UNIVERSITI TEKNOLOGI MARA

CAWANGAN DUNGUN TERENGGANU

FACULTY OF HOTEL AND TOURISM MANAGEMENT

INTRODUCTION TO MARKETING (MKT410)

CASE STUDY (THE MARKETING ENVIRONMENT

APPLE INC)

PREPARED BY:

MUHAMMAD FAHMY IZZALMAN BIN FAUZI (2020852808)

PREPARED FOR:
ZALINAWATI BINTI ABDULLAH

SUBMISSION DATE :

8 JULY 2021

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 TABLE CONTENT

CONTENT PAGES
Cover Page 1
Table Content 2
Executive Summary 3
Introduction 4
Company analysis Microenvironment 5-6
Recommendation 7
Reference 8

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EXECUTIVE SUMMARY
On April 1, 1976, Apple Company was founded by Steve Jobs and his business
partner. Cupertino, California is home to Apple's headquarters. Apple Inc. creates,
manufactures, and distributes a variety of media products (apple.com, 2014). The famed iPod,
iPad, iPhone, Mac, and Apple TV are among the company's goods and services. Apple offers
a number of consumer software appliances, operating systems, and other services. 2014
(apple.com). I will examine Apple's internal micro-environment reporting action, as well as
facts and recommendations to enhance the firm, in this study paper. Apple's
microenvironmental study will assist in determining the direct influence of microenvironmental
elements on the firm, its operations, and business performance.

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INTRODUCTION
Apple was founded in 1976 by Steve Jobs and his friends S.R. Wozniak and Wozniak
Wayne as a multinational American corporation. Apple's breakthroughs ushered forth a new
era of computers and consumer devices. Apple is well-known for its creative goods on the
global market. Innovation and Steve Jobs' leadership are critical to the company's success,
but the organizational structure also plays a role in providing such support. Apple's success
is primarily attributable to its corporate culture. The capacity of a company to support changes,
new rules, and new goals is influenced by its organizational culture. Apple's employees are
well-developed and trained. Employees at Apple are well-developed and integrated into an
organizational culture that encourages fast innovation. Apple's microenvironmental research
will help determine the direct impact of microenvironmental factors on the company, its
operations, and its financial performance. The influence of micro-environmental variables on
Apple Inc. The people and things that impact marketing management's capacity to develop
and sustain effective connections with target consumers are referred to as the company's
marketing environment. The objective of marketing management is to improve consumer
value and happiness in order to strengthen customer relationships. Managers of marketing,
on the other hand, are unable to do so on their own. There are six key players in the marketer's
micro-environment. Marketing success involves the establishment of connections with other
departments inside the firm, as well as suppliers, marketing intermediates, rivals, various
publics, and consumers all of whom contribute to the company's value delivery network.

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ANALYSIS OF MICRO-ENVIRONMENT THE COMPANY APPLE

THE COMPANY: Under Steve Jobs' guidance, Apple has flown to new heights of
prosperity. Steve was a fantastic leader with exceptional management abilities. Steve's
leadership style was a mix of situational and transformative in nature. Steve had a knack of
inspiring his teammates. Steve developed a collaborative work environment in which all
workers are encouraged to discuss their ideas and participate in decision making. Apple's
collaborative culture empowered employees while also enabled the business to produce
game-changing products ahead of competitors. Apple is presently being developed under Tim
Cook's leadership, who is following in Steve Jobs' footsteps and building on his legacy. With
an annua sales of over 183 billion dollars, it is one of the most profitable companies in the
world (2014), Apple has a solid financial position in the market (Apple Press). In 2014, the
company's net income was about 40 billion US dollars. The company's brand image and cash
flow have both improved as a result of the recent success of iOS 6 and iOS 8 throughout the
world. As seen by countless examples, Apple is always at the forefront of offering cutting-edge
technology to consumers. Apple offers a wide range of consumer electronics and computers
to satisfy the needs of a wide spectrum of customers. Apple provides the following services:
Shop for Macs, iPods, iPads, iPhones, iTunes, and Apple watches. Innovations lead the
company to succeed and all Apple's offers are a step ahead of their competitors. Apple knows
that without an efficient management of human resources any organization's success cannot
be attained. Every Apple employee understands their roles and delivers the service according
to the standards laid out by Apple.

SUPPLIERS: Apple has a huge number of suppliers, giving it a lot of negotiation

leverage. The company's suppliers are located all over the world, including South Africa,
China, India, and others. Apple is certain that its suppliers will be empowered as a result of
the capacity building and training initiatives. Companies can successfully manage their supply
chains and gain competitive advantages by maintaining a healthy and close relationship with
their suppliers. In order to followed by suppliers, Apple has created stringent code of conduct.
Through several audits, Apple guarantees that every supplier respects the code of conduct
throughout the year and across all regions. Apple makes sure that even the smallest
components are of the highest quality (Apple). Some of Apple's suppliers, to whom the firm
has outsourced the supply of materials, design and the manufacture of some components,
represent a threat to the corporation. The threat might come in the form of low-quality goods
from these merchants.

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 CUSTOMERS: Apple offers its clients its promises: exceptional quality, innovative
technology, outstanding performance and affordable cost. It is proved by was performed
according to a research. Power, Apple is the most satisfied customer with 85% of happy
consumers (GSM Arena). Apart from buying equipment, manufacturing goods, retailing items
and after-sales service, Apple has attained consumer satisfactions. Apple sees a huge
potential in the rising demand for "Smartphones" with features such as internet connectivity,
multimedia recording and playback, and so on. Apple's iPhone is an attempt to seize this
opportunity, but meeting customer demand will be tough for Apple.

COMPETITORS: In a competitive market, Apple is working. Microsoft, Samsung, and

Google are Apple's major competitors, Motorola, HP, HCL and Blackberry are competing
against Apple in the smartphone market. Apple products in developing nations are perceived
to be premium items due to their expensive price, whereas Samsung offers a wide range of
products capable of meeting client requirements. Deeply unexplored markets and tremendous
development potential that is now not addressed by Apple are available in developing
countries. Apple has to extend its product line and produce low-cost goods in order to win
market share. In terms of market share, Samsung today dominates the smart phone sector.
Apple must strive deliberately to regain its leadership position, mostly if the product life cycle
or skop is too short and market conditions are continuously changing. Apple, on the other
hand, is continuously threatened by its competitors due to the high level of rivalry among
technological businesses... Apple is facing problems such as intense competition and copying,
which affect participants in the worldwide market for consumer electronics, computer
hardware and software, and online digital content distribution services.

PUBLICS: This aspect falls to the public: the media, government, financial institutions
and others. By complying with all the authorities' rules and regulations, Apple effectively deals
with government bodies. By criticizing its goods, media can blend opinions on Apple.
Customers such as Apple, however, and are proud of their products. This puts pressure on
Apple to provide a single device to cater to all walks of life and various strata of consumers.

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RECOMMENDATIONS TO IMPROVE APPLE'S MARKET STANDING

Apple has to increase product testing prior to launch to enhance its market status.
However, this should not be at the price of the technological leadership of Apple. Apple must
develop fast-track test methods that will allow for comprehensive testing and early releases
simultaneously. Apple must maintain its technological superiority and stylish image in order to
remain competitive in the high-tech products sector. Apple may need to limit its lawsuit
activities in order to avoid becoming known as a successful litigation firm. Another source of
strength for Apple is its technological advantage over its competitors. The firm invests
significantly more in research and growth than its competitors. Apple has also benefited
significant from CEO Steve Jobs' excellent supervision, who has been at the helm of the firm
from its establishment.

Apple is up against stiff competition from other technological companies. As a result,

many industry experts and analysts are still baffled by Apple's success. Apple has had to
contend with a slew of IBM clone machines. Furthermore, the firm has operated in a dynamic
climate where venture money has fuel new entrants and increased rivalry. As a result, Apple
had to make difficult judgments about which markets to pursue and which products to create.

Because of its design and creative goods, Apple has amassed a sizable fan base.
Customers' experiences must be included into the product design and development stages,
according to the company. In comparison to rivals' offerings, Apple configures its items at
greater costs. The firm, on the other hand, was able to attract both non-customers and fans.
Apple was able to retain its devoted customers as a result of this.

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REFFERENCE

Philip Kotler, P. T. (2017). Principles of Marketing (17 ed). Pearson Higher Education.

Philip Kotler. (n.d) (C-8). Using Marketing Channels to Create Value for Customers.
Marketing Principles. Retrieved from: https://2012books.lardbucket.org/books/marketing-
principles-v1.0/s11-using-marketing-channels-to-cr.html

WowEssays. (2020 March 10) Micro-Environmental Analysis Of Apple Inc Essay Sample.
Retrieved June 23. 2021. from https://www.wowessays.com/free-samples/micro-
environmental-analysis-of-apple-inc-essay-sample/

Conclusions and Recommendations. (2018 Jan 01). Retrieved from

https://phdessay.com/conclusions-and-recommendations/

Ivy Panda. (2019 June 12). Issues and Recommendations for Apple. Retrieved from
https://ivypanda.com/essays/issues-and-recommendations-for-apple/