MARKETING

ENVIRONMENT
OF APPLE
MARKETING PRINCIPLES GROUP 6
PRESENTATION
 ĐÁNH GIÁ SỰ THAM GIA

1. Nguyễn Thị Bích Ngọc 10/10

2. Cao Tiệp Dư 10/10
3. Phan Minh Trang 10/10
4. Hoàng Phạm Mai Chi 10/10
5. Quán Đoàn Thảo Ngân 10/10
6. Nguyễn Tú Anh 10/10
INTRODUCTION

COMPANIES E.G. APPLE ARE INFLUENCED BY THEIR MACRO ENVIRONMENT (FORCES IN THE FIRM’S WIDER
ENVIRONMENT (JOBBER AND ELLIS-CHADWICK, 2016) AND THEIR MICROENVIRONMENT (ACTORS IN THE
FIRMS’ IMMEDIATE ENVIRONMENT (JOBBER AND ELLIS-CHADWICK, 2016)). THESE ORGANIZATIONS NEED
TO CONSTANTLY USE PESTLE OR SWOT ANALYSIS TO CONSTANTLY UNDERSTAND ITS ENVIRONMENT TO BE
ABLE TO RUN THEIR TRADES EFFECTIVELY AND EFFICIENTLY.
MICROENVIRONMENT
ACTORS IN THE COMPANY
Apple has achieved new heights of 01

MICROENVIRONMENT success under the guidance of Steve

Jobs. Steve was a great leader with
extraordinary management skills.

SUPPLIERS
Suppliers are stakeholders in a 02
business to which they provide
goods or services to in order to
achieve their own goals. For a
supplier security, predictability and
satisfactory margins are very
important.

MARKETING
INTERMEDIARIES 03
Although Apple has hundreds of its
own retail locations throughout the
world, it also uses the services of
authorized resellers who help the
firm sell its products all over the
world.
ACTORS IN COMPETITORS
Androids 04
MICROENVIRONMENT A competitor in the technological
term means a company that is
competing against another to
maintain and increase its market .

PUBLICS
The media, government, financial 05
bodies, and other general public fall
into this factor. Apple is effectively
dealing with government bodies by
adhering with all rules and
regulations

CUSTOMERS
Customers are a group that has a 06
potential or an actual interest or
impact on the ability of a business
to achieve its aims.
 CUSTOMERS
TARGET AUDIENCE DISTRIBUTORS
01 03
Apple is a premium brand which means that its Distributors can be a person or an organization that’s
target market are people from established involves in the selling of supplies of goods to shops and
families with a premium income level so people companies
with more secure and financially stable jobs such
as executives and managers tend to buy these
products.

USAGE ON CERTAIN APPS LOW PROFIT MARGINS

02 04
Apple has a number of different apps to target In India, retailers are concerned with the iPhone X profit
different people such as gaming, music and social margin to be being as low as 4.5% which can farther drop to
media apps for teenagers, note recording apps for 1.5% when card payments are involved.
college and University students, apps for sending
documents, communication with clients for
business people and touch screen for accessibility
for kids
MACRO-ENVIRONMENT
MACRO- DEMOGRAPHY
Reason: I wanted to
compare Apple’s target
01

ENVIRONMENT
market to its price range.

. 02

03
.
 DEMOGRAPHY
SOCIAL GROUPS WITH
INTERNET ACCESS:
I was interested to see Apple’s approach to the
increase in social media usage
In March 2012, Apple had around 20 million
iPhone users in the US which increased to about
70 million in 2015. Since then Apple has
continued to grow its user base and its power in
the US, keeping their existing customers and
attracting new ones by the use of new apps such
as facetiming and providing an easier access to
everything
INCLUSION AND DIVERSITY:
I wanted to explore cultural factors to further
evaluate the macroenvironment.
Apple is a multigenerational company with
employees from 18-87 with both female and
males. 45% of leaders under 30 are women and
17% are under-presented minorities. The
company also believes in pay equity and therefore
in every country they operate, everyone gets the
same wage.
MACRO- DEMOGRAPHY
Reason: I wanted to
compare Apple’s target
01

ENVIRONMENT
market to its price range.

ECONOMIC FACTORS
02
Economical factors refer to the
negative or positive aspects of a
financial nature that has a direct
influence on the overall profit made
by a company.

03
CURRENCY EXCHANGE
RATE
US dollars are becoming increasingly
powerful every single day, leading to a
negative impact on the apple’s revenues as
63% of its total sales are from international
markets This affects Apple when doing any
business with any country like India, China
or Pakistan.
COST OF LABOUR
China has Apple’s manufacturing units
due to its cost effectiveness when it comes
to resources in general but in 2016 the
ECONOMIC
average hourly salary in China reached
3.60 dollars which is an increase of 64%
since 2011.
FACTORS
MACRO- DEMOGRAPHY
Reason: I wanted to
compare Apple’s target
01

ENVIRONMENT
market to its price range.

ECONOMIC FACTORS
02
Economical factors refer to the
negative or positive aspects of a
financial nature that has a direct
influence on the overall profit made
by a company.

NATURAL-ECOLOGICAL
In the marketing mix, the ecological 03
factors look at the relationship
between people and the
environment such as climate
change, pollution control and
energy conservation.
 NATURAL-
ECOLOGICAL
RECYCLING AND NON-
WASTEFUL PACKAGING
(Reason: Companies are constantly
seeking ways to save and conserve
the resources at hand and I wanted to
see Apple’s contribution in this.)
ENERGY AND SCARCE
RESOURCE
CONSERVATION
(Reason: Same as recycling, energy
conservation is one of the main topics
on the news and I wanted to see how
much does Apple play a part in
reducing electricity usage overall with
so much offices across the world)
MACRO- TECHNOLOGICA L
These factors are concerned with
innovations in technology that can
04

ENVIRONMENT
have a direct affect with the
operations of the industry and the
market positively or negatively.

05

06
TECHNOLOGICAL
TECHNOLOGICAL
BREAKTHROUGHS
(Reason: I wanted to explore the ideas used by
Apple to increased its market)
Innovation has lead to companies earning a lot
more than others who just relied on information
technology. Apple has always been a trend setter
in consumer electronics business due to its
innovative ideas. In 2012-13, apple had 49% of
its existing customers converted 20% to iOS.
RESEARCH AND
DEVELOPMENT
(Reason: I wanted to investigate the effect of
competition on the development of a product and
how one company can be disadvantaged at some
points)
More investment is required in the R&D as of
competitive and short product life cycle nature of
the industry.
MACRO- TECHNOLOGICAL
These factors are concerned with
innovations in technology that can
04

ENVIRONMENT
have a direct affect with the
operations of the industry and the
market positively or negatively.

POLITICAL
Political factors are concerned with 05
the way and the degree at which the
government intervenes in the
economy of a business.

06
 POLITICAL
IMPACT OF US-CHINA LEGAL FACTORS
TRADE WAR
(Reason: China and US are rivals and are mostly on the news and These factors tend to have a certain
therefore was interested to see the effect it can have on companies such level of an overlap with the
as Apple) political factors but legal factors
In 2018, Apple’s revenues were negatively impacted by Beijing’s are more specific to the current
retaliation. China imposed 60 million dollars worth of tariffs on laws and legislation of a country
American imports which was a response to Trumps 200 billion dollars that impacts a business’s economy.
worth tariffs on Chinese imports. These laws include discrimination,
employment and consumer
protection laws.
AFFECT OF BREXIT
(Reason: Brexit is one of the major issues on the news
and it can have a great effect on Apple which was
something I was interested to research upon)
In October 2016, Apple increased its prices on many
existing, static products in the UK after Brexit to
minimize the effect of the drop in the value of the pound
on the total sales made by the company. This was
between 5 to 35%.
MACRO- TECHNOLOGICAL
These factors are concerned with
innovations in technology that can
04

ENVIRONMENT
have a direct affect with the
operations of the industry and the
market positively or negatively.

POLITICAL
Political factors are concerned with 05
the way and the degree at which the
government intervenes in the
economy of a business.

SOCIAL/CULTURAL
Social and cultural factors focus on 06
the factors such as demographic
characteristics, cultural differences,
and the influence of consumerism
on marketing.
Apple targets the younger generations with more
advanced technologies. The company’s target includes
almost all sectors of the society, for younger and the
older generation. They have designed the gadgets

SOCIAL/CULTURAL
software’s and colors according to it. This kind of target
market is larger sources of income.
CONCLUSION

To summarize, Apple compared to other smart phone brands is looking for a boost in its sales in the next five years in
spite of the forthcoming challenges which is due to its impressive ability to adopt to its challenging environment.
Apple’s iPhones are unique and innovative giving it an advantage over its competitors which can be seen in its sales
and revenues. However, Apple needs to alternatively plan political and legal factors such as the intention of reducing
risk associated with outsourcing, import restrictions and trade control, to help itself further in its sales.
MARKETING PRINCIPLES GROUP 6
PRESENTATION

THANK YOU
MEMBERS:

Quán Đoàn Thảo Ngân

Hoàng Phạm Mai Chi
Phan Minh Trang
Nguyễn Tú Anh
Cao Tiệp Dư
Hoàng Thị Thảo Phương
Nguyễn Thị Bích Ngọc