ABSTRACT -1

INTORDUCTION TO PROJECT-1
INTORDUC–TION TO SAMPLE-1
STAT ANLYSIS-2
ANALYSIS-12
FINDINGS 1
CONCLUSION 1
BIBLIOGRAPHY 1
ABSTRACT
 I selected the topic SWOT ANALYSIS OF BUSINESS UNDERTAKING as
SWOT analysis is valuable because it's a widely used strategic planning tool in
business, education, and various other fields. Analyzing the strengths, weaknesses,
opportunities, and threats of a subject—whether it's a company like Apple, a
product, a project, or even an individual—provides insights into its current
situation and potential future directions. This analysis helps in making informed
decisions, developing strategies, and understanding the competitive landscape.
 I SELECTED APPLE because Apple Inc. is one of the most well-known and
influential technology companies globally. Conducting a SWOT analysis allows
me to evaluate Apple's strengths, weaknesses, opportunities, and threats, providing
valuable insights into its current position in the market and its potential future
strategies. This analysis can be insightful for individuals interested in
understanding Apple's competitive landscape, strategic decisions, and potential
areas for improvement or growth.
 To Start the research I will start the following procedure – To study business in
terms of its ownership, capital & profitability and making a swot analysis of the
business
 SWOT analysis helps in planning for the future by providing valuable insights into
the internal and external factors that can impact an organization or a project.
SWOT analysis forms the foundation for strategy development. It provides a
holistic view of the organization's internal capabilities and external environment,
INTRODUCTION TO PROJECT
SWOT analysis is a strategic planning tool used to identify and evaluate the Strengths,
Weaknesses, Opportunities, and Threats of an organization, project, or individual. It
involves a comprehensive examination of both internal and external factors that can
impact the subject of analysis. Each component of SWOT analysis include:
Strengths (S): include
Internal positive attributes: Distinctive competencies:
Weaknesses (W):
Internal negative attributes: Areas for improvement:
Opportunities (O):
External factors that can be beneficial: Areas for growth and development:
Threats (T): Threats are external elements that can negatively impact the organization.
External factors that pose challenges or risks: Potential obstacles to success:
The SWOT analysis process typically involves the following steps:
Data Collection:
Gather information on internal factors (Strengths and Weaknesses) through internal
assessments, employee feedback, and performance metrics.
Examine external factors (Opportunities and Threats) by analyzing market trends,
competitive landscapes, and industry reports.
Evaluate and prioritize the identified strengths, weaknesses, opportunities, and threats
based on their significance and potential impact.
Cross-Functional Collaboration:
Involve stakeholders from various departments or perspectives to ensure a well-rounded
and comprehensive analysis.
Strategy Formulation: Develop strategies that capitalize on strengths, address
weaknesses, take advantage of opportunities, and mitigate threats.
Implementation:
Execute the strategies and action plans derived from the SWOT analysis.
Monitoring and Review:
Regularly revisit the SWOT analysis to adapt strategies as internal and external factors
evolve.
SWOT analysis is a dynamic tool that can be applied to various scenarios, providing a
structured approach to strategic planning and decision-making. It helps organizations
align their resources with their goals and navigate the complexities of their operating
environment.
INTORDUCTION TO SAMPLE
Apple Inc. is a multinational technology company based in Cupertino, California, USA.
Founded on April 1, 1976, by Steve Jobs, Steve Wozniak, and Ronald Wayne, Apple has
become one of the world's most valuable and influential companies.: Apple designs,
manufactures, and sells consumer electronics, software, and services. Its flagship
products include the iPhone (smartphones), iPad (tablets), Mac (computers), Apple
Watch (wearables), and Apple TV (digital media player). Additionally, Apple offers
software services such as iOS, macOS, watchOS, and iCloud. Apple is renowned for its
innovative product design, user-friendly interfaces, and cutting-edge technology. The
company has a history of introducing groundbreaking products that redefine entire
industries, such as the iPod, iPhone, and iPad. Apple has built a strong brand image
associated with quality, innovation, and style. Its products are known for their premium
build quality, sleek design, and intuitive user experience.Apple products are part of an
interconnected ecosystem that includes hardware, software, and services. This integration
enhances user experience and creates synergies between different Apple devices and
platforms.Apple operates a global network of retail stores, known as Apple Stores, where
customers can purchase Apple products, receive technical support, and attend workshops
and events.Apple is one of the world's most valuable publicly traded companies, with
consistently high revenues and profits. It has a significant market capitalization and a
strong financial position.Apple is known for its culture of secrecy, innovation, and
attention to detail. The company fosters a collaborative work environment and
encourages employees to think creatively and push boundaries.Apple is committed to
environmental sustainability and has implemented various initiatives to reduce its carbon
footprint, use renewable energy, and minimize waste in its operations and supply chain.
Overall, Apple's combination of innovative products, strong brand, ecosystem
integration, and focus on customer experience has made it a dominant force in the
technology industry.
STATISTICAL ANALYSIS

This section starts with a operating profit history chart for APPLE INC. Heights of
the bar will help us visualize the operating profit year by year. The first section
denotes the operating profit of APPLE INC every year. The data includes 10
years between 2013 and 2023. Firstly, a table containing data used for plotting
the graph is shown. Later a bar graph with each bar corresponding to the profit
for a particular year is shown. According to the bar graph, there has been a rapid
increase in the profit in the year 2022 whereas the profit rapidly decreased in the
year 2013.The apple profits have been significantly increasing year by year but
there has been an increase and decrease in some years.
 OWNERSHIP
Apple Inc.'s ownership structure is a fascinating aspect of the company's
identity, reflecting its journey from a garage startup to one of the world's most
valuable corporations. Understanding Apple's ownership entails examining its
shareholder base, notable investors, and the implications of ownership on
corporate governance and strategic decision-making.

Shareholder Composition

Apple's ownership landscape comprises a diverse array of stakeholders,

including individual investors, institutional investors, mutual funds, and
pension funds. As of the latest available data, institutional investors hold a
significant portion of Apple's outstanding shares, shaping the company's
ownership dynamics and influencing its strategic direction.

Major Shareholders

1. Institutional Investors: Institutional investors play a pivotal role in Apple's

ownership structure, wielding substantial influence over corporate governance
and strategic decisions. Notable institutional investors include:
 Vanguard Group: Vanguard is one of the largest investment
management companies globally and holds a significant stake in Apple
through various mutual funds and exchange-traded funds (ETFs).
 BlackRock: Another major institutional investor, BlackRock, boasts a
substantial investment in Apple across its diverse range of investment
vehicles.
 Berkshire Hathaway: Led by legendary investor Warren Buffett, Berkshire
Hathaway has emerged as one of Apple's most prominent shareholders,
reflecting Buffett's confidence in the company's long-term prospects.
 State Street Corporation: State Street Corporation, a leading financial
services company, holds a substantial position in Apple through its
investment products.
 Fidelity Investments: Fidelity Investments, renowned for its mutual funds
and brokerage services, maintains a significant stake in Apple, reflecting
its confidence in the company's growth trajectory.
2. Individual Shareholders: Apple's ownership base also comprises individual
investors, including current and former employees, who have acquired shares
through employee stock options, employee stock purchase plans, or direct
purchases on the open market. Many employees view Apple stock as a
valuable asset and an expression of their loyalty and commitment to the
company's mission and culture.

Ownership Implications

The ownership structure of Apple Inc. has profound implications for corporate
governance, strategic decision-making, and shareholder value creation:

1. Corporate Governance: Institutional investors exert considerable influence

over Apple's corporate governance practices, actively engaging with the
company's management and board of directors on matters such as executive
compensation, board composition, and environmental, social, and governance
(ESG) initiatives. Shareholder activism has emerged as a potent force in
shaping corporate policies and holding management accountable for
performance and conduct.
2. Strategic Decision-Making: The composition of Apple's shareholder base
influences its strategic decision-making processes, including capital allocation,
product development priorities, and market expansion initiatives. Institutional
investors, with their substantial stakes and long-term investment horizons,
advocate for strategies that enhance shareholder value and sustain
competitive advantage in rapidly evolving markets.
3. Financial Performance: Apple's financial performance directly impacts
shareholder returns and market valuation, driving investor confidence and
market sentiment. Institutional investors closely monitor key financial metrics,
product sales trends, and competitive positioning to assess Apple's growth
prospects and investment attractiveness. Quarterly earnings reports, product
announcements, and strategic partnerships often trigger fluctuations in
Apple's stock price and trading volumes.
4. Innovation and Product Development: Apple's commitment to innovation
and product excellence is central to its long-term success and market
leadership. Shareholder expectations regarding innovation, product
differentiation, and customer experience influence Apple's investment
 priorities and resource allocation decisions. Apple's ability to anticipate
consumer preferences, disrupt traditional industries, and create compelling
products and services shapes its competitive position and brand identity.
5. Stakeholder Engagement: As a global corporate leader, Apple faces
heightened scrutiny from stakeholders, including customers, employees,
regulators, and advocacy groups, regarding its business practices, supply chain
management, and environmental sustainability efforts. Shareholders play a
crucial role in promoting transparency, accountability, and responsible
corporate citizenship, thereby safeguarding Apple's reputation and brand
integrity.

In conclusion, Apple Inc.'s ownership structure reflects a complex interplay of

institutional and individual investors with diverse objectives, time horizons,
and risk tolerances. While institutional investors wield significant influence
over corporate governance and strategic decision-making, individual
shareholders contribute to Apple's vibrant ecosystem of innovation,
entrepreneurship, and shared prosperity. As Apple continues to navigate
evolving market dynamics and technological disruptions, its ownership
structure will remain a defining feature of its identity and impact on the global
economy.

CAPITAL
pple Inc., one of the world's most valuable companies, has a complex capital
structure shaped by its financing needs, growth strategies, and investor
expectations. Examining Apple's capital structure involves understanding its
sources of funding, debt management, dividend policies, and overall financial
health.

Equity Financing:

Equity financing forms a significant portion of Apple's capital structure. As a

publicly-traded company, Apple raises funds by issuing common stock to
investors through initial public offerings (IPOs) and subsequent secondary
offerings. These offerings enable Apple to raise capital for various purposes,
including research and development (R&D), expansion, acquisitions, and
strategic investments.

Apple's common stock is listed and traded on the NASDAQ stock exchange
under the ticker symbol AAPL. The company's stock has historically been in
high demand among investors due to Apple's strong brand, innovative
products, and consistent financial performance.

Apple's ownership is dispersed among a large base of institutional and

individual shareholders. Major institutional investors, including mutual funds,
pension funds, and investment management firms, hold significant stakes in
Apple. These institutional investors play a crucial role in influencing corporate
governance, strategic decisions, and shareholder value creation.

Debt Financing:

In addition to equity financing, Apple utilizes debt as part of its capital

structure. Despite its substantial cash reserves, Apple borrows money through
the issuance of corporate bonds to finance capital expenditures, share
buybacks, and dividend payments.

Apple's debt offerings typically attract investors due to the company's strong
creditworthiness and robust financial position. The proceeds from these bond
issuances provide Apple with additional flexibility to pursue growth
opportunities while taking advantage of low-interest rates in the debt markets.

Apple carefully manages its debt levels and capital allocation to maintain
optimal financial flexibility and minimize borrowing costs. The company's
conservative approach to debt management helps mitigate financial risks and
preserves its ability to invest in innovation and shareholder returns.

Dividend Policies:

Apple's dividend policies reflect its commitment to returning capital to

shareholders while balancing investment priorities and cash preservation. In
2012, after a 17-year hiatus, Apple reinstated its dividend payments and
initiated a share repurchase program as part of its capital allocation strategy.

Since then, Apple has consistently increased its dividend payouts and
expanded its share repurchase authorization, signaling confidence in its future
cash flows and commitment to enhancing shareholder value. Apple's
dividends are typically funded by its substantial cash reserves and free cash
flow generated from operations.

Apple's dividend yield, calculated by dividing the annual dividend per share by
the stock price, is closely monitored by income-oriented investors seeking
reliable income streams. The company's ability to sustain and grow its
dividends over time depends on its financial performance, cash flow
generation, and capital allocation priorities.

Financial Health and Capital Efficiency:

Apple's financial health and capital efficiency are key determinants of its ability
to support growth initiatives, withstand economic downturns, and deliver
sustainable shareholder returns. The company's robust balance sheet, ample
liquidity, and strong cash flow generation position it well to weather market
volatility and capitalize on strategic opportunities.

Apple's capital efficiency metrics, such as return on invested capital (ROIC) and
return on equity (ROE), provide insights into its ability to generate profits and
shareholder value from its capital investments. These metrics are closely
monitored by investors and analysts to evaluate Apple's operational
performance and capital allocation effectiveness.

In conclusion, Apple's capital structure comprises a mix of equity and debt

financing, reflecting its funding needs, growth objectives, and shareholder
preferences. By balancing equity and debt instruments, managing dividend
policies, and maintaining financial discipline, Apple aims to optimize its capital
structure and enhance long-term shareholder value. As Apple continues to
innovate and expand its business, its capital decisions will play a crucial role in
shaping its future success and resilience in a dynamic global market
environment.
 PROFITABILITY
Apple Inc.'s profitability is a critical aspect of its financial performance and
market valuation. As one of the world's most valuable companies, Apple's
profitability reflects its ability to generate revenue, manage costs, and deliver
returns to shareholders. Several key factors contribute to Apple's profitability:

Product Mix and Revenue Streams: Apple's profitability is driven by its

diverse product portfolio, which includes the iPhone, iPad, Mac, Wearables
(such as Apple Watch and AirPods), Services (including Apple Music, iCloud,
and the App Store), and Other Products (such as accessories and home-
related devices). The iPhone historically has been Apple's most significant
revenue generator, contributing a substantial portion of its total revenue.
However, Apple's Services segment has emerged as a high-margin business
with strong growth potential, contributing significantly to its overall
profitability.

Premium Pricing and Brand Loyalty: Apple products are known for their
premium pricing strategy, which allows the company to maintain high profit
margins despite intense competition in the technology industry. Apple's brand
equity, reputation for quality, and customer loyalty enable it to command
premium prices for its products and services. The company's loyal customer
base often exhibits strong repeat purchase behavior, driving recurring revenue
streams and sustaining profitability over time.

Supply Chain Efficiency: Apple has built a highly efficient and resilient supply
chain that enables it to manage costs, mitigate supply chain disruptions, and
optimize inventory levels. By leveraging economies of scale and strategic
partnerships with suppliers, Apple can negotiate favorable pricing terms and
ensure timely delivery of components and finished products. The company's
supply chain management practices contribute to its operational efficiency
and profitability.

Cost Management and Operational Efficiency: Apple is known for its

disciplined cost management practices and focus on operational efficiency
across its entire value chain. The company continuously seeks opportunities to
streamline processes, reduce overhead costs, and improve productivity in
manufacturing, distribution, and retail operations. By optimizing its cost
structure and resource allocation, Apple can maximize profitability while
maintaining product quality and customer satisfaction.

R&D Investments and Innovation: Apple's ongoing investments in research

and development (R&D) drive innovation and product differentiation,
contributing to its long-term profitability and competitive advantage. The
company allocates significant resources to develop cutting-edge technologies,
design innovative products, and enhance user experiences across its
ecosystem. By introducing new features, functionalities, and services, Apple
can stimulate demand, capture market share, and sustain premium pricing
levels.

Global Market Expansion: Apple's profitability is supported by its global

market presence and diversified revenue streams across geographic regions.
The company benefits from strong demand for its products and services in key
markets such as the United States, China, Europe, and Japan. By expanding its
footprint in emerging markets and tapping into new customer segments,
Apple can drive revenue growth and improve profitability over the long term.

In summary, Apple Inc.'s profitability is underpinned by its diverse product

portfolio, premium pricing strategy, brand loyalty, efficient supply chain, cost
management practices, investments in innovation, and global market
expansion. By effectively managing revenue streams, controlling costs, and
driving operational efficiency, Apple continues to deliver strong financial
results and create value for its shareholders. However, the company faces
ongoing challenges and competitive pressures in the dynamic technology
landscape, requiring it to remain agile, innovative, and customer-focused to
sustain its profitability and market leadership position.
ANALYSIS
A SWOT analysis of Apple Inc. provides insight into the company's internal strengths
and weaknesses, as well as external opportunities and threats in the market:
Strengths:

Most Valuable Brand

Apple is ranked #1 position for the 9th consecutive year by Interbrand – with a brand
value of $408 Billion. Followed by Amazon ranked at #2 with a brand value of $249
Billion, and Microsoft ranked at #3 with a brand value of $210 Billion.

2. Globally Iconic
Apple is one of the most reliable company when it comes to personalized advanced
computers and smart technology devices. It has millions of loyal customers with steady
increment.

3. Top Technology
Apple was the first to introduce some of the most innovative products that have
changed the world (iPhones, iPads, AirPods). Apple is still determined to build and craft
better, more proficient technology devices.

4. Brand Of Choice
It isn’t big news that Apple is a favorable brand in corporate offices, especially among
creative professionals. Apple offers top-quality technology solutions for every
corporation’s needs. Professionals prefer high-performance technology such as Mac
Pro or iMacs for visual design, animation, video production, and other creative
work.
5. Proficient Research & Development
Apple puts dedication into its product designs. Careful study and extensive research is
performed to help understand customer needs and market trends. Apple continues to
invest a substantial amount of money in research and development for future growth
and a competitive edge. For example, Apple spends $26.25 Billion (about 7%) of its
revenue in R&D.

6. Sustainability made Possible through Liam

Liam is an iPhone recycling robot that breaks down and dissects an iPhone. It strips
them all the way down to a single bolt. Most parts of an iPhone can be reused.

Liam is designed to yield as many reusable parts as possible. These reusable parts are
then categorized and safely stored so they can be used for new manufacturing.

7. Expansion in services
Apple has been expanding its services portfolio for many years. For example,
about 20% of Apple’s annual revenue ($78 B out of $394 B in FY 22) came from its
services, which is the second biggest contributor to its revenue after the iPhone (52%
of its revenue).

Apple’s services include digital content stores, streaming services, iCloud, AppleCare,
and payment services etc. Recently, Apple has introduced many new services, such
as Apple TV+ , Apple news+ , Apple Card (credit card services), Apple Arcade (game
subscription), and Apple Fitness+ etc.

Strong Brand Image: Apple has built a powerful brand with a reputation for innovation,
quality, and premium products.

Product Differentiation: Apple's products, such as the iPhone, iPad, and Mac, are
differentiated by their design, user experience, and ecosystem integration.

Robust Ecosystem: Apple's ecosystem, including hardware, software, and services (such
as iCloud, the App Store, and Apple Music), creates customer lock-in and enhances user
experience.

Innovation Leadership: Apple is known for its continuous innovation in product design,
technology, and user interface, setting industry standards.
Financial Performance: Apple's strong financial position, with significant cash reserves
and high-profit margins, enables investments in research, development, and marketing.

Weaknesses:

. High Priced Products

Apple’s products can be considered a luxury due to their premium prices. The products
are priced for middle and high-income consumers. Low-Income consumers can’t simply
afford Apple products.

Due to their premium pricing, only middle or high-earning individuals can afford their
products.

2. Limited Advertisement & Promotions

Apple has solidified their grounds by establishing loyal customers, even with limited
advertising resources. Apple marketing relies heavily on its iconic and flagship retail
stores.

Because of their success, Apple does not feel the need to have excessive spending
towards advertisement in comparison to other big brands such as P&G, Pepsi, Verizon,
and Coca Cola etc.

3. Entering into Area of Non-Competency

Apple is rapidly expanding into new services such as video content streaming, game
streaming, payment services (credit cards) – competing with the dominant players such
as Netflix, Disney, Citi, Chase, Paypal, etc.

They might be entering into areas in which they lack competencies; remember
the failure of Apple maps.
4. Incompatibility With Other Software
When a customer buys an apple product, they enter the Apple universe. Apple’s
products do not support other software or technologies making them incompatible with
other devices.

Customers have to exclusively purchase Apple apps or accessories to continue using

their Apple products.

5. Allegations of Tracking
Tracking users undermines trust. Apple has been accused of using tracking apps in its
phones, which revealed the precise location of users.

Even though the latest version of Apple’s phones gives users the right to decline the
tracking, trust is difficult to regain once it is lost.

6. Unfair Business Practices

Apple is under investigation for unfair business practices after receiving payments to
make Google’s search engine as the default search engine for its Safari web browser.
Collusion between the two giants makes it difficult for rivals to enter and expand into the
search engine market.

7. Integrate Stronger Parental Control Software

Parents allege that Apple’s parental control software isn’t good enough. And that’s true
because popular apps such as Instagram, YouTube, TikTok, etc., are integrated
with independent control systems, which make it a technological nightmare to monitor
and track children’s social media activity. Although Apple and Google have both
boasted that their parental control is the best, kids easily find numerous ways to bypass
those controls.

Dependence on iPhone Sales: Apple heavily relies on iPhone sales for revenue, making it
vulnerable to fluctuations in smartphone demand and market saturation.

Limited Product Range: Apple's product range is relatively limited compared to some
competitors, potentially limiting revenue diversification.

Dependence on Supply Chain: Apple's supply chain, primarily located in Asia, exposes
the company to risks related to disruptions, such as natural disasters and geopolitical
tensions.
Opportunities:

1. Consistent Customer Growth

Apple has been dominating the technology sector for years now. They provide top
quality and cutting-edge technology that offers a breakthrough in customer experience.

Their customer retention rate of 92% is phenomenal. Apple can always rely on the
power of the internet for future opportunities to gain new customers and form new
alliances.

2. Qualified Professionals
Apple’s researchers, developers, and product specialists are a team of highly qualified
professionals that have years of experience in branding consumer products. With the
expansion of their team, Apple can continuously build new opportunities.

3. Expansive Distribution Network

Apple Inc. has the opportunity to expand its distribution network. Currently, the
distribution network that Apple has is very limited and leaves room for minimal growth.

Apple can generate higher revenue and sales if it focused on creating an expansive
distribution network. Furthermore, the company can benefit from diligent marketing and
promotions.

4. Lack of Green Technology

Apple is yet to launch products that are created using green technology. The company
has not yet implemented or participated in creating sustainable technology that is eco-
friendly.

5. Smart Wearable Technology

Smart wearable technology will soon dominate the world. According to Forbes, smart
wearable technology device sales will double by 2022. It will become a $27
billion+ market with 233 million unit sales.

Apple has the opportunity to continue to grow beyond just Apple

watch and AirPods into other wearable categories.

6. Utilize Artificial intelligence

To increase its profit margins and have a strong market position, Apple should utilize
artificial intelligence. Recently, the company has extended its AI portfolio.

In the year 2017, Apple acquired Regaind, a French AI startup and DeskConnect, an
AI tool. The former acquisition helps Apple to integrate intelligent search to the
photos app on the iPhone, while the latter acquisition automates tasks by helping the
consumers to arrange apps and features with a string of commands.

The company should focus on extending its AI portfolio to have a strong foothold in the
future.

7. Expand Music Streaming Services

The youthful population and rapid economic growth in emerging economies offer
immense opportunities for expansion. Apple is already planning to expand its music
streaming services to 52 emerging markets in Africa and the Middle East.

8. Deliver Self-Driving Software Technology

The demand for autonomous is increasing rapidly. Apple has the expertise needed to
deliver self-driving car technology rather than fully-functional autonomous or electric
cars.

Apple has the opportunity to focus on delivering self-driving software

technology instead of building an actual car like Tesla does.

On a Bloomberg interview, Apple CEO Tim Cook says:

” We are focusing on autonomous systems. And clearly, one purpose of autonomous

systems is self-driving cars. There are others. And we start to see it as a mother of all
A.I. projects. It’s probably one of the most difficult A.I. projects actually to work on.”

9. Kia Motors to build Apple’s driverless car

Apple has partnered with Kia Motors (parent company – Hyundai) to assemble
driverless electric cars in Georgia. According to the Wall Street Journal, Kia will begin
production by 2024 and produce about 100,000 vehicles in the first year.

10. Expanding into Chip Manufacturing

Apple announced that it’s going to start manufacturing its own chips and semi-
conductors going forward, competing with Intel and Broadcom etc. The tech giant is
already on-boarding engineers for a new South California location.
Apple’s continually expanding silicone team to make next-gen wireless silicone. The
company’s chip manufacturing maneuver boosted its total market value, propelling it
close to $3 trillion.

11. Dominating in Smart Speakers

Apple is dominating the market for smart speakers. The tech giant’s HomePod mini has
been a massive success. According a report by Strategy Analytics, Apple now has
a 10.2% market share after selling 4 million smart speakers.

12. Fitness Feature in Apple Watch

While the Apple Watch’s activity rings are a neat feature that allows you to monitor your
exercise routine and frequency, users say that it’s time Apple incorporates a readiness
score feature like the Oura and Fitbit.

One of the best benefits of a readiness score is that it helps prioritize when to rest and
recover. While Fitbit and Oura have had this feature for a long time, Apple is yet to
incorporate a feature like this, and users can only access this feature via third-party
apps such as AutoSleep.

13. Buy Now, Pay Later Service

Apple introduced a new service called “Apple Pay Later” in the US, enabling customers
to buy and pay for products over time. With this new service, users can split their
purchases into four payments spanning six weeks without additional charges or interest
fees.

Moreover, they can quickly and conveniently repay their loans through Apple
Wallet. Users can apply for loans ranging from $50 to $1,000 and use them for in-app
and online purchases made through iPad and iPhone devices from merchants who
accept payments via Apple Pay.

More than 85% of American retailers currently accept Apple Pay – a figure likely to
increase. However, the service is only available to a select group of users, with plans to
roll it out more widely.

13. Expansion in Indian Market

Tim Cook (Apple CEO) says he is “very bullish on India.“

Since Covid, Apple has seen substantial revenue growth in India because a record
number of people are switching from android to iOS devices. To further increase its
growth and market share in India:
 Apple has established its retail store (Mumbai and Delhi) and expanded its online presence.
 Apple is figuring out trade-ins and other financial options to make its product more
accessible to Indian consumers.

Expansion in Emerging Markets: Apple has opportunities to increase market penetration

in emerging economies, where smartphone adoption is growing.

Diversification into New Products: Apple can explore diversification into new product
categories, such as augmented reality (AR), virtual reality (VR), or automotive
technology.

Services Revenue Growth: Apple can further monetize its services segment, including
subscriptions, digital content, and cloud services.

Sustainability Initiatives: Apple can capitalize on increasing consumer demand for

environmentally sustainable products and practices.
Threats:

. After effects of Coronavirus Outbreak

Apple is highly dependent on China for its manufacturing and supply chain. The recent
events have significantly affected and disrupted its operations. In addition, about 19
% of its $394 billion in revenue came from China (a big market for Apple). The outbreak
has significantly affected and may continue to disrupt Apple’s business in coming
years.

2. No Effective Countermeasure for Air Tags

While Apple’s AirTags are meant to help people find frequently misplaced items using
Bluetooth, the technology is also being used with malicious intent. There have been a
lot of instances where criminals have used AirTags to steal cars and, worst, stalk
people.

Apple commented that the Find My app will immediately let users know if an unknown
accessory is tracking them. However, there is yet to be a more permanent solution.

3. Apple Bullied By Counterfeits

Apple has become vulnerable to third world countries illegally utilizing the brand image
to sell counterfeit products. The illegal dealers sell Apple counterfeit products at the
same value as an original Apple product.

Counterfeit products can make potential customers believe that it is a product made by
Apple with low quality. big news can result in negative reviews and bad publicity for the
company.

4. Increasing Competition
Although Apple as a brand has solidified itself, it still faces threats from competitors.
With the advancement in technology, brands like Samsung, Google, and Dell are giving
Apple tough competition.

As the competition is getting stronger, Apple either has to introduce new technologies
or revise its pricing policy to stay ahead of its competition.

5. Market Penetration
There has been a significant change in market penetration by other brands in the
smartphone market. Companies like Samsung, HTC, and Lenovo are using Android
software to create new smartphones.

Currently, Android has captured 72.23% of the market share, while Apple has
only 24.55% of the market share globally.

6. China Tariffs
US government has imposed a higher tariff on imports from China, increasing the
overall cost of the products. Consequently, it adversely affects the gross margin on the
products and may make the product more expensive for customers.

7. Lawsuits
60 class-action lawsuits have been filed against Apple. Consumers were upset and
baffled when Apple announced that it deliberately throttles CPU performance on iPhone
models with older and degraded batteries.

The tech giant said that it did so to prevent unexpected shutdowns. Despite the
clarification, consumers felt betrayed because they that Apple does not believe in
transparency. This led to a number of people filing lawsuits against the company.

The first class-action lawsuit was filed on December 21st, 2017 and alleged that Apple’s
actions not only negatively affect the resale value of their products but also forces its
users to upgrade to newer versions prematurely.

8. Backdoor Mechanism
Apple has been under constant pressure by government agencies to unlock the iPhone
via a backdoor, which means unlocking the encryption of the iPhone and giving access
to its data.

In several instances, Apple has denied providing the backdoor mechanism because it
can be exploited by the bad guys, which eventually exposes the security of millions of
iPhone users.

9. Mark Zuckerberg Criticized Monopoly of iPhone’s App Store

In a recent webcast, Mark Zuckerberg, Facebook’s CEO, criticized Apple for its
monopoly on App Store and hefty charges.

Mark Zuckerberg states that:

iPhone App Store ” blocks innovation, blocks competition,” and “allows Apple
to charge monopoly rents.”

Apple charges a 30% cut for in-app purchases through its app-store. The company is
often criticized because a 30% cut is a significant commission for small businesses or
app developers.

10. Apple Motions for Case Dismissal

The CCI (Competition Commission of India) recently alleged that Apple is eyeing for
a complete monopoly, dominating with its app development in the country. The CCI
filed the complaint after going through numerous allegations, stating that Apple is
compelling developers to use its proprietary system, wiping out existing competitors.

However, Apple responded by stating that the allegations are completely baseless
because they have a relatively smaller market share compared to Google, which clearly
dominates the Indian tech market. Apple has moved to have the case dismissed.

11. Common USB-C Charger Law in European Union.

European Union has passed a new law that requires all electronic devices (phones and
tablets) to have USB-C chargers by the end of 2024. However, Apple uses lightning
chargers (a proprietary technology) in all its iPhone devices. The company will have to
comply with the mandate to sell its products in the European Union.

The new law will reduce production and disposal as consumers will not have to buy
different chargers for different devices.

Intense Competition: Apple faces intense competition from established rivals like
Samsung, as well as emerging competitors in various product categories.

Rapid Technological Changes: The technology industry evolves rapidly, and Apple must
continually innovate to maintain its competitive edge.

Regulatory Challenges: Apple faces regulatory challenges related to privacy, antitrust,

intellectual property, and international trade.

Economic Uncertainty: Economic downturns, currency fluctuations, and geopolitical

tensions can affect consumer spending and global market conditions.

Overall, while Apple possesses numerous strengths and opportunities, it also faces
significant challenges and threats that require strategic management and adaptation to
maintain its position in the highly competitive technology market.
FINDINGS
CONCLUSION
In conclusion, the SWOT analysis of Apple Inc. reveals critical insights into the
company's strategic position and future prospects. Through a comprehensive
examination of its strengths, weaknesses, opportunities, and threats, several key
observations emerge.

Apple's strengths lie in its strong brand image, innovative product portfolio, loyal
customer base, and robust financial performance. The company's ability to design and
market premium products across various segments has solidified its position as a leader
in the technology industry.

However, Apple faces notable weaknesses such as dependence on product

differentiation, high product prices limiting market share, and concerns regarding
environmental sustainability in its supply chain.

Despite these challenges, Apple has significant opportunities for growth, including
expansion into emerging markets, diversification of its product offerings, and further
development of its services segment.

Nevertheless, the company must remain vigilant against potential threats such as
intense competition, rapid technological advancements, legal and regulatory challenges,
and supply chain disruptions, which could impact its market position and profitability.

In response to these findings, Apple should continue to leverage its strengths while
addressing its weaknesses to capitalize on emerging opportunities and mitigate
potential threats. By maintaining its focus on innovation, customer-centricity, and
operational excellence, Apple can sustain its competitive advantage and drive long-term
success in the global marketplace.

Overall, the SWOT analysis underscores the importance of strategic planning and
adaptability for Apple to navigate the dynamic landscape of the technology industry
and continue delivering value to its stakeholders.
BIBLIOGRAPHY
https://www.studysmarter.co.uk/
https://businessmodelanalyst.com/
https://www.edrawmind.com/article/
https://www.wikipedia.org/
https://www.techtarget.com/