Abstract
With the help of PESTLE model, it is possible to understand Apple's strategic opportunities. The political, economic, socio-cultural, technological, legal and environment factors are the components of the PESTLE model that allow us to evaluate key elements that have a great influence on the company. This model is useful to anticipate future decisions and orientation of the company.
Political factors
Apple sells its product all over the world with 52% of global sales made outside the US. Wars, terrorism, geo-political tensions, public healthcare issues can damage Apple's business. These events are totally out of control for Apple. Likewise, Apple subcontracts and outsources transportation, logistics, components and product assembling in countries where production costs are very low. Most of these subcontractors are located outside the US, mainly in Asia. For example, the final assembling of products is carried out in Ireland, Korea, Czech Republic and China. Production, logistics and transportation in these countries can be delayed or even stopped by political issues and conflicts. If there is delay in the deliveries, Apple can't ship the product on time and the customers will not be satisfied. This will result in Apple losing its credibility and brand image, which are the two essential values for Apple.
Economic factors
During the financial crisis the economic perspectives were not very encouraging. Many economic factors impede the companies' profit margins like the high price ratings of the oil barrel, depreciation of currencies (USD), fall of purchasing power and unemployment. People consume what is really necessary for them and they abandon consumer electronics, computers, etc postponing the purchase of new equipment. This has resulted in slow elimination of the crisis and customers are beginning to buy products like new cell phones, laptops, mp3 players and computers. So, Apple has to be there, and be prepared with new products to attract the consumers.
Socio-cultural factors
Apple strongly relies on its products' federative power. Every iPod and especially Macintosh owner is strongly attached to the Apple brand. There is an Apple Culture that has existed since the creation of the company. The commercial technique of the company has always been to stay as close as possible to its potential clients. The goal is to make customers feel like they are part of this community. To achieve this goal, Steve Jobs frequently organized some meetings where he presented his projects to the Apple community. In this community, we can find developers, clients, but especially the press. The name of this kind of meetings is MacWorld, and they are convened in different strategic cities of the world such as New York, San Francisco or Tokyo. These meetings are always introduced with a video projection (realized with the software Apple Keynote, competitors of Microsoft Excel), presenting the end financial results, and generally the new products.
