Question 1/ Analyze the microenvironment and drivers of changes of the PC industry. What are the opportunities and threats facing Apple, Inc. (PESTEL analysis, “Uncertainty/Impact” drivers’ analysis and Scenario Planning)? 20% :
a) Opportunities and threats facing Apple, Inc.
Opportunities: * Entrance in new markets; * High levels of demand of Apple’s products (IPhone, IPad); * Damages from competitors who doesn’t respect Apple’s patent; * Exploitation of new advertising methods.
Threats: * High levels of competitiveness; * Dependence on specific suppliers; * Android system Vs. iOS; * Inflation; * Levels of taxes.
b) PESTEL analysis
Political factors:
According to Datamonitor (2012), 38.6% of the total revenues of Apple Inc. were from U.S. during 2011. Therefore, 61.4% of sales of Apple Inc. were from outside America. Bad global relations, wars, and terrorism can affect the business of Apple Inc. Furthermore, Apple Inc. manufactures many of its products and parts outside the U.S., like in Czech Republic, Korea, Ireland, Cork, and China.
Economical factors:
The global recession might have influence on Apple Inc. The inflation rate is high, while consumer’s earning did not have significant changes. Moreover, the unemployment rate has amplified, affecting consumers to spend less, especially on ‘Luxury products’. However, Apple’s revenue is not affected by this economic recession although most of the products of this company are luxury. Apple made it possible by designing different unique products from its competitors, which has increased the demand of Apple’s products (Apple website, 2012).
Social factors:
Nowadays, our social life is influenced by technology, and Apple Inc. is considered as the king of technology. The recent trend of using social networks has also influenced the
