Internal Environmental Analysis
The internal environment is critical to the success of a company. A proper SWOT analysis provides
one with the picture of the current position of Apple Inc. (Khan, U. A., Alam, M. N., & Alam, S.
Apple focuses mainly on the production of phones, laptops, desktops, music players and services
such as networking and software. Its position in the market can be determined by its powerful
performance, which led to the increase of investors’ confidence. However, stiff competition can
significantly affect their margins. The SWOT analysis will briefly look at the strengths,
weaknesses, opportunities and threats faced by Apple Inc.
Strengths: Apple’s strong market position and customer trustworthiness counts as one of their
great strengths. This was attributed to the “Apple’s ecosystem” which counted as one of their
primary competitive strategies. Secondly, Apple has a wide variety of products that are interlinked
and support one another. They are highly innovative and are planning for the release of their iTV
and other new items. It is regarded to be one of the most influential market leaders in the world. It
has done a great job at avoiding debt and consistently maintaining high gross profit margins as
compared to their competitors. As at 2012, it was considered to be the most valuable brand with
its value standing at $76.5 billion. Their customer experience is top notch, and they ensure to keep
their consumers updated at all times thus ensuring brand awareness.
Weaknesses: Its products are highly priced, and this poses a challenge due to the existent of
competitors with similar products at an affordable price. Efforts of reducing their market share can
discourage some of their consumers form using their products. Accusations of Apple not
complying with their patents has led it to lose some...
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