iAd network
Apple is one of the largest and most powerful technology companies around the world, and one of the best example of the electronic product that gives the value for the technological field that we start living in since the Iphone was born. Apple has the market value to make it the largest private company in the world, and we all know its distinctive products and unique devices of iPhone and iPad as well as MacBook and private operating system, and Apple consider the world's ninth-largest company by revenue
Overall, Apple has a strong strategic advantage in these industries currently. While these advantages are important, they are not sustainable due to the efforts of R&D of other companies and the thought that consumer electronics are becoming more of a commodity for consumers as opposed to luxury goods. If Apple does not work to maintain high barriers to entry through their powerful knowledge base and keeping the market growing rapidly by introducing more niche products, they can expect their rivals to catch up with them technologically and potentially pass them because of their larger financial ability to market their products.
On a year to year basis the industry has grown 72.95 percent and on an quarter to quarter has grown 26.94 percent. This growth allows Apple to innovate and continue to lead the way in the industry (Total markets). As the industry grows Apple Inc grows with it as well. In 2014 Apple announced some very disappointing figures for its iPhone sales that had everyone thinking that it 's glory days when Steve Jobs ran the company is behind them. Then they reported the largest quarterly profit ever for a publicly traded company ever. This changed the mindset of everyone. Mr. Cook of Apple Inc stated “We certainly believe there are legs to it” when he commented about the iPhone sales growth. Some figures that he stated include that fewer than 15 percent of older iPhone owners upgraded to the iPhone 6 or 6 plus. Along with the majority of the people who did switch were from the Android operating system.
Apple’s SWOT analysis includes strengths that adhere to its great success; such strength is Apple’s marketing and advertising campaigns. Apple incorporates its products to portray a sleek, new, cool, the latest, and must-have technology image to its consumers. Our customer loyalty allows us to continue growing as a corporation and increases our already well-established brand awareness and reputation. Our strong financial performance is an outcome of our internal strengths highlighted. Apple’s weaknesses include, but are not limited to our patent infringements, defects that occur in our products, our declining market share, as well as our incompatibility with other os devices. Realizing our weaknesses allows us to develop goals that will correct these areas we currently need work on. The opportunities of our external environment; such as the ...
...ng its prices, which allow the brand to keep its reputation as quality product and upscale while touching an even wider audience. The disadvantage of Apple products is that they are quite expensive, many buyers would benefit from Apple quality, but turns eventually to other competing brands due to the high price.
Through its offerings Apple has been able to create a unique position for itself in the technology market. By operating on healthy margins it has been able to create phenomenal value for its shareholders. Apple, recently became the most profitable company in the world on the back of spectacular iPhone sales (34000 phones an hour) with around $180 billion in cash in its bank account. This is definitely a defining moment for Apple. As per the chart below showing the geographic distribution of Apple’s revenues, the Europe and the American markets are saturating
is yet to reach its maximum potential. Truly a unique entity in its accomplishments and organization, apple through the conviction and leadership of Steve Jobs its founder and then CEO; have pioneered the revolution of mobile technology. When it comes to strength, apple Inc, has a great marketing team with great marketing and advertisement capabilities, strong brand awareness, a strong and extensive distribution channel, and most of all a vertical integration and the most obvious which is customer loyalty. With the acquisition of valuable companies such as Beats, WhatsApp, mobile payment systems with the IPhone 6, wearable gadgets like the IWatch, apple uses these opportunities to satisfy its loyal
Computers and technology makes it easier for entrepreneurs to enter this market. Not only are major tech companies competing against one another, but they are also competing against little programmers that know how to code. In our time you will never know with certainty when a small group of engineers or computer scientists are going to create, “next big thing”. Apple has been able to have a competitive advantage over its competitor by creating the highest quality products and services. Some of Apple’s current competitors are Microsoft, Google, and Facebook, and a few other tech companies as well. Most people strongly people Apple is one of the stronger company its industry, but then again some other people have biased views. Financially, they are the strongest company in the world. Also people are always willing to pay a premium for their products because of their durability, quality, and prior experiences with Apple products. Apple is always on the look at for new innovative ideas and concept that are being produced by self-motivated entrepreneurs. They are always looking to hire bright minds and let them develop within the company. A lot of entrepreneurs, programmers and engineers do not have a problem working for Apple because of their well-established perks. Apple offers its employees of the best benefits in the world. They also fairly compensate their employees that work in the front-end store as
The reason why Apple has been so successful is the fact that the company creates high quality, stylish and sophisticated products by paying close attention to details. Apple products are seen as an indicator of high social status symbol and company has a huge number of followers. Apple entered the market when no other company paid attention to design of products, like phones and laptops. The market timing was perfect. While other companies were focusing on creating products by using the best technology that they can get their hands on, Apple paid close attention to details that are almost least important to other companies while creating new products. I am not sure that the company focuses on creating products that people actually need, but the company actually comes up with great products and tells people what they actually want. This want then translates into a need for the consumers. No other company has the guts to do that. It is like the engineers creating the products, actually make them for themselves. The products are user-centric and the company places all its efforts in ensuring that the products are easy to use, in order to deliver a great user experience. The products are easy to understand and learn.
Apple Inc. was established by Steve Jobs and Steve Wozniak on April 1, 1976 as a computer designer, developer and seller company. However, the company shifted its focus from only personal computer to include other consumer electronics such as portable media player and mobile phone in 2007. Apple Inc becomes one of the most popular makers in its field since it seems that its popularity has increased according to a report on www.statista.com that Apple Inc’s products sales was generally increasing throughout the first quarter of 2006 to the first quarter of 2014. On the one hand, it has increased its revenue from about 14 billion US dollars to more than 170 billion US dollars in 2013. All in all, the company is highly successful corresponding to its products’ development and their sales growth in world’s market.
The Apple brand name is a household name, the brand value of Apple, Inc. improved to $13,724 million in 2008 from $11,037 million in 2007 (Datamonitor PLC, 2009). Apple is different from its competitors because it produces high quality products, its products are also unique and attractive and this has helped to increase its market shares. Since Apple is known globally, 54% profits come from foreign markets (Datamonitor PLC, 2009). Apple products are easy to use and carry around, majority of its products are light, small and very easy to carry around and it has a major advantage of product diversity, there is something for every one of all ages.
The first part of our SWOT analysis is the strength attributes . What has Apple done successfully ? Well for one they have products that almost every member of every family can utilize . You have the very popular Iphone , Ipad , Ipod , Mac books and Ihome products . Their processing speeds are among the best. Apple has been successful in promoting a lifestyle beyond the products it makes . They have made mini versions of there products as well as implemented apps that kids can use so that parents can easily transition their device into a kid friendly tool .