Apple

PESTLE ANALYSIS
PESTLE ANALYSIS
What is PESTLE analysis ?
A PESTLE analysis is a tool used to gain a macro picture of an industry environment. PESTLE stands for
Political, Economic, Social, Technological, Legal and Environmental factors. It allows a business to
have a knowledge of the factors that might impact a new business or industry.

Apple PESTEL analysis involves the analysis of potential impact of these factors on the bottom line
and long-term growth prospects for the tech giants.Apple sells its products at a high retail price
because of its high reputation and brand value in the market. Still the products of Apple are bought
by large number of consumers because Apple brand is not limited to a utility, it is now a status of
prestige and luxury.
Political factors
The production charges and human resource are at the bottom in China. Which made Apple
detect it and so shifted most of its manufacturing unit within the boundary of China. This
move had invited the strong criticism of the american government. there's a powerful political
rift between the governments people and China. Even once this turmoil moving the
manufacturing units to China has extraordinarily benefited the Apple company.

Apple provides a mass contribution to the economy of the USA. thence the corporate enjoys
a awfully strong and dominant position in the form of government of the USA.
Economic factor
The major profit of Apple is generated as a result of it's exploitation a budget producing facility and
Human Resources of China. If China can introduce any national policy or theme relating to the
wages of labour, the corporate will have to be compelled to face a good setback.the most
importantity of the shoppers of the Apple Company are the center class and high class individuals
with high buying power. If there any decline within the financial gain of socio-economic class
occur, true will adversely have an effect on the sales of Apple gadgets.

The variation in the rate of exchange people dollar will have an effect on the company’s revenue
dynamically. If the american dollar performs well within the international market then the exchange
rates can increase, therefore company will receive significant revenue from the abroad shoppers
settled in China and Europe.
Social factors
Apple is extremely illustrious and therefore the most most popular whole among the tech
population. Even though, the gadgets of the corporate had did not gather a client community
in places like Africa. Even within the USA individuals with low financial gain refrain
themselves from shopping for the gadgets of Apple since they're very costly. as a result of
some moral issues of Chinese population they avoid buying the product of Apple. Since
China may be a giant market, being unnoticed from the market is a nice reversal to the
company.The management of the company ought to take sturdy steps to make individuals
responsive to the options provided within the Apple gadgets.
Technological factor
Apple has to copyright its innovations and merchandise and take legal proceeding against
whoever tries to repeat its technologies. the most competitive companies like Samsung and
Google have imitated several technologies and options from Apple and introduced within their own
product and services. several of the apps introduced in the apple store are traced and being
introduced in the mechanical man platform.

There are many low-cost various smartphones and tablets for pricey gadgets of apple. several of
the businesses are providing far more higher variants with top technology in an exceedingly less
expensive price. This has extremely shrivelled the demand of the Apple products. The
management of the corporate ought to take immediate actions since it'll decrease the market of its
product in an exceedingly tremendous method
Legal factor
Since Apple is employing a very advanced OS it's nearly not possible to get the information hold
on it in. this can be being victimised by criminals that is creating a powerful friction between the
govt and also the company management.Apple has recently started a secure and a really
regulated payment service through Apple Pay. this can be service is within the strict observance of
the government. the probabilities are that the government can conduct a strict scrutiny on this
matter.

it absolutely was everywhere the news and reports that Apple is designing on getting into the
Automobile market. This move could need the corporate to secure a lot of insurance, pay more
restrictive prices and alteration within the legal policies of the company.
environmental factor
The lithium batteries used in mobile phones are one of the significant contributors in the
environment pollution. Eliminating the waste from lithium battery is a very daunting challenge for
the company since the disposal of these lithium batteries are very expensive.

Recently China has shown a greater concern and a comprehensive approach towards the
protection of the environment against pollution. The chinese government has now adopted a
policy to reduce the carbon emission and hence decrease the greenhouse effect. Since most of
the manufacturing units of Apple are operating in China, this move may result in revenue
expenditure for the company.
Final analysis

The company is facing several challenges as we've got mentioned within

the Pestle analysis of the Apple. however the corporate is possessing a
dominant position in each political and economical field. So, it's robust
enough to hide all of the challenges display in the market.