Preview

Pestel Analysis on Apple Inc

Satisfactory Essays
Open Document
Open Document
401 Words
Grammar
Grammar
Plagiarism
Plagiarism
Writing
Writing
Score
Score
Pestel Analysis on Apple Inc
PESTEL Analysis on Apple Inc.

In analysing the macro-environment, it is important to identify the factors that might influence the organisation’s demand and supply levels and its cost (Kotter and Schlesinger, 1991; Johnson and Scholes, 1993). A PESTEL is one of the frameworks that help to understand market growth or decline, business position, potential and direction for operations (Kotler, 1998). PESTEL analysis is also useful when entering a new market or starting business operations in a new country and helps to tackle mere assumptions and adapt quickly and effectively to the realities of the new environment. PESTEL also ensures that company’s performance is aligned positively with the powerful forces of change that are affecting business environment (Porter, 1985).

Political Factors

Political factors that Apple Inc., might have to take into consideration when launching a new product or entering a new market might be laws and regulation like the Employment law, Consumer protection Law, competitive regulations, inter-country relationships, terrorism, taxes and government structures. For example, in some countries it is illegal to employ people under a certain age without proper approval by the guardians. Also some countries enforce importance of local employment before employing a foreign person.

PESTEL Analysis on Apple Inc.

In analysing the macro-environment, it is important to identify the factors that might influence the organisation’s demand and supply levels and its cost (Kotter and Schlesinger, 1991; Johnson and Scholes, 1993). A PESTEL is one of the frameworks that help to understand market growth or decline, business position, potential and direction for operations (Kotler, 1998). PESTEL analysis is also useful when entering a new market or starting business operations in a new country and helps to tackle mere assumptions and adapt quickly and effectively to the realities of the new environment. PESTEL also ensures that company’s

You May Also Find These Documents Helpful

  • Best Essays

    Jet2 stakeholders

    • 2343 Words
    • 10 Pages

    PESTEL analysis: This tool will select the vital influences on the company's future development, which factors are most likely to change and which ones will have the greatest impact on the company.( Oxford University Press, 2007)…

    • 2343 Words
    • 10 Pages
    Best Essays
  • Good Essays

    Pestle For Londis

    • 1163 Words
    • 5 Pages

    A PESTLE analysis is method for reviewing the macro environment factors that affect a business. It stands for: Political, Economic, Sociological, Technological, Legal, And Environmental. This analysis technique contributes towards the decision making that businesses are faced with. The analysis gives an insight into some of the potential risks and uncertainties the business or company may face; it also helps them to examine the future as well as current circumstances.…

    • 1163 Words
    • 5 Pages
    Good Essays
  • Better Essays

    Political factors that affect Apple would be the laws and regulations enacted by the government, specifically those that affect intellectual property and business taxation as well as trade restrictions and other business and public legislation. Every business must consider how government rulings can affect how they are able to conduct business both in a local environment and abroad if the business does business outside of the United States. Taxation is an important factor for Apple, also as they do business in other countries, import and export taxation would also be a potential factor that could affect their organizational growth.…

    • 1535 Words
    • 7 Pages
    Better Essays
  • Good Essays

    This article is a result of interviewing of dozens of people related to the company or experts sharing their personal view on the subject, including economists, manufacturing experts, technology analysts, academic researchers, competitors and corporate partners, government officials. The main aim of the article is to evaluate reasons and consequences of a decision of Apple Inc. to move the production of its products abroad. The decision was taken in and implemented in common in 2004 and was in line with exodus strategies of other hi-tech companies.…

    • 1353 Words
    • 6 Pages
    Good Essays
  • Better Essays

    Today, however with the introduction of PESTEL Analysis, managers have been able to make effective decisions for their organizations. PESTEL Analysis permits a business to conduct an, "analysis of four external factors that may impact the performance of the organization. These factors are: Political, Economic, Social, and Technological" (CBS Business Network, 2011). Amazon has used these factors capitalizing on their strengths to threaten their expanding market. For example, through a technological point of view, telecommunications technologies for the Internet have been increasing giving consumers the ability to shop from their home computers, laptops, and cell phones. This is relevance to Amazon because it increases the frequency of use and sources for Internet by online shoppers.…

    • 1113 Words
    • 4 Pages
    Better Essays
  • Better Essays

    One analytical tool economist’s use for doing business on a global scale is best known as PESTEL (Political, environmental, sociocultural, technological, economic, and legal). This term refers to environmental factors, and their effects on macro-economics. By analyzing environmental threats a firm can abide more closely to its business plan, thus helping it obtain its strategic objectives. "Knowing what industry- and firm-specific factors affect a firm is critical to understanding its competitive position and determining what strategies are viable" (Wheelen & Hunger, 2010, p. 107). Mathew believes that observing the mistakes and successes of other businesses will help to establish a better foundation for his prospective business adventure, all the while enhancing his overall business…

    • 850 Words
    • 4 Pages
    Better Essays
  • Satisfactory Essays

    A PESTLE analysis is a useful tool for understanding the ‘big picture’ of the environment in which an organisation is operating. Specifically a PESTLE analysis is a useful tool for understanding risks associated with market (the need for a product or service) growth or decline, and as such the position, potential and direction for an individual business or organisation.…

    • 359 Words
    • 2 Pages
    Satisfactory Essays
  • Satisfactory Essays

    Analisys Swot of Apple

    • 406 Words
    • 2 Pages

    One of the weaknesses affecting Apple is not a leader in the computer market. The Mac operating system, has a minority share in the computer market, which is dominated by manufacturers who use competent operating systems like Windows. Another weakness is its failure to be completely independent. The company depends on components and services offered by third parties, many of which are outside the United States. Finally, Apple invests heavily in research compared to other companies that play in the same field (Apple Inc., 2009).…

    • 406 Words
    • 2 Pages
    Satisfactory Essays
  • Powerful Essays

    PESTEL analysis focuses on the six principal components of strategic significance in the macro-environment: political factors, economic conditions, sociocultural forces, technological factors, (natural) environmental forces, and legal/regulatory factors. These are the significance factors of one industry varies and management will focus primarily on those with the greatest effect on their company. The most important factor in the vehicle insurance industry is Economic Factors.…

    • 3212 Words
    • 11 Pages
    Powerful Essays
  • Powerful Essays

    My organisation for this assignment is “Tesco”.It is one of the largest food and grocery retailers in the world, , operating around 4,331 stores. My report is aimed at analysing the micro business environment of company. I have used Strategic evaluation tools such as PESTEL, SWOT and others. Tesco is among the biggest food retailers in the world with returns in surplus of £54 billion in 2009 and over 470,000 workers. It has 4,331 stores in 14 countries. The company’s Head Office is based in Hertfordshire, UK and operates mainly in the USA, Europe and Asia.[1] PESTEL Analysis[2], analyses the vibrant and erratic environment in which company operates by identifying the forces that have the most impact on it’s performance, Influences Company has, to achieve strategically success. However this forces becomes interrelated some times.…

    • 1110 Words
    • 5 Pages
    Powerful Essays
  • Best Essays

    The fundamental concept of this work is to know and understand the business environment and its significance for both management students and for the owners and the managers of business organisations. MOTOROLA one of the global communication leaders will be evaluated for its changes and factors effecting its business environment over the last five years. The PESTEL analysis will be conducted to evaluate the environmental factors that have affected the company’s business which led the organisation to make specific strategies. Simultaneously this will also include conclusion and recommendation.…

    • 3276 Words
    • 14 Pages
    Best Essays
  • Good Essays

    UK toys and games industry

    • 1642 Words
    • 7 Pages

    Any changes in macro environment will inevitably influence on the company. PESTLE is a framework to estimate external forces (see Table 1)…

    • 1642 Words
    • 7 Pages
    Good Essays
  • Powerful Essays

    Pestel Eden

    • 2026 Words
    • 9 Pages

    It is of great importance to make an analysis of the environment in which an organisation operates in order to develop and implement a suitable, successful strategy for the company. According to Johnson, Scholes and Whittington (2008) the business environment of a company is an important issue determining its survival and success. There are several layers of this business environment – the macro environment, the industry or sector layer, the layer with competitors and markets.…

    • 2026 Words
    • 9 Pages
    Powerful Essays
  • Better Essays

    Change

    • 1442 Words
    • 6 Pages

    Matanhire andMazhazha-Nyandoro(2002) note that organizational transformation usually emanates from the organization’s external environment. The changes derive from the shifts in the relationships between the organisation as an entity and its environment. These changes in relationships result in organisations altering and adjusting aspects such as markets ,suppliers ,clients to be served .These changes can best be determined by conducting a PESTEL analysis. According…. to the PESTEL framework is a rigorous approach to identifying an understanding the main external environmental factors which affect an organization. It plays a role in focusing organizations on the choices open to them and the constraints and risks involved in these choices.…

    • 1442 Words
    • 6 Pages
    Better Essays
  • Good Essays

    In this paper, I will use Saputo Inc. as a model to analyze the dimensions of PESTEL that consists of six factors: political; economic; sociocultural; technological; environmental; and legal.…

    • 1328 Words
    • 6 Pages
    Good Essays

Related Topics