Question

PESTEL analysis for Apple Inc.

PESTEL (components are not limitative) Environment Political . Government stability • Taxation policy • Foreign trade regulations • Social welfare policy • Energy consumption • Waste • "Green" aspects Economic Socio-cultural Technology Business cycles • Demo-graphics Innovation • GNP trends • Income • Technology • Interest rates distribution transfer • Supply of • Social mobility Dynamics of money • Lifestyle obsolescence Inflation • Work vs. • R&D efforts . Growth Leisure • Industry spending on • Unemployment Education R&D • Disposable . Government income level spending on Legal • Competition law • Procurement law • Health policy • Safety regulation • Labor market related laws 10 R&D

Answer 1

Political factors affecting Apple

Political factors in each country and the world all have to do with politics and country relationships. The type of government leadership, for example, influences a country's decisions, as well as the tax laws, regulations and tariffs that a government levies over a trade.The most significant political dynamics pose a lot of opportunities in Apple's macro-environment. Improving trade policies and too stable policies in developed countries are the most important political external factors for Apple, these are both incentives for Apple. More free trade policies are developed over time, particularly with developing countries. Moreover, due to the stability of the political landscape in developed countries, incentives are being given to Apple. This is because Apple can foresee very little if any political problems in those countries impacting its business. Overall in the political part of the PESTEL review, Apple can boost its efficiency by taking advantage of the various political opportunities within its framework-enviornment

Economic factors that are important to Apple

Economic factors are linked to all the factors that affect the economy and its state. For starters, interest rates, inflation rates, fiscal policies, and foreign-exchange-affected imports and exports. All of the above items will determine the direction the economy will go, and companies like Apple will evaluate economic factors based on their environment so they can develop different strategies that will fall in line if the economy changes. For Apple opportunities are generated in their remote macro-environment by almost all of the external economic factors.

Fast growth in developing countries and stable economies in developed countries are the main external economic factors for Apple. Given the economic prosperity of developing countries, Apple is able to expand its market. Of Apple to be able to expand this is very necessary, because it will make them a larger company and generate more sales. Though more important is the rapid growth of developing countries. For example, high economic growth in Asian countries gives Apple huge opportunities to increase sales in those foreign markets.

Social/Sociocultural factors influencing Apple’s business environment

No nation is the same and there is a unique mentality in every country. Such specific mindsets can influence the sales of business products and services. To understand the demand and consume better companies such as Apple are researching the cultural implications, consumer habits, gender and associated demographics, and domestic structures. Social and socio-cultural factors are effects which undermine the company of Apple. That the use of mobile access and that the use of social media are the most important social or sociocultural variables for Apple, these are two opportunities for Apple.

If Apple continues to deliver easy-to-use mobile devices, the trend of internet mobile access becomes more common. With the launch of the iPhone, iPad and Apple Watch, Apple has already pounced on the opportunity. Furthermore, social media is increasingly popular in today's world, and growing social media usage is also an advantage for Apple as it will increase demand for its digital products such as the iPhone or iPad, where users can download loads of popular social media applications. Therefore, Apple has big opportunities to remain one step ahead of their rivals in the social / socio-cultural environment they need.

Technological factors in Apple’s business

There's a massive influence in any business technology, particularly on Apple. Therefore companies like Apple need to keep up with these changes and need to be able to integrate when needed. These variables are analyzed in order to enable businesses to understand how customers respond to different technological developments and how they use them to their advantage. The technological external factors in its macro-environment create opportunities for Apple. With Apple these technological drivers and opportunities are the cloud computing phenomenon, technological convergence, and the growing market with apps. Computing is getting more popular among businesses and individuals. Through delivering cloud-friendly devices and applications to businesses and individuals, Apple will take advantage of that opportunity. Furthermore, another major trend is technological integration of devices. To take advantage of this opportunity if Apple continues to offer products that can easily be linked to each other.

Environmental factors in Apple

Most of Apple's macro-environment's environmental factors include incentives. Company sustainability and trend, product-efficient trend and labor rights trend are these incentives. Apple is already discussing the potential to preserve business sustainability by recycling and the related programming. Components that emit less heat and professors were steps taken by Apple to increase the energy efficiency of their products by offering better batteries. By enhancing employment practices through its supply chain, Apple has already started to enhance its understanding of its customers. Apple are well on the way to resolving these environmental factors.

Legal factors that limit Apple

The business environment may be influenced as a result of changes in legislation that arise periodically. Compliance considerations include, for example, equal opportunities, health and safety, advertising standards, product labelling, consumer and drug safety laws. Businesses like Apple need to know what's legal and what's not legal in order to successfully sell their products. Each nation has its own set of rules and regulations so it can become difficult for Apple to export internationally. Apple would need to be familiar with the rules and regulations that apply to each nation they trade.

In addition, the most important legal factors that hinder Apple and are therefore challenges are increased privacy regulations and increased telecommunications regulations. There is a number of privacy relevant to digital technology use and this is being understood by governments. This results in the introduction of more privacy regulations on Apple. One reason this is a concern to Apple is that it will bring different challenges to Apple as they develop products that include transmitting private information that they are not used to. This can also become an advantage as they can create privacy-protecting apps.