SMBP E6 External Factor Analysis Summary Table for Apple Inc

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External Factor Analysis Summary Table for Apple Inc SMBP_E6

For this essay, use the same company you previously used, and analyze how the company has implemented a corporate strategy or a future policy rollout. Consider strategy development, and the implementation phase. In your essay, address the following questions.

· What are the stages of a corporation’s life cycle? How can a corporation’s life cycle be extended? What stage is your company in?

· What is strategy implementation? What questions must strategy makers consider to begin the implementation process?

· It is important to assess the strategy-culture compatibility when implementing a new strategy. Do you think that culture follows strategy, or does strategy follow culture? In your response, use your company to illustrate your points. Justify your answer.

· What is Six Sigma? Why would a company want to implement it?


Your essay should be two to three pages in length, double-spaced, and in 12 pt. Times New Roman font. The title and reference pages do not count towards the minimum page length. To complete this assignment, a minimum of two reputable sources must be used, cited, and referenced. At least one reference must come from the CSU Online Library. Use APA style guidelines.

External Analysis of Apple Inc.

External Analysis of Apple Inc.

External Factor Analysis Summary Table for Apple Inc.

External Factors Weight Rating Weighted Score Comments
Development of Artificial Intelligence 0.15 4.0 0.60 Technological developments are moving towards adopting better methods of enhancing competitiveness. Adopting artificial intelligence in Apple Inc. will improve the company’s competitiveness since the product offerings will improve user experience. Artificial intelligence makes the devices unique, thoughtful, and intelligent. Adopting artificial intelligence in Apple Inc. would ensure the production of devices that enable human capabilities such as understanding, reasoning, planning, perception, and communication (Ijemaru et al., 2022). It helps to increase the efficiency and effectiveness of devices for better performance.
Production of environmentally friendly products 0.01 2.0 0.02 Society is consistently becoming aware of the importance of environmental protection. The increase in climate change has affected people negatively. Apple Inc. needs to become more environmentally responsible by producing products with little environmental effects (Tiia, 2022). This will increase their corporate social responsibility, image, and market share.
Employment of virtual reality 0.05 3.0 0.15 Apple Inc. is a company that operates in a competitive industry. Adopting virtual reality would enhance the company’s performance through various approaches. Through virtual reality, the company allows the customers to test the products before they can purchase them and prevent cases of dissatisfaction.
Globalization 0.02 3.5 0.07 Apple Inc. is headquartered in the United States. The company, however, needs to apply the principles of globalization and make its products available to every customer to increase market share.
Using green technology 0.05 4.5 0.225 Many companies are working towards increasing competitiveness by adopting green energy. The aim is to limit the effects of company activities on the environment (Hiremath & Gupta, 2022). At the same time, the use of green technology enhances the company’s corporate social responsibility.
Expanding distribution networks 0.01 3.0 0.03 Distribution networks determine the company’s efficiency in meeting customers’ needs. The expansion of the distribution networks will help to increase sales and profitability.
Russia-Ukraine war 0.02 4.0 0.08 Apple Inc. was negatively impacted by the Russia-Ukraine war. It resulted in the halting of product sales. Apple Inc. is the number three smartphone maker in Russia and sells 5 million smartphones in Russia. This is 16% of the market share. The war will influence the number of sales.
Increased competition 0.03 2.0 0.06 Many companies are engaging in the manufacturing of smartphones. The increase in smartphone companies in Asia has affected Apple’s market share.
Technological changes 0.02 3.5 0.07 Technological changes are constantly bringing new products into the market that are more attractive to customers (Datta, 2022). The constant changes are increasing the threats of new products that will replace the existing ones without innovation and creativity.
Tariffs on China 0.01 4.5 0.045 The China-US trade war resulted in an increase in tariffs, affecting the company’s profitability. The tariffs made Chinese products expensive in the US market (Lessambo, 2022). However, Apple production occurs in China, infecting the company’s profit margins.
Disrupted supply chain 0.02 5.0 0.10 The disruptions in the supply chain increase the problem of shortage of Apple Inc. products in different markets. It also results in price inflation and adverse effects on the economic well-being of the organization.
Counterfeits 0.04 4.0 0.16 Counterfeit products are a sign that affects the company’s profitability. These are products that the customers purchase under the guise of the original company products (Tan, 2022). Counterfeit products expose the company to reduced profits and a lack of reputational damage.
0.43 1.61


Overall, Apple Inc. is doing good in the smartphone industry as it has maintained leadership in the smartphone industry compared to the other competitors. The company can develop its competitiveness further in the industry by adopting renewable energy, virtual reality and maximizing globalization. The company is not aggressive in increasing the supply chains. At the same time, it must deal with counterfeits because they are increasingly affecting the company’s reputation, with customers purchasing counterfeit products with Apple Inc. labels.



Datta, P. M. (2022). Strategic Analytics for Decision-Making. In  Global Technology Management 4.0 (pp. 91–109). Palgrave Macmillan, Cham.

Hiremath, N., & Gupta, N. (2022). Marketing Strategies used by Apple to Increase Customer Base.  International Journal of Innovative Science and Research Technology,  7(7).

Ijemaru, G. K., Ang, K. L. M., & Seng, J. K. (2022). Wireless power transfer and energy harvesting in distributed sensor networks: Survey, opportunities, and challenges.  International Journal of Distributed Sensor Networks,  18(3), 15501477211067740.

Lessambo, F. I. (2022). Apple and Microsoft. In  Financial Statements (pp. 369–399). Palgrave Macmillan, Cham.

Tan, F. (2022). Development Prospect Analysis of Alphabet. In  Proceedings of the 5th International Conference on Economic Management and Green Development (pp. 330–339). Springer, Singapore.

Tiia, V. (2022). Competitor Analysis of the Wearable Fitness Technology Within the Personal Trainer Profession in The United States. Case Company X.

Apple Inc. SWOT Analysis











· Apple has a considerable market share

· The company is technologically advanced

· Apple has a diverse product range

· Increased Apple services

· Increased design and quality

· Huge customer loyalty



· Inadequate digital marketing

· The company has limited designs for phones

· Costly products

· Allegations of tracking customer locations

· Product compatibility issues




· Development of Artificial Intelligence

· Production of environmentally friendly products

· Employment of virtual reality

· Globalization



· Russia-Ukraine war.

· Increased competition

· Technological changes

· Outbursts of Covid




Apple Inc. Strengths

Regarding technological innovation, Apple has never lagged behind the competition. Among the most notable features that have always captivated purchasers are Airdrop and Siri (Chen et al., 2021). Apple was the first to market with a smartphone with a high-quality camera, but other manufacturers followed suit. Apple has always been ahead of the competition thanks to its innovative use of technology. The percentage of clients and consumers is essential for any business. When a company wants to expand and fill an unmet need in the market, it must diversify. Apple’s product lineup has evolved. In contrast, it may have started selling mainly computers and computer-related accessories.  Apple’s main priority right now is to improve its services. For instance, an iPhone has a classic design that has not changed in years but still exudes elegance. In the process, you have reached the pinnacle of social and economic success. Many consumers will not settle for subpar quality, and Apple understands how to keep its customers happy (Li, 2021). Apple takes great care to ensure that every product they release is of the highest possible quality by employing cutting-edge manufacturing methods. A steady stream of satisfied customers is a massive boon for any business. As unfortunate as it may be, Apple is one of those brands that enjoy devoted followings.

Apple Inc. Weaknesses

Apple invests a tiny amount towards digital marketing compared to other large businesses. Apple’s 2019 digital advertising spend is reportedly as much as 68% lower than the previous season (Chen et al., 2021). Externally, the iPhone 8 is simply different from the original iPhone in size and thickness. The phones were simple, spherical devices with a button press in the middle. Despite Apple’s best efforts, many iPhone customers feel a lack of visual diversity in the iPhone lineup. Apple’s products are among the greatest in the market, but unfortunately, most people cannot afford them. Many would-be Apple buyers have looked elsewhere for products because of the company’s exorbitant prices. Some claim that users’ actual locations might be revealed thanks to Apple’s tracking systems. Apple introduced a feature that allows customers to disguise their specific location in response to claims that the company improperly used user data (Sharma et al., 2020). The selling of iPhones mainly drives Apple’s revenue. Apple has made efforts to expand beyond the iPhone, but the smartphone remains a top seller. If iPhone sales were to fall for whatever reason, Apple would be in a very precarious position.

Apple Inc. Opportunities

With a new generation of AI sweeping the globe, Apple can use these advancements to make its products more accessible. There has been much progress in this direction, but much is still to be done (Li, 2021). Numerous efforts are being made to lessen the effects of climatic change. It is not just the planet that will reap the rewards of manufacturing eco-friendly goods. Still, it will give Apple a good impression, which could boost future product sales. Although most people associate virtual reality with gaming or other forms of entertainment, Apple can put this technology to work for advertising. An online platform would allow Apple to host its events for a wider audience. Over the past few decades, reliance on technology on a global scale has progressively increased. As a result, the demand for intelligent gadgets continues to rise, providing Apple with a fantastic opportunity to expand its customer base by enticing new buyers. The globe has become a small, interconnected community (Sharma et al., 2020). Thanks to the expansion of global trade and the development of faster and more reliable transportation, consumers can now easily order and receive goods from dependable businesses worldwide. This is an excellent chance for Apple to expand its client base and bring in more money from people worldwide.

Apple Inc. Threats

Companies worldwide are feeling the effects of the conflict between Russia and Ukraine. Apple, too, will lose money after pulling out of Russia. The United States has slapped significant tariffs on China, which has led to a rise in the price of Chinese goods (Zeng, 2021). With higher production costs, Apple will have to charge more for its goods. With competitors like Google, Huawei, and Samsung releasing increasingly cutting-edge products, Apple has reason to be concerned. Therefore, Apple must work hard to maintain its position as the market leader in this challenging environment. As a result of the rapid pace at which technology is advancing, the world’s existing technological infrastructure quickly becomes obsolete. So, Apple must embrace change and new technology to keep its dominant market position and thrive. Apple’s supply chain experienced severe disruption due to the Coronavirus pandemic in China (Sharma et al., 2020). Consequently, Apple experienced significant financial losses. Apple’s stock value dropped by $100 billion due to the delayed iPhone’s introduction to the market.


Chen, X., Liu, Y., & Gong, H. (2021, December). Apple Inc. Strategic Marketing Analysis and Evaluation. In  2021 3rd International Conference on Economic Management and Cultural Industry (ICEMCI 2021) (pp. 3053–3061). Atlantis Press.

Li, Y. (2021). Apple Inc. Analysis and Forecast Evaluation.  Proceedings of Business and Economic Studies,  4(4), 71–78.

Sharma, L., Burark, S. S., Kaushik, R. A., & Meena, G. L. (2020). Prospects of Custard Apple Value Chain Development in Rajasthan.  Economic Affairs,  65(2), 207-212.

Yie, C. E., Zhi, C. E., & Ping, N. T. S. (2021). A Critical Analysis of Internal and External Environment: Case Study of Apple Inc.  Journal of International Business and Management,  4(10), 01–14.

Zeng, L. (2021). An Analysis of Apple’s Internationalization Strategy.  International Journal of Frontiers in Sociology,  3(17).

Apple Inc. Analysis












Apple Inc. Analysis

Summary of the Company

Apple Inc. is a company that specializes in the manufacturing and sale of consumer electronics, computer software, and other online services. The company is headquartered in California, United States. The company has become a leader in the industry, competing with other companies such as Samsung. Some of the products produced by the company include the iPhones, Mac, Apple Watch, and Apple Tv. Apple Inc. has become the largest IT company in the world by revenue. There are five hundred retail stores around the world with over 120,000 employees.

External Environment

Several factors influence Apple Inc. in the external environment. The political stability and tax regimes in different countries of operation influence the company’s performance. The reforms in tax regimes in other countries, such as the United Kingdom in the 1980s, resulted in investment encouragement. However, Brexit has affected the market and Apple’s sales in the UK. The increase in UK corporate tax to 20% and the inclusion of other taxes that should be paid, such as environmental and value-added taxes, reduces the company’s profitability (Ren et al., 2022). High taxes result in increased prices for Apple products, reducing sales.

The economic environment has a significant influence on company performance. The factors such as inflation, fiscal policies, and the reduction in consumer spending power results influence revenues and profits. Covid-19 resulted in a decline in consumer spending and purchasing power for luxury products. It also increased inflation, reducing the company’s trend of growth in profitability over the years (Zhao & Zhang, 2022). Social factors such as changes in lifestyle, demographics, and perceptions positively favor company sales. The changes in consumer taste and demand for high-quality products have increased sales for the company. Technological factors influence the innovation of the company. Through research and development, the company develops new products that meet and satisfy customer needs. The legal aspects such as intellectual property, property rights, and the other regulations put in place affect company operations.

Current Strategies and Objectives

Apple Inc.’s strategies include focusing on designing and functionality of the products. The company has adapted to developing advanced features and capabilities to enhance competitive advantage (Tian et al., 2022). The innovations coming from the company have earned a more significant market share. The second strategy and objective are to improve customer experience. The customers are the pillars of success in the organization. Apple Inc. creates efficient marketing through videos demonstrating the use of the products to develop customer knowledge.

Company Position in the Next Five Years

The current strategy is efficient in enhancing company performance. However, these strategies will stagnate company performance in the next five years. The technological advancements and changes happening are resulting in massive disruptions in the market. Therefore, with problems in the industry, the company will be overcome by others.

Recommended Strategies for Apple Inc.

Apple Inc. has different opportunities for enhancing performance in the future. The company relies on using cheap labor in China to improve its performance. However, with increasing technology, the company will face challenges in enhancing its performance. Technology is increasingly coming up with new methods of improving production activities. Therefore, the company must evaluate its manufacturing approaches and operating strategies to develop new and sustainable practices. Using cheap labor increases the probability of dealing with conflicts with labor regulations. Therefore, new techniques would improve company performance in the future. Apple Inc. has a few products that are performing well in the industry. These include the iPhone and Apple Watch (Lu et al., 2020). These are products that have high opportunities in the market. Thus, the company must invest in the differentiation of its products through research and development. This should be coupled with regional market increases to further sales. The company should also engage in new product developments depending on technological changes.

Competitive strategies used by Competitors

Samsung company is the biggest competitor for Apple Inc. The company produces several products, such as smartphones, tablets, laptops, and televisions, which all enjoy a high market share. Samsung customers are confident about the products because they know company processes. Samsung comes with new products which compete against Apple. The company is also known for its fast customer service for any of its products (Roozitalab, 2022). Thus, Samsung has a more robust product portfolio. Secondly, the company uses effective pricing strategies to attract more customers. Samsung uses skimming pricing to ensure it gets a high value before the competitors launch similar products. The company also uses competitive pricing to ensure increased sales. Competitive pricing helps the company to beat the others in the industry.

Apple Inc. needs to enhance its competitiveness through efficient pricing in different markets. The company uses premium pricing in most market segments, reducing its competitiveness. Therefore, the company should adopt skimming to enter some markets and improve performance. Apple Inc. needs to design competitive pricing to ensure its products are competitive and attractive to different market segments. The new products need to be created per the customers’ needs. Therefore, it is possible with the competition and increases performance through innovative products.





















Lu, W. M., Kweh, Q. L., Ting, I. W. K., & Ren, C. (2020). How does stakeholder engagement through environmental, social, and governance affect eco‐efficiency and profitability efficiency? Zooming into Apple Inc.’s counterparts.  Business Strategy and the Environment

Ren, C., Ting, I. W. K., Lu, W. M., & Kweh, Q. L. (2022). Nonlinear effects of ESG on energy‐adjusted firm efficiency: Evidence from the stakeholder engagement of apple incorporated.  Corporate Social Responsibility and Environmental Management

Roozitalab, A. (2022). Employing strategic management to study the effect of brand awareness on customer’s loyalty: Exploring the mediation effect of perceived brand quality and brand communication: A study of Samsung electronics company in Tehran branch.  SMART Journal of Business Management Studies,  18(1), 38-46.

Tian, X., Yang, L., Huang, Y., & Fang, Y. (2022, January). Research on Supply Chain Shortage of Electronic Technology Companies under the Pandemic Situation: A Case Study of Apple Inc. and Xiaomi Inc. In  2022 13th International Conference on E-Education, E-Business, E-Management, and E-Learning (IC4E) (pp. 605–610).

Zhao, Y., & Zhang, Z. (2022, April). Strategy Analysis of the COVID-19’s Influence on Apple. In  2022 7th International Conference on Social Sciences and Economic Development (ICSSED 2022) (pp. 9–13). Atlantis Press.

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