Professional Documents
Culture Documents
Assignment No 1
Date: 26 August 2019
Declaration
By submitting this assignment:
I declare that all the work herein is my own, and that all external sources have been
appropriately referenced.
o I understand that any unreferenced or plagiarised / copied work will result in
an immediate failure.
I have read the assignment guidelines and understand that, any deviation or
nonadherence thereof will penalised which could result in a failure.
I understand that any submission after 18:00 on the due date will be penalised
Table of Contents
1 Introduction ......................................................................................................................................... 1
2 Significance of the assignment ............................................................................................................ 1
3 Company (Apple Inc) ............................................................................................................................ 1
4 How I approached the assignment ...................................................................................................... 1
5 Literature Study ................................................................................................................................... 2
5.1 The composition of the macro environment. ............................................................................... 2
5.2 The technological environment .................................................................................................... 2
5.2.1 Internet technologies and trends transforming public relations........................................... 2
5.2.2 Disruptive technology: Breaking boundaries, transforming work, enhancing lifestyles. ...... 2
5.2.3 Important current and future technology ............................................................................. 3
5.3 Economical Environment .............................................................................................................. 3
5.3.1 The influence of the internet on the economic environment ............................................... 3
5.3.2 Promoting economic prosperity in cyberspace. .................................................................... 4
5.3.3 International opportunity recognition as a critical component for leveraging internet
capabilities and international market performance. ...................................................................... 4
5.4 Social environment ....................................................................................................................... 5
5.4.1 Behaviour of millennials as consumers.................................................................................. 5
5.4.2 Managing public employee speech in the age of social media. ............................................ 5
5.4.3 Versatile leadership as a determinant of employee engagement. ........................................ 5
6 Corporate Social Responsibilities (CSR) ........................................................................................... 6
7 Case Study ............................................................................................................................................ 7
7.1 Technology Environment .............................................................................................................. 7
7.1.1 Internet technologies and trends transforming public relations........................................... 7
7.1.2 Disruptive technology: Breaking boundaries, transforming work, enhancing lifestyles. ...... 7
7.1.3 Important current and future technology ............................................................................. 7
7.2 Economical environment .............................................................................................................. 8
7.2.1 The influence of the internet on the economic environment ............................................... 8
7.2.2 Promoting economic prosperity in cyberspace. .................................................................... 8
7.2.3 International opportunity recognition as a critical component for leveraging internet
capabilities and international market performance. ...................................................................... 9
7.3 Social Environment ....................................................................................................................... 9
7.3.1 Behaviour of millennials as consumers.................................................................................. 9
7.3.2 Managing public employee speech in the age of social media. ............................................ 9
7.3.3 Versatile leadership as a determinant of employee engagement. ...................................... 10
8 Corporate Social Responsibilities (CSR) ......................................................................................... 10
9 Conclusion .......................................................................................................................................... 11
10 Reference ......................................................................................................................................... 12
1 Introduction
Over the last two decades the internet had a great impact on the macro environment of most
businesses. Following this impact of the internet, businesses had increased their participation in
Corporate Social Responsibilities. The literature covers a wide variety of theories on how the macro
environment impacts a business and the corporate social responsibilities of a business, but this study
will focus on the areas in a business impacted by the internet. A Case study has been done to look at
the applications of what is mentioned in the literature study.
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5 Literature Study
5.1 The composition of the macro environment.
The market environment has a direct impact on the wealth of a business, but apart from that the
macro environment also has an effect on a business. [2] The macro environment is made up of
different factors that can influence a business and its market environment directly or indirectly. The
factors are from external environment and is uncontrollable from a business side. The composition of
six different factors, forms the macro environment. The six factors consist of the following
environments; technological, economical, physical, social, institutional-political and the international
environment. [2]
People in organization and industries are highly affected by this technology as this leads to new
products, services and machines that are more efficient and effective than humans.[4]This technology
will have a large impact on the potential profit of a firm, GDP and capital investments patterns of a
nation. [4] It will change people’s way of life and have an impact on their work. Due to this innovation
it will create new opportunities and give nations and businesses a more competitive advantage over
their competitors. [4] The technology in a mobile internet device hold many advantages. By carrying
a small device called a phone you can use it to easily make a call, message, search for anything on the
internet, take pictures or videos and it enables you to share these photos/videos on social media. This
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device allows you to have a music library, stream movies on it or read the days newspaper and
everything can be done within 10 seconds.[4]
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Businesses use the internet to gain a larger amount of sales or to create a positive image of a company
or the brand of their product. [6] With no travelling or physical movement the internet has enabled
people to communicate with each other in a direct way. It has made life easier and cheaper as many
activities can be performed including to exchange information, have business negotiations, sales and
procurement.[6] Due to this using the internet for advertising has a strong influence on your target
market. The true skill of a worldwide company is estimated through its successful business operations
in the global environment, in the middle of which there is a user.[6] The speed and the quality of
information being exchange usually goes with bigger profit or sometimes the survival in the market
for every business organization that is dedicated to be successful. [6]
Freedom of speech had paved the way for rapid marketplace of information-based goods and
services.[7] The internet economy is dependent on platforms, these platforms are companies such as
Google, Amazon, YouTube and Facebook just to name a few.[7] These platforms then offer their
services like searching, social networking, file hosting and video distribution. The impact of the web
economy depends on the universal and affordable access to cloud services provided by these
companies. These platforms generate a huge revenue, with GAFAM (Google, Apple, Facebook,
Amazon and Microsoft). Their combined market capitalisation is more than $4 trillion [7]
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business network relationships. [8] By the end of 2015 the digital economy was growing twice as fast
as the rest of the economy in Australia and was estimated to contributed $70 billion.[8] The particular
expertise and capabilities for information and communication technology are required to manage
processors which will enable businesses to respond to environmental changes.[8] New international
opportunities need to be identified and a firms performance in a global network is dependent on a
selection of resources and capabilities as well as how a firm will make use of their capabilities to enter
the international environment.[8]
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includes standard of ethical and environmental responsibilities.[11] The business performance can be
directly linked to employee engagement.[11] A study was performed with the outcome that 49
percent of polish manager make use of only one style of leadership. [11] For a business this is a
potential threat, because the economic and social environments is unpredictable which forces
managers to think with a different perspective and be more effective at their every day job, this
includes how they manage their teams as well has to have a more innovative approach when it comes
to problem solving.[11] To survive in the new world research has showed that “leadership agility” is
required, which comes down to versatility leadership. [11] Organizations needs to support versatile
leadership in their business.
Environmental
Employee
General public
Focussing on environmental issues, businesses irrespective of their size generates a carbon footprint.
Businesses should strive to reduce their footprints which will be good for the company and society.[12]
With a lot of businesses that are international the workplace of businesses should treat their
employees ethically and fairly all around the world.[12] Social responsibilities in the general public can
be seen as company’s participating in charity events by collaborating with charities to fulfil their needs
or by doing good things without expecting anything in return if there was any problems in the
community.[12]
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7 Case Study
7.1 Technology Environment
7.1.1 Internet technologies and trends transforming public relations.
Lance Ulanoff from PC Magazine wrote that he wonders if the public relations at Apple are just temps
or actors that is hired when they need to talk to the media.[13] In a journal of website promotion, P.
Christ wrote that public relations with advertising and sales promotion is a key factor in a company
promotional and corporate communications strategies.[3] A PR should create a favourable image for
a business or customers by placing stories relevant stories in different medias. [3] Apple will keep you
guessing, never letting out any teasers about new products. [13] Public Relation in Apple do net let
the users know what the will be releasing instead they let the bloggers and podcasters speculate about
the rumours. [13] This however attracts a lot of people to their product announcements dates, that
only occur at key Mac-based shows. P. Christ wrote in his journal that using the internet can lead to a
lot more customers. [3]
Apples public relation has slip up with internet-enabled technologies in 2003 when they had
customers which were unhappy. Firstly Apple had a built in battery for their iPod which cost about
$300 and when your battery needs to be replaced over 18 months a $255 mail-in replacement service
will help you. [14] Secondly owners of a USB iBook came together to protest. All had the same
problem, claiming that the logic board was faulty. [14] Apple has not yet acknowledge that their
iBooks has a faulty logic board.[14] Part of a public relation professionals tasks is to formulate
strategies and tactics to manage an companies image according to P. Christ.[3] The Internet has helped
customers to create and sign petition. Although Apple has not yet respond to the iBook petition they
are known to respond to public opinion in the past, like when they reduced the battery replacement
service to $99 for the iPod.[14]
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Magazine wrote “at what point does the push to embed Internet access into our lives muddy our sense
of living and managing our lives?” [16] An interview done by M. Sullivan and published by Fast
Company with Apple Music’s head of global consumer marketing, Bozama Saint John said that she
want to listen to Apple Music on her iPhone, iPad, play it on her Apple TV, she want it to be connected
everywhere she goes.[17] With digitalization services that are available worldwide and are more
accessible as written by G. Christian [5] Apple also started an iCloud service, expanding there digital
services and keeping up with internet technology. [18] G. Cristian wrote that digital-based services is
important for a company. [5]
Apple created iTunes Radio and it made its appearance on September 18th 2013 with iPhones new
operating system, iOS7. [20] It had a lot of positive feedback from the critics and also thought that it
will blow the competitors away. However, the customers listening to the competitor Pandora internet
radio did not decline on the day that iTunes Radio were launched, but increased as students went back
to school. This shows the magnificent rate by which the internet users has grown by more than 2
million from 2000 to 2012.[6] Apple’s iTunes Radio did not make a big splash, but music veteran Jim
Griffin says it has a lot of potential. [20] iTunes Radio launched with advertisers such as McDonald’s,
Nissan, Procter & Gamble and Pepsi and they all spent a minimum of $1 million each for a 12 month
commitment.[20] Advertising can be used to your advantage as it has a strong influence on the market
that a business is targeting wrote Stanišić, Snježana B, Prodanović and Marijana M. [6]
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7.2.3 International opportunity recognition as a critical component for leveraging internet
capabilities and international market performance.
It took exactly two and a half years for the company to establish their survival and that they are able
to prosper in what they do wrote Peter Burrows in the business week Magazine.[22] In a journal
written by C. Glavas, S. Mathews and C. Bianchi they say that global businesses should use the internet
to their advantage when it comes to the economy. [8] Apple made use of the internet and their
innovative thinking by producing new products that included the iBook portable. In 1999 on December
7th it hit 117, a record and a 192% gain for the year. [22] There are potential that it could get to a high
of 140 which would give Apple a market cap of $22 billion and their ratio of price earnings will be in
line with the top PC makers wrote Peter Burrows.[22] Conducting research in international
opportunities is an important topic for a business according to the journal of C. Glavas and his co-
writers.[8] With Apple’s technology they are in a privileged position with their expertise and
capabilities to create new noncomputer products which is called internet appliances. C. Glavas also
wrote that part of the international opportunities is the dealing with new customers and reaching new
markets.[8] In 1999 Apple owned the second largest operating system in the world, E-Opportunities
[22] Net play will be another reason for Apple’s stock rise. Apple has a search engine called Sherlock
that does comparative pricing at e-commerce sites while their competitors have little in-house
technology.[22] Analysts also believe that Apple will soon capitalise on its QuickTime multimedia
software to make it the best platform to watch videos over the Net. [22] A firms performance in the
global network is determined by how they enter the international environment.[8]
Employees may use any website they want, but are prohibited in discussing Apple on the
website.
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No speculating on rumours is allowed. Employees may not even confirm or deny any given
information about new products, Apple regulations or services. [24] In R. Underwood’s journal
he wrote that free opinion of an employee of higher ranking in a business can also effect a
business.[10]
Social networks, blogs and other tools should not be used to communicate with other
employees. When employees have differences, they should not discuss it online, do not
discuss co-workers, may not post images of other staff without their approval.
Staff is prohibited to make any comments on any Mac or Apple related websites.
As an Apple employee you need to be in line with the Apple policies.
Apple’s full business conduct policy applies to employees and Apple’s business partners. Apple
has the right to discipline, or cut ties to any who is not in line with these policies.
Customers privacy is a priority for Apple as a brand. No information may be discussed online
about customers and employees may not contact customers for social reasons.[24] The way
an employee behave outside of work representing an business has a huge impact on a
business wrote R. Underwood.[10]
In a report done by Skye Schooling said that nearly 90% of consumers will buy a product because that
company supports an issue that the consumer cares about.[12]Tim Cook the CEO of Apple has pledged
that the Apple company has a goal to end its dependence on mining and that they will produce product
made of only renewable or recycled sources. [27] Apple has come a long way and for years now they
have been tracking and reducing their carbon footprint. Skye Schooling reported that a primary focus
in the CSR is the environment. [12] In 2016 Apple’s track record reported that 96% of the companies
electrical use globally comes from renewable sources.[27] Apple has challenged themselves to stop
their reliance on mining completely. In the process to achieve this goal, Apple has already eliminated
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metals such as lead, mercury and beryllium completely and found aluminium as a different source
than the metals, they are also moving towards recycled tin solder. [27] Apple has convinced their
suppliers to move to renewable energy sources and seven of their major suppliers has promised to go
green. [27]
9 Conclusion
A study was done focusing on how the internet has an impact on the macro environment on a
business. Focusing on the technology, economic and social environments of the macro environment.
In the study we can see that the internet goes hand in hand with technology, making life easier for
businesses and consumers in all aspects of the macro environment focused in this study. Due to
technology and internet, companies can be globalized and have markets around the world, there is
also more opportunities for businesses to develop and create new products. With the internet growth
over the last two decades the internet economy has sky rocketed, making the internet a main focus
in some businesses to use the internet to release their services and products to new markets all over
the world which will increase the GDP of a country. The internet has given businesses advantages and
disadvantages in the social environment. Digital companies can use the consumer social behaviour to
an advantage to boost product sales and know what the consumers want, while leading companies
today are under scrutiny and bad news spread light lightening. The internet has affected the macro
environment in a more positive way than a negative manner, and while the internet is part of
technology that is continuously changing for the better we will see in the near future that the internet
will continue to play a big role in all of the six factors of the macro environments that affects a business.
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10 Reference
[1] “Apple Inc SWOT Analysis.,” Apple Inc SWOT Anal., pp. 1–8, Jul. 2019.
[3] P. Christ, “Internet Technologies and Trends Transforming Public Relations.,” J. Website
Promot., vol. 1, no. 4, pp. 1–14, Dec. 2005.
[4] P. Angle and B. Biswas, “Disruptive Technologies: Breaking Boundaries, Transforming Work,
Enhancing Lifestyles-A Conceptual Study.,” IFIMs Focus Int. J. Manag., vol. 12, no. 2, pp. 44–
50, 2016.
[5] G. Christian, “Internationalization strategies for services: a retrospective,” J. Serv. Mark., vol.
30, no. 2, pp. 129–132, Jan. 2016.
[7] D. J. Weitzner, “Promoting Economic Prosperity in Cyberspace,” Ethics Int. Aff., vol. 32, no. 4,
pp. 425–439, 2018.
[9] B. M. Kristina, “BEHAVIOR OF ,,MILLENNIALS“ AS CONSUMERS.,” Bus. Stud. / Posl. Studje, vol.
9, no. 17/18, pp. 249–256, Jan. 2017.
[10] R. M. Underwood, “MANAGING PUBLIC EMPLOYEE SPEECH IN THE AGE OF SOCIAL MEDIA -
INSTITUTING POLICIES REGULATING PUBLIC EMPLOYEE CONDUCT WHILE BALANCING ACCESS
TO THE ‘DEMOCRATIC FORUMS OF THE INTERNET’.,” Illinois Public Empl. Relations Rep., vol.
35, no. 4, pp. 2–49, 2018.
[13] L. Ulanoff, “Apple Shuts Up, We Listen.,” PC Mag., vol. 26, no. 6, p. 57, Mar. 2007.
[14] G. Daily, “EPetitions: Power to the People?,” EContent, vol. 27, no. 3, pp. 8–10, Mar. 2004.
[15] C. Breen, “The I’s Have It: Apple and Innovation.,” Macworld, vol. 31, no. 2, p. 5, Feb. 2014.
[16] F. Kalman, “A Warning on Wearables.,” Talent Manag., vol. 11, no. 6, p. 4, Jun. 2015.
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[17] M. Sullivan, “BREAKOUT STAR.,” Fast Company, no. 208. Mansueto Ventures LLC, pp. 74–75,
Sep-2016.
[18] “LEADER: Making the most of digital takes original thinking.,” Des. Week (Online Ed., p. 2, Jun.
2011.
[19] G. Peoples and R. Waddell, “Apple: Changing Web Radio In 2013.,” Billboard, vol. 124, no. 46,
p. 42, Dec. 2012.
[20] A. Pham, “And One More Thing...,” Billboard, vol. 125, no. 37, pp. 6–8, Sep. 2013.
[21] B. Kunz, “Apple, Amazon, Google Wage Content Wars.,” Bloomberg.com, p. 2, Mar. 2010.
[22] P. Burrows, “CAN APPLE TAKE ITS GAME TO THE NEXT LEVEL?,” BusinessWeek, no. 3660, p.
52, Dec. 1999.
[23] S. Zoeler, “How Apple Uses Consumer Behavior Marketing to win,” 2019. [Online]. Available:
https://www.stephenzoeller.com/apple-consumer-behavior-marketing/. [Accessed: 25-Aug-
2019].
[24] C. Osborne, “Apple’s internal employee social media policies leaked,” 2011. [Online].
Available: https://www.zdnet.com/article/apples-internal-employee-social-media-policies-
leaked/. [Accessed: 25-Aug-2019].
[25] B. Stone and A. Satariano, “Three Long Years for One more thing …. (cover story),” Bloom.
Businessweek, no. 4395, pp. 64–71, Sep. 2014.
[26] mark ritson, “A SERIES OF INCONVENIENT BRANDING TRUTHS.,” Mark. Week, p. 62, May
2012.
[27] S. Fiscor, “Apple to End Its Reliance on Mining.,” Eng. Min. J., vol. 218, no. 5, p. 2, May 2017.
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