Apple (AAPL) SWOT Analysis

Apple (AAPL) SWOT Analysis

Strengths

Brand name Geographically diverse business and revenue should help shield the business from shocks in any one...
Strong R&D Team Strong research and development team. Teams that are able to come together and come up with new...
Touch Screen Technology The iPhone's touch screen technology is the most advance and capable technology of all the device...
2
Strong Brand Name For Macintosh The company has a strong brand name worldwide.
App Store is a Huge Advantage for the iPhone The app store allows developers to create software for the iPhone. The natural competition between...
Product Design and Mold of the iPhone The design of the iPhone appeals to many users. It's sophistication aides the profit margins that...
Economies of Scale in Producing iPhones The iphone has a price advantage over rivals, because it's produced in such large volumes that the...
Easy Portability The ipod is very easy and convenient for its users. The device has capabilities to hold massive...
Keep Track of Route For Walkers or runners, the iPod has had a certain technology built into it so that it can keep...
Workout Tool Many people are using iPods while working out. A lot of users like to listen to an upbeat sound...
Strong Brand Name For iPod The iPod has strong brand name around the world. This device is used by many customers all around.
Saves Trees Many companies are wanting and starting to go paperless. The iPad has allowed for companies to use...
Easy Portability The product is very light and is easy to carry. This allows for many customers who do not like to...
Strong Brand Name For iPad Being a product of Apple, the iPad has gain tremendous brand recognition throughout the world.
Porsche iPerfomance Porsche intelligence performance is an app created by Apple.
Easy to Navigate Website Having a simplified and easy to navigate website helps users to find the content they need quickly...
Bargaining Power With Retailers When a company has bargaining power over retailers, it means they can pass on high costs to those...
Strong Management Strong management can help a company to make good financial decisions, especially in difficult...
Strong Workforce A strong workforce can propel a business the continuously needs innovative ideas, handwork and...
Innovative Culture A company with an innovative culture continuously produces new and inventive products. An innovative...
Customer Loyalty Customer loyalty is an offshoot of brand loyalty. It comes when a customer is comfortable with a...

Weaknesses

Products are Expensive Having premium products means that those products can be expensive for many consumers. The expensive...
There is an underlying problem within the medical community Least widespread but a possible domino effect over all handheld communication devices, direct ear...
Environmental Issues - iPod The iPod after a new model would come out the owners would just throw away the old models. This...
Distraction Electronic Device Many electronic devices have been a distraction for many people. Auto-mobile accidents have been...
Potential Hearing Loss When iPods are used in a manner that is too loud for the human ear, this could potentially lead to...
Environmental Issues - iPad The product just like any other electronic device is not the healthiest for our environment in which...
No Choice Of Browser Use iPad limits the user to be able to choose which browser they may prefer to use. Limited browser use...
No HDMI Output The iPad does not provide a HDMI output. This can keep customers from purchasing iPads, since the...
No Camera The iPad does not have a camera installed as a feature. Customers who like to use iChat will not...
No Multitasking For iPad The iPad is not able to perform a multitasking features such as listening to Pandora while writing a...
Living Room Content and Apple TV The living room is were most families get their content, but Apple is not a major player in living...
Social Network Fabric is Missing From Devices Social network is a major component of the future of technology. Apple's unsuccessful endeavors in...
Succession Instability The inability to create a viable succession plan in case the leadership dies, is a big problem for a...
Some Products Lack Customization The lack of customization can lead consumers to abandon a particular product in search of products...
Poor or Opaque Succession Planning Much has been written about Apple without Steve. Is Steve grooming not just one but a few managers...

Opportunities

IPAD The Apple Ipad will help newspapers, book sellers and a host of different unique applications /...
Off-The-Shelf Military Procurement The US military is starting to purchase off the shelf software and hardware to reduce cost and...
iPhone Apps Apple iPhone's application program produces thousands of small programs that utilize the iPhone's...
International Expansion Strong international presence and expansion should increase growth and profits. Expansion over...
Innovations Innovation and technology advancement will allow for a company to create better products for the...
Migration of iPhone Apps to the iPad If developers are familiar with the iPhone, they can produce apps for the iPad as well. This opens...
Emerging Market Apps Could Make Huge Gains Emerging markets could help produce apps that cater directly to their target audience of users. From...
Learning Tool Ipods are able to download music, audiobooks, and even videos. This can give the user an opportunity...
iPad2 The iPad2 will come with more features then the previous one. This new design and capabilities that...
Doctor Offices Many medical offices are looking to go paperless in the coming years. There are companies out there...
Subscriptions To Magazines Magazines will need to sale their issues of magazines to their customers. Magazine companies are...
Embrace Cloud Computing The Ipad and other Apple devices are getting smaller and more powerful, but the cost of storage ever...
Product Innovation Consumers demands change over time. These changes can be gradual, but many times, they occur...
Tiered Pricing Structure A tiered pricing structure allows more consumers to buy a particular product, because lower end...
TV Expansion Possibilities Apple TV is slowly expanding into the television realm. If it takes market share away from TV like...
Internet Video The advent of internet-ready television sets is helping to increase the viability of videos that...
Mobile Digital Communications Mobile digital communications should increase the demand for services, which can facilitate data...
Digital Media Popularity of digital music and video should increase demand for portable storage capabilities and...
Flash Memory In a good place to benefit from flash memory use. Tremendous growth from flash storage in portable...
Smart Phones Popularity Increasing Smart phone product should increase market share over time. Could also become a next generation...

Threats

Skype - Competitor to FaceTime Particularly considering Microsoft's acquisition of Skype1, and Microsoft's intention to incorporate...
Global Slowdown A global slowdown or recession will hurt all companies, but mostly those whose products sell in...
Currency Volatility As the US dollar changes in value, this creates uncertainty in contract negotiations. If the dollar...
Apple's Older Products May Have Matured Older products will face higher competition from copycat manufacturers, which will decrease margins...
Cost Of Production Cost to produce products may increase and this would affect profit margins for the company. If labor...
Big Rival Microsoft Microsoft is one of the companies biggest rivals they have to compete with.
Lower Prices - Macintosh The company has to deal with competitors who may charge lower prices and may also come out with...
Competition For Macintosh Competition takes away market share from the company.
Economic Slowdown - iPod Economic slowdown hurt retail sectors since customers are not able to go out and spend money like...
Competition For Ipods Ipods have a lot of competitors that takes away from their market share.
Economic Slowdown - iPad The economic slowdown will keep customers being able to purchase the product.
Lower Cost Products iPad has many other devices that it must compete with. It also faces the threat of a device that can...
Competitors The iPad has many competitors that it must deal with. This takes away market share for the device.
Changing Consumer Tastes Fashionable products may have a problem if consumer's tastes change. Product manufacturers have to...
Reached Market Saturation in The United States When a company reaches market saturation levels, this hurts their ability to expand in that market....
High Priced Products High priced products can be good for companies with superior brands and leading products, but it...
Partnering Companies and Intellectual Property Many multinational companies partner with firms around the world. Those partners have access to...
Intense Competition Intense industry competition may hurt growth and profitability. Increase competition should increase...
Highly Discretionary Product Highly discretionary product could be affected by economic downturns as people focus on savings...

Apple (AAPL) SWOT Analysis Profile

Apple (AAPL) founded in 1976 is a leading software and hardware company with over 170 retail stores around the world. It designs, manufactures and markets a wide range of products from personal computers, operating systems, network solutions, and the I-pod digital music player as well as distributing third party digital entertainment products through their I-tunes store. The company sells its products to a wide customer base, from individuals, educational institutions, creative professionals, to small and mid level business. In addition Apple Incs various products are sold through their online store as well as third party vendors worldwide. (read full profile)

Additional Information

What is a SWOT Analysis? It is a way of evaluating the strengths, weaknesses, opportunities, and threats that affect something. See WikiWealth's SWOT tutorial for help. Remember, vote up the most important comments. Check out WikiWealth's entire database of free SWOT reports or use our SWOT analysis generator to create your own SWOT template.

SWOT Conclusion

Strengths + Opportunities = 63

Threats + Weaknesses = 46

There are more strengths and opportunities than weaknesses and threats for Apple; however, the positives outweigh the negatives in terms of magnitude. … The ability to capitalize on opportunities get rewarded with higher profits and lower costs. A good defense against threats lowers the risks that profits will decrease. Maintaining strengths can help maintain high profits and low costs.

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