SWOT Analysis of Apple | Need to Know the Details

by Shamsul
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SWOT Analysis of Apple

 Apple Inc. is an American tech company established by Steve Jobs, Ronald Wayne, and Steve Wozniak in April 1976. The headquarter is in Cupertino, California. The company is incorporated in 1977 and it was one of the earliest manufacturers of computing devices for personal use. Later, they have developed a range of software, networking solution, mobile devices, and lots of other accessories and services.

Apple is best known for its pioneering products and innovative software services. It is one of the most successful companies in the world.

iPhone is one of the most successful products of Apple. The overall income of Apple is $260 Billion. But in 2019, the iPhone sale is $142 Billion which is almost 54 % of the total revenue.

The current CEO of Apple company is Tim Cook.

For further details on how to do a SWOT analysis please refer to our article. Keep reading the articles for an elaborated SWOT view.

Company Name: Apple Inc.

Year Established: 1976

Founded by: Steve Jobs, Ronald Wayne, and Steve Wozniak

CEO: Tim Cook

Head office: Cupertino, California, USA

Type: Public

Employees: (June.2024): 147,000

Ticker Symbol:  AAPL

Market Cap (1st June 2024): US$2.947 Trillion

Annual Revenue (2023): US$173.966B

Net income | Profit (2024): US$ $96,995 million

Products & Services:    Computers | Software | Phones | Watches | Tablets | Cloud Technology | Accessories | Music Platform |

Competitors: Microsoft | Lenovo | Google | Samsung | Toshiba | Dell | Sony | HP | Acer |Netflix | Disney | Amazon | Chase | CitiBank | Youtube

Did you know?

In 2013, one of the original Apple computers was sold for more than $671,400 at German auction.

Apple Company Background

The Apple Business Overview Based on the Company’s Financial Report:

Apple is a cellular company that designs and manufactures media devices, personal computers, cell phones, software, accessories, networking solutions, and applications.

The company profile includes iPhone®, iPad®, Mac®, Apple Watch®, and Apple TV. Apple is known for its professional applications and operating systems. These applications are iOS, macOS®, watchOS®, and TV OS™, iCloud®, and Apple Pay®

Apple is offering digital content through its applications like the iTunes Store®, App Store®, Mac App Store, TV App Store, iBook’s Store™, and Apple Music®.

Apple products can be purchased through retail, online and direct stores. Its accessories are also readily available through third-party networks, retailers, wholesalers, and distributors. Other than this, it is also known for providing third-party compatible products. These articles include software, applications, and accessories. All Apple accessories are accessible through registered online stores and retail shops.

Apple is committed to providing intelligent components including hardware, software along with the services. As an iconic company, we are providing the ultimate user experience with its innovative business models. With precise strategy, we are more focused on designing and developing operating systems. Apple is offering originality in hardware and application software. One of the finest qualities of our enterprise is that it is offering flawless integration with the ease of use to valued customers.

SWOT Analysis of Apple

Apple makes huge investments in the marketing domain. As the largest cellular giant, the company understands the importance of user- company interactions. As an enterprise with a skillset, we have managed to gather the attention of users by conveying a true picture of the company products. The marketing portfolio has been greatly influenced by retaining strategies.

To enhance user support and after-sales services, Apple is now considering to make more investment in building online retail network stores. More customers can be reached with third-party- distribution platforms that effectively increase the number of users.

The company is well aware of the fact that investments should be made in the research and development domain, as it is crucial for the latest technological advancement.

SWOT Analysis of Apple:

Here we discuss strengths, weaknesses, opportunities, and threats of Apple in detail and analyze these factors.

Apple’s Strengths:

 All Apple products are designed to complement each other uniquely and innovatively. For the same reason, the company has successfully managed to indulge its users into the Apple ecosystem. Other available competitors do not offer any kind of sinking features. To make all products integrated on the same platform, the ecosystem is a unique opportunity.

Apple’s ecosystem is an incredibly designed platform that provides a seamless experience of integration to its users. It is a wonderful application that has managed to design a wide variety of integrated platforms for hardware, software, applications, and services.

Various competitors in the market tried to replicate the ecosystem designed by Apple. They all failed to achieve the targets because of the workflow design adopted by the developers. Apple has successfully gained popularity among the masses because of its intelligent interface. In the market, competitors failed to give the required capabilities in design, manufacturing, software, hardware, and applications.

Right now, Apple’s greatest competitor Samsung Electronics is way behind. It is because of the fact that Samsung has failed to come up with a practical all-in-one platform. There is a limited number of practical applications and services offered to users. On the other hand, Google that is considered to be the second-largest competitor also lacks in developing hardware with productivity and functionality.

Google and Samsung Electronics are two companies that tried to compete with Apple. No one else in the market has even bothered to contest Apple’s competitive advantage.

Powerful Brand Supported By Strong Marketing Techniques

Apple is one of the most frequently used popular brands. The value of this product is due to its thoughtful and ambitious design. Apple is keenly followed all over the world because it offers a groundbreaking, technology-driven products to its customers. Apple has always demonstrated a thoughtful design that is supported by its inventive ecosystem.

Other than aesthetic designs, Apple has always come up with the ideas that are beyond expectations. All the products are developed with professionalism that reflects the intrinsic power of technology, uniqueness, and high tech performance.

As a company, Apple has offered targeted features that are capable of giving practical experience to the users. For the same reason, the enterprise has gained a huge market share with up-to-date marketing policies.

In terms of promotions, Apple has been always up-to-the-mark. Over the years, incorporation has developed better advertisement policies. As a result, the enterprise has gained a high number of satisfied customers. With premium quality products and accessories, Apple is now known as a tech giant.

SWOT Analysis of Apple


1- Most Precious Brand:
The brand value of Apple is $234 Billion and ranked number 1 for the 7th successive year by Interbrand.

2- Internationally Iconic:
No doubt Apple is one of the most successful and reliable companies in the world right now. The first name comes in our mind when we discuss personalized advanced computers and smart devices that is Apple. There are millions of loyal consumers of Apple and increasing day by day.

3- Best Technology:
It is a fact that Apple was the first company to launch ground-breaking products and revolutionize the world with some of the best products such as iPhones and iPads. Apple determined to make and craft top quality products and devices.

4- Brand of Option:
Apple is one of the most demanding brands in corporate offices. The reason behind this popularity is a specific Apple business page that provides solutions for every business’s needs.

5- Skillful Research:

The designs of Apple’s products are ultimate in texture. They perform advanced research in order to help know consumer needs and necessities.

6- Durability made Feasible through Liam:
What is Liam? It is an iPhone recycling robot that breaks down and helps to dismember an iPhone. The best thing about the iPhone is it’s parts recycling . The main purpose of Liam is to yield reusable parts as probable. These parts are usable in the manufacturing of new products.

7- Development in Services:
According to research, 16 % of Apple’s revenue generated from its services. This is the 2nd leading source of revenue after the iPhone. That’s why Apple is more focusing on its services and brings the best for its customers. These services include streaming services, digital content stores, iCloud, AppleCare, etc. In 2019, Apple has launched some new services like Apple TV+, Apple news+, Apple Card (credit and service), and Apple Arcade (game subscription).

    SWOT Analysis of Apple

    Apple’s Weaknesses:

    1- Costly Products:
    Apple’s products are too pricey due to their premium quality. Apple’s products are only affordable for middle and high-income customers. Low-income customers can’t afford the products. That’s why we can say that these products are only for high-end consumers.

    2- Limited Advertisement:
    The main reason for the limited advertisement is that Apple relies on its true customers. But with the limited promotion and advertisement, Apple maintains its revenue due to its brand quality and flagship retail stores. That’s why Apple does not spend extra time and money on advertisements in contrast with other brands such as Samsung, P&G, and Coca Cola.

    3- Entering into Vicinity of Non-competency:
    Apple has launched some better services such as video content streaming, credit card, and game streaming. These services can compete with popular services such as Disney, Netflix, Paypal, Citi, Chase, etc. But don’t forget the failure of Apple maps.

    4- Inappropriateness With Other Software:
    When you purchase an Apple device, you will completely enter in the Apple universe. This is due to the incompatibility with other software or apps because Apple software does not support any other technology. You can only use or buy Apple apps or accessories.

    5- Accusations of Tracking:
    Tracking consumers is not a good thing at all. Apple has been blamed for tracking users through apps on their phones. So, they can know the exact location of consumers. But in the new version of Apple’s phones, you can decline the tracking feature.

    6- Unreasonable Business Practices:
    Apple once makes Google’s search engine as the default search engine for its Safari web browser. This kind of unfair business practices causes complicity between the two heavyweights.

      SWOT Analysis of Apple

      Apple’s Opportunities:

      1- Steady Customer Growth:Honestly speaking, Apple has been ruling the world due to its exceptional products and innovation for years now. They offer high quality and ground-breaking technologies to enhance customer’s trust. They have a 92 % retention rate that is unbelievable. However, the proper use of  internet helped Apple to get new consumers and alliances.

      2- Competent Experts:
      Apple has a huge team of qualified developers, researchers, and product specialists that is experienced in branding customer products. With the help of these competent professionals, Apple regularly builds new opportunities and services.

      3- Extensive Distribution System:
      Apple can make higher revenue if paying attention to making an expansive distribution network. They need to be more focused on unlimited advertisement and promotion in order to generate higher revenue. They have the capability to increase its distribution network.

      4- Lack of Green Technology:
      Apple need to introduce products using green technology. This kind of sustainable technology that is nature-friendly. But creating this type of technology will expand the sales if it focused on green technology.

      5- Smart Wearable Technology:

      The future of wearable technology has a lot of potentials and can change the world. According to research, the sales of smart wearable technology will double by the start of 2022. It will turn out to be a $27 Billion+ market in 2022. The company has the Apple Watch and AirPods but this sector requires more innovation.

      6- Develop Artificial Intelligence:
      By extending artificial intelligence, Apple can increase its revenue and profit margins. Recently, Apple has extended its Al portfolio. In 2017, Apple gained Regained, a French Al startup, and DeskConnect, and Al tool. It’s time to focus on extending its Al portfolio to have a powerful impact on the prospect.

      7- Enlarge Music Streaming Services:
      The wide use of Apple products and the exceptional growth of consumers provide massive opportunities. Apple is still mapping to increase its music streaming services to 52 rising markets in the Middle East and Africa.

      8- Distribute Self-Driving Software Technology:
      The demand for self-governing is growing speedily. Apple has the proficiency required to transport self-driving car technology slightly than fully-functional autonomous or electric cars. Apple just needs to focus on delivering self-driving software technology as a substitute for building a real car such as Tesla does.

        SWOT Analysis of Apple

        Apple’s Threats:

        1- Corona-virus Epidemic:Everyone affected by this novel corona-virus. China is a big market for Apple in terms of its manufacturing and supply chain. Almost 17 % revenue of Apple are generating from china because it’s a big market. Due to this epidemic, the supply chain affected badly and can cause to disturb about 32 % of Apple’s annual revenue in the financial year 2019.

        2- Supply Chain Disturbance:
        The latest happenings have drastically affected and interrupted its operations. This can cause a huge decrement in annual revenue because of supply chain reservations.

        3- Apple Terrorized by Counterfeits:

        Some dealers or sellers sell Apple counterfeit products at the original price in the third world countries. They sell clones or fake Apple products and this can cause damage the Apple name and brand value. Apple just needs to combat this kind of bullies.

        4- Rising Competition:
        Well, Apple as a brand succeeded to make a solid image in the market, but it still faces competition and threats from competitors. Like Samsung, Dell, and Microsoft are giving tough competition to Apple. To fight against these rivalries, Apple should improve their technology and change its pricing strategy.

        5- Market Penetration:
        As we know, Samsung, Lenovo, and HTC are using Android software to produce the latest smartphones. At present, Android is holding 72.23 % of the market share while Apple has only grabbed 24.55 % of the market share worldwide.

        6- China Tariffs:
        Recently, the US government has obliged a higher tariff on imports from China, which can cause an increase in the cost of the product. As a result, it badly influences the gross margin on the products and the product becomes more expensive.

        7- Lawsuits:
        At present, Apple has faces 60 class-action lawsuits. Customers offended and bewildered when Apple declared that it intentionally throttles CPU working on iPhone models with older and tainted batteries. The customers felt unsatisfied with the happening and filed lawsuits against the Apple Company. The first lawsuit filed on Dec 21st, 2017.

        8- Backdoor Mechanism:
        Apple has been stressed by government agencies to unlock the iPhone utilizing a backdoor, which means giving access to its private data. But Apple has clearly denied providing the backdoor mechanism because it can put the security of millions of iPhone users at risk.

        9- Mark Zuckerberg Condemned the Domination of iPhone’s App Store:
        The founder of Facebook Mark Zuckerberg criticized Apple for its monopoly on App Store and robust charges. He further added, ‘’iPhone App Store block innovation and competition’’. Apple charges a 30 % cut in-app purchases which can’t be affordable for small businesses and app developers. That’s why Apple faces a huge backlash due to this monopoly.

          SWOT Analysis of Apple

          Final Thoughts:

          Through this SWOT analysis of Apple, you can learn everything in detail. This SWOT analysis is perfect for study purposes. We covered almost everything and examine Apple’s strengths, weaknesses, opportunities, and threats.


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