SlideShare a Scribd company logo
1 of 13
Download to read offline
APPLE INC. SWOT
ANALYSIS 2020
SLIDE | 2
ABOUT APPLE
Name Apple Inc.
Logo
Industries served
• Computer hardware (iMac, iMac Pro, MacBook, MacBook Pro, MacBook Air)
• Software (iOS, iPadOS, MacOS, watchOS, tvOS, Safari, iWork, iMovie)
• Consumer electronics (iPhone, iPad, Apple TV, Apple Watch, AirPods, HomePod)
• Internet Services (iCloud, Apple Pay, App Store, TV App Store, Apple Music)
Geographic areas served 509 retail stores in 25 countries and online stores in over 100 countries
Headquarters Cupertino, California, United States
Current CEO Timothy Donald "Tim" Cook
Revenue (US$) 260.174 billion (2019) 2% 265.595 billion (2018)
Profit (US$) 55.256 billion (2019) 7.2% 59.531 billion (2018)
Employees 137,000 (2019)
Main Competitors
Samsung Electronics Co., Ltd., Amazon.com, Inc., International Business Machines
Corporation, Cisco Systems, Inc., Google Inc., Microsoft Corporation, Dell Inc., LG
Electronics, Lenovo Group Limited, Hewlett-Packard Company, Sony Corporation and
many other computer hardware, computer software, consumer electronics and
Internet companies.
Apple Inc., established in 1977, is the largest technology company by revenue
and one of the most valuable companies, both in terms of market capitalization
and brand value, in the world.[3] The company has revolutionized the
smartphone market and has created one of the most iconic brands in history.
Apple has built its business by selling and manufacturing computer hardware
and software, but experienced significant growth and success by entering
consumer electronics market with iPod, iPad and iPhone products.
The company designs, manufactures and markets smartphones, tablets,
personal computers, wearables and accessories, and offers many related
services including financial services.
SLIDE | 3
BUSINESS DESCRIPTION (1/3)
“ ”
• retail stores
• online stores
• direct sales force
• third-party cellular network carriers
• wholesalers
• retailers
• value-added resellers
SLIDE | 4
BUSINESS DESCRIPTION (2/3)
Our sales
channels
include
“ ”
Our
customers
are
• consumers
• businesses
• enterprises
• education institutions
Apple operates and sells its
products in over 100 countries, but
the U.S. China, the U.K. Canada
and Australia are the most
important markets.
In 2019, the company’s net sales
through its direct (sales in
company’s 508 stores in 25
countries and sale through online
stores) and indirect distribution
(sales made by third-party sellers)
channels accounted for 31% and
69%, respectively.
SLIDE | 5
BUSINESS DESCRIPTION (3/3)
“ ”
Many of Apple’s competitors
have tried and still try to imitate
the success of Apple’s product
ecosystem, but fail due to not
having strong capabilities in
designing, manufacturing and
developing both hardware and
software, applications and
services.
SLIDE | 6
STRENGTHS
1. Unique ability to design and develop proprietary hardware, software, applications
and services
S W
O T
Apple’s product ecosystem
1. Over-reliance on iPhone sales
as a major revenue source
SLIDE | 7
WEAKNESSES
The iPhone generated
54.7% of the
company’s total
revenue in 2019.
Apple revenue breakdown by product 2019 (% share of total revenue)
S W
O T
54.7%
17.8%
9.9%
9.4%
8.2%
iPhone
Services
Mac
Wearables, Home and
Accessories
iPad
1. Augmented and virtual reality markets will be worth US$104 billion by 2023
SLIDE | 8
OPPORTUNITIES
The combined AR and VR markets are expected to be worth US$10.5 billion in 2019.
Both markets are expected to be worth around US$104 billion combined by 2023.
AR and VR will become very profitable growth markets
and Apple should take advantage of this opportunity.
S W
O T
1. Smartphones and tablets are becoming a commodity, which could impact the
company’s gross margins
SLIDE | 9
THREATS
Smartphone Differentiation Points
Hardware Design Software
Additional
services
No longer offers enough differentiation
for iPhone
Offers some
differentiation
Main iPhone
differentiator
S W
O T
SLIDE | 10
GET THE FULL
PRESENTATION
BUY APPLE INC. SWOT
2020
1. Apple, Inc. (2019). Form 10-K for the Fiscal Year Ended September 30, 2019. Available at:
https://s2.q4cdn.com/470004039/files/doc_financials/2019/ar/_10-K-2019-(As-Filed).pdf Accessed January 7, 2020
2. Apple, Inc. (2020). Retail Stores. Available at: https://www.apple.com/retail/storelist/ Accessed January 7, 2020
3. Fortune (2019). Fortune Global 500. Available at: https://fortune.com/global500/2019/ Accessed January 7, 2020
4. Interbrand (2019). Best Global Brands 2019. Available at: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/ Accessed
January 7, 2020
5. Forbes (2020). The World's Most Valuable Brands. Available at: https://www.forbes.com/powerful-brands/list/ Accessed January 7, 2020
6. Graham, M. at CNBC (2019). Apple’s ad agency has layoffs as the company beefs up its in-house ads group. Available at:
https://www.cnbc.com/2019/11/05/apples-advertising-agency-media-arts-lab-lays-off-several-employees.html Accessed January 7, 2020
7. BankMyCell (2019). Smartphone Brand Loyalty Statistics (2019). Available at: https://www.bankmycell.com/blog/smartphone-brand-loyalty-
during-trade-in-2019/ Accessed January 7, 2020
8. Brand Keys (2019). 2019 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp-
content/uploads/2019/05/2019-CLEI-Category-Winners.pdf Accessed January 7, 2020
9. Brand Keys (2014). 2014 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp-
content/uploads/2014/12/2014-Brand-Keys-Loyalty-Leaders-List-PR-Finalv3.pdf Accessed January 7, 2020
10.Brand Keys (2015). 2015 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp-
content/uploads/2015/02/Brand-Keys-CLEI-2015.pdf Accessed January 7, 2020
11.Brand Keys (2016). 2016 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp-
content/uploads/2016/10/2016-Loyalty-Leaders-Top-100-List.pdf Accessed January 7, 2020
12.Brand Keys (2017). 2017 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp-
content/uploads/2017/09/2017-CLEI-table-of-category-winnersFINALfeb1.pdf Accessed January 7, 2020
13.Samsung Electronics Co., Ltd.(2019). Consolidated Statements of Financial Position. Available at:
https://images.samsung.com/is/content/samsung/p5/global/ir/docs/2018_con_quarter04_all.pdf Accessed January 7, 2020
SLIDE | 11
SOURCES (1/3)
SLIDE | 12
SOURCES (2/3)
14.Alphabet Inc. (2019). Form 10-K for the Fiscal Year Ended December 31, 2018. Available at:
https://abc.xyz/investor/static/pdf/20180204_alphabet_10K.pdf Accessed January 7, 2020
15.Microsoft Corporation (2019). Form 10-K for the Fiscal Year Ended June 30, 2019. Available at: https://microsoft.gcs-web.com/static-
files/7c96b326-33bc-4b84-8abb-7afd7a517ea3 Accessed January 7, 2020
16.Canalys (2019). China’s smartphone market falls 14% in 2018, with just under 400 million units shipped. Available at:
https://www.canalys.com/newsroom/china%E2%80%99s-smartphone-market-falls-14-in-2018-with-just-under-400-million-units-shipped
Accessed January 7, 2020
17.Apple, Inc. (2012). Form 10-K for the Fiscal Year Ended September 29, 2012. Available at:
http://files.shareholder.com/downloads/AAPL/3883149972x0xS1193125-12-444068/320193/filing.pdf Accessed January 7, 2020
18.Apple, Inc. (2014). Form 10-K for the Fiscal Year Ended September 27, 2014. Available at:
http://files.shareholder.com/downloads/AAPL/3883149972x0x789040/ED3853DA-2E3F-448D-ADB4-
34816C375F5D/2014_Form_10_K_As_Filed.PDF Accessed January 7, 2020
19.Wang, Y (2017). Why iPhone X Isn't The Answer To Apple's China Problem. Available at: https://www.forbes.com/sites/ywang/2017/09/12/why-
iphone-x-isnt-the-answer-to-apples-china-problem/ Accessed January 7, 2020
20.Fast Company (2019). The World’s 50 Most Innovative Companies 2019. Available at: https://www.fastcompany.com/most-innovative-
companies/2019 Accessed January 7, 2020
21.Fast Company (2018). The World’s 50 Most Innovative Companies 2018.Available at: https://www.fastcompany.com/most-innovative-
companies/2018 Accessed January 7, 2020
22.Forbes (2020). The World’s Most Innovative Companies. Available at: https://www.forbes.com/innovative-companies/ Accessed January 7,
2020
23.IDC (2019). Worldwide Spending on Augmented and Virtual Reality Expected to Reach $18.8 Billion in 2020. Available at:
https://www.idc.com/getdoc.jsp?containerId=prUS45679219 Accessed January 7, 2020
24.Research and Markets (2018). Augmented Reality and Virtual Reality Market by Offering, Device Type, Application, and Geography - Global
Forecast to 2023. Available at: https://www.researchandmarkets.com/research/dm5djr/augmented_reality?w=4 Accessed January 7, 2020
25.Merel, T. (2017). The reality of VR/AR growth. Available at: https://techcrunch.com/2017/01/11/the-reality-of-vrar-growth/ Accessed January 7, 2020
26.Johnson, L. at Macworld (2019). Apple AR headset rumors: Apple may release headset in 2022, glasses by 2023. Available at:
https://www.macworld.com/article/3446839/apple-ar-glasses-rumors.html Accessed January 7, 2020
27.Wollerton, M. at Cnet (2019). Alexa, Google Assistant and Siri will get smarter this year. Here's how. Available at: https://www.cnet.com/news/alexa-vs-
google-assistant-vs-siri-the-state-of-voice-after-google-io-and-wwdc-2019/ Accessed January 7, 2020
28.Grand View Research (2019). Intelligent Virtual Assistant (IVA) Market Size, Share & Trends Analysis Report. Available at:
https://www.businesswire.com/news/home/20190822005478/en/Global-Intelligent-Virtual-Assistant-IVA-Market-2019-2025 Accessed January 7, 2020
29.Business Wire (2019). Worldwide Wearables Market to Top 300 Million Units in 2019 and Nearly 500 Million Units in 2023, Says IDC. Available at:
https://www.businesswire.com/news/home/20191216005029/en/Worldwide-Wearables-Market-Top-300-Million-Units Accessed January 7, 2020
30.IDC (2019). Wrist-Worn Wearables Maintain a Strong Growth Trajectory in Q2 2019, According to IDC. Available at:
https://www.idc.com/getdoc.jsp?containerId=prUS45521319 Accessed January 7, 2020
31.Globe News Wire (2019). Wearable Devices Market worth $62.82 billion by 2025- Exclusive Report by Meticulous Research. Available at:
https://www.globenewswire.com/news-release/2019/10/31/1938647/0/en/Wearable-Devices-Market-worth-62-82-billion-by-2025-Exclusive-Report-by-
Meticulous-Research.html Accessed January 7, 2020
32.PwC (2016). The Wearable Life 2.0. Available at: https://www.pwc.com/us/en/industry/entertainment-media/assets/pwc-cis-wearables.pdf Accessed
January 7, 2020
33.Product Chart (2020). Smartphones. Available at: https://www.productchart.com/smartphones/ Accessed January 7, 2020
34.IDC (2019). Smartphone Market Share. Available at: https://www.idc.com/promo/smartphone-market-share/os Accessed January 7, 2020
35.Identity Theft Resource Center (2019). 2018 Annual Data Breach Year-End Review. Available at: https://www.idtheftcenter.org/2018-data-breaches
Accessed January 7, 2020
36.Statista (2019). Global Apple iPhone sales from 3rd quarter 2007 to 4th quarter 2018 (in million units). Available at:
https://www.statista.com/statistics/263401/global-apple-iphone-sales-since-3rd-quarter-2007/ Accessed January 7, 2020
37.Christensen, N. at Kitco (2019). U.S. Dollar can still roar in 2020 even as it ends 2019 with a whimper. Available at: https://www.kitco.com/news/2019-12-
31/U-S-Dollar-can-still-roar-in-2020-even-as-it-ends-2019-with-a-whimper.html Accessed January 7, 2020
SLIDE | 13
SOURCES (3/3)

More Related Content

Recently uploaded

Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinAnton Skornyakov
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003believeminhh
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Winbusinessin
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHelene Heckrotte
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access
 
Live-Streaming in the Music Industry Webinar
Live-Streaming in the Music Industry WebinarLive-Streaming in the Music Industry Webinar
Live-Streaming in the Music Industry WebinarNathanielSchmuck
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfHajeJanKamps
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfJohnCarloValencia4
 
MoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor PresentationMoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor Presentationbaron83
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyHanna Klim
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfAnhNguyen97152
 
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBBPMedia1
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...IMARC Group
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..dlewis191
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access
 
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)tazeenaila12
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhangmcgroupjeya
 
Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursKaiNexus
 

Recently uploaded (20)

Slicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup BerlinSlicing Work on Business Agility Meetup Berlin
Slicing Work on Business Agility Meetup Berlin
 
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
The Vietnam Believer Newsletter_MARCH 25, 2024_EN_Vol. 003
 
Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024Ethical stalking by Mark Williams. UpliftLive 2024
Ethical stalking by Mark Williams. UpliftLive 2024
 
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptxHELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
HELENE HECKROTTE'S PROFESSIONAL PORTFOLIO.pptx
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024
 
Live-Streaming in the Music Industry Webinar
Live-Streaming in the Music Industry WebinarLive-Streaming in the Music Industry Webinar
Live-Streaming in the Music Industry Webinar
 
PDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdfPDT 88 - 4 million seed - Seed - Protecto.pdf
PDT 88 - 4 million seed - Seed - Protecto.pdf
 
Investment Opportunity for Thailand's Automotive & EV Industries
Investment Opportunity for Thailand's Automotive & EV IndustriesInvestment Opportunity for Thailand's Automotive & EV Industries
Investment Opportunity for Thailand's Automotive & EV Industries
 
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdfAMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
AMAZON SELLER VIRTUAL ASSISTANT PRODUCT RESEARCH .pdf
 
MoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor PresentationMoneyBridge Pitch Deck - Investor Presentation
MoneyBridge Pitch Deck - Investor Presentation
 
Anyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agencyAnyhr.io | Presentation HR&Recruiting agency
Anyhr.io | Presentation HR&Recruiting agency
 
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdfGraham and Doddsville - Issue 1 - Winter 2006 (1).pdf
Graham and Doddsville - Issue 1 - Winter 2006 (1).pdf
 
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John MeulemansBCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
BCE24 | Virtual Brand Ambassadors: Making Brands Personal - John Meulemans
 
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
Boat Trailers Market PPT: Growth, Outlook, Demand, Keyplayer Analysis and Opp...
 
Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..Team B Mind Map for Organizational Chg..
Team B Mind Map for Organizational Chg..
 
Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024Borderless Access - Global Panel book-unlock 2024
Borderless Access - Global Panel book-unlock 2024
 
Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024Borderless Access - Global B2B Panel book-unlock 2024
Borderless Access - Global B2B Panel book-unlock 2024
 
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)
Harvard Business Review.pptx | Navigating Labor Unrest (March-April 2024)
 
MC Heights construction company in Jhang
MC Heights construction company in JhangMC Heights construction company in Jhang
MC Heights construction company in Jhang
 
Developing Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, OursDeveloping Coaching Skills: Mine, Yours, Ours
Developing Coaching Skills: Mine, Yours, Ours
 

Apple SWOT Analysis 2020

  • 2. SLIDE | 2 ABOUT APPLE Name Apple Inc. Logo Industries served • Computer hardware (iMac, iMac Pro, MacBook, MacBook Pro, MacBook Air) • Software (iOS, iPadOS, MacOS, watchOS, tvOS, Safari, iWork, iMovie) • Consumer electronics (iPhone, iPad, Apple TV, Apple Watch, AirPods, HomePod) • Internet Services (iCloud, Apple Pay, App Store, TV App Store, Apple Music) Geographic areas served 509 retail stores in 25 countries and online stores in over 100 countries Headquarters Cupertino, California, United States Current CEO Timothy Donald "Tim" Cook Revenue (US$) 260.174 billion (2019) 2% 265.595 billion (2018) Profit (US$) 55.256 billion (2019) 7.2% 59.531 billion (2018) Employees 137,000 (2019) Main Competitors Samsung Electronics Co., Ltd., Amazon.com, Inc., International Business Machines Corporation, Cisco Systems, Inc., Google Inc., Microsoft Corporation, Dell Inc., LG Electronics, Lenovo Group Limited, Hewlett-Packard Company, Sony Corporation and many other computer hardware, computer software, consumer electronics and Internet companies.
  • 3. Apple Inc., established in 1977, is the largest technology company by revenue and one of the most valuable companies, both in terms of market capitalization and brand value, in the world.[3] The company has revolutionized the smartphone market and has created one of the most iconic brands in history. Apple has built its business by selling and manufacturing computer hardware and software, but experienced significant growth and success by entering consumer electronics market with iPod, iPad and iPhone products. The company designs, manufactures and markets smartphones, tablets, personal computers, wearables and accessories, and offers many related services including financial services. SLIDE | 3 BUSINESS DESCRIPTION (1/3) “ ”
  • 4. • retail stores • online stores • direct sales force • third-party cellular network carriers • wholesalers • retailers • value-added resellers SLIDE | 4 BUSINESS DESCRIPTION (2/3) Our sales channels include “ ” Our customers are • consumers • businesses • enterprises • education institutions
  • 5. Apple operates and sells its products in over 100 countries, but the U.S. China, the U.K. Canada and Australia are the most important markets. In 2019, the company’s net sales through its direct (sales in company’s 508 stores in 25 countries and sale through online stores) and indirect distribution (sales made by third-party sellers) channels accounted for 31% and 69%, respectively. SLIDE | 5 BUSINESS DESCRIPTION (3/3) “ ”
  • 6. Many of Apple’s competitors have tried and still try to imitate the success of Apple’s product ecosystem, but fail due to not having strong capabilities in designing, manufacturing and developing both hardware and software, applications and services. SLIDE | 6 STRENGTHS 1. Unique ability to design and develop proprietary hardware, software, applications and services S W O T Apple’s product ecosystem
  • 7. 1. Over-reliance on iPhone sales as a major revenue source SLIDE | 7 WEAKNESSES The iPhone generated 54.7% of the company’s total revenue in 2019. Apple revenue breakdown by product 2019 (% share of total revenue) S W O T 54.7% 17.8% 9.9% 9.4% 8.2% iPhone Services Mac Wearables, Home and Accessories iPad
  • 8. 1. Augmented and virtual reality markets will be worth US$104 billion by 2023 SLIDE | 8 OPPORTUNITIES The combined AR and VR markets are expected to be worth US$10.5 billion in 2019. Both markets are expected to be worth around US$104 billion combined by 2023. AR and VR will become very profitable growth markets and Apple should take advantage of this opportunity. S W O T
  • 9. 1. Smartphones and tablets are becoming a commodity, which could impact the company’s gross margins SLIDE | 9 THREATS Smartphone Differentiation Points Hardware Design Software Additional services No longer offers enough differentiation for iPhone Offers some differentiation Main iPhone differentiator S W O T
  • 10. SLIDE | 10 GET THE FULL PRESENTATION BUY APPLE INC. SWOT 2020
  • 11. 1. Apple, Inc. (2019). Form 10-K for the Fiscal Year Ended September 30, 2019. Available at: https://s2.q4cdn.com/470004039/files/doc_financials/2019/ar/_10-K-2019-(As-Filed).pdf Accessed January 7, 2020 2. Apple, Inc. (2020). Retail Stores. Available at: https://www.apple.com/retail/storelist/ Accessed January 7, 2020 3. Fortune (2019). Fortune Global 500. Available at: https://fortune.com/global500/2019/ Accessed January 7, 2020 4. Interbrand (2019). Best Global Brands 2019. Available at: https://www.interbrand.com/best-brands/best-global-brands/2019/ranking/ Accessed January 7, 2020 5. Forbes (2020). The World's Most Valuable Brands. Available at: https://www.forbes.com/powerful-brands/list/ Accessed January 7, 2020 6. Graham, M. at CNBC (2019). Apple’s ad agency has layoffs as the company beefs up its in-house ads group. Available at: https://www.cnbc.com/2019/11/05/apples-advertising-agency-media-arts-lab-lays-off-several-employees.html Accessed January 7, 2020 7. BankMyCell (2019). Smartphone Brand Loyalty Statistics (2019). Available at: https://www.bankmycell.com/blog/smartphone-brand-loyalty- during-trade-in-2019/ Accessed January 7, 2020 8. Brand Keys (2019). 2019 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp- content/uploads/2019/05/2019-CLEI-Category-Winners.pdf Accessed January 7, 2020 9. Brand Keys (2014). 2014 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp- content/uploads/2014/12/2014-Brand-Keys-Loyalty-Leaders-List-PR-Finalv3.pdf Accessed January 7, 2020 10.Brand Keys (2015). 2015 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp- content/uploads/2015/02/Brand-Keys-CLEI-2015.pdf Accessed January 7, 2020 11.Brand Keys (2016). 2016 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp- content/uploads/2016/10/2016-Loyalty-Leaders-Top-100-List.pdf Accessed January 7, 2020 12.Brand Keys (2017). 2017 Winning Brands - Brand Keys Customer Loyalty Engagement Index. Available at: https://brandkeys.com/wp- content/uploads/2017/09/2017-CLEI-table-of-category-winnersFINALfeb1.pdf Accessed January 7, 2020 13.Samsung Electronics Co., Ltd.(2019). Consolidated Statements of Financial Position. Available at: https://images.samsung.com/is/content/samsung/p5/global/ir/docs/2018_con_quarter04_all.pdf Accessed January 7, 2020 SLIDE | 11 SOURCES (1/3)
  • 12. SLIDE | 12 SOURCES (2/3) 14.Alphabet Inc. (2019). Form 10-K for the Fiscal Year Ended December 31, 2018. Available at: https://abc.xyz/investor/static/pdf/20180204_alphabet_10K.pdf Accessed January 7, 2020 15.Microsoft Corporation (2019). Form 10-K for the Fiscal Year Ended June 30, 2019. Available at: https://microsoft.gcs-web.com/static- files/7c96b326-33bc-4b84-8abb-7afd7a517ea3 Accessed January 7, 2020 16.Canalys (2019). China’s smartphone market falls 14% in 2018, with just under 400 million units shipped. Available at: https://www.canalys.com/newsroom/china%E2%80%99s-smartphone-market-falls-14-in-2018-with-just-under-400-million-units-shipped Accessed January 7, 2020 17.Apple, Inc. (2012). Form 10-K for the Fiscal Year Ended September 29, 2012. Available at: http://files.shareholder.com/downloads/AAPL/3883149972x0xS1193125-12-444068/320193/filing.pdf Accessed January 7, 2020 18.Apple, Inc. (2014). Form 10-K for the Fiscal Year Ended September 27, 2014. Available at: http://files.shareholder.com/downloads/AAPL/3883149972x0x789040/ED3853DA-2E3F-448D-ADB4- 34816C375F5D/2014_Form_10_K_As_Filed.PDF Accessed January 7, 2020 19.Wang, Y (2017). Why iPhone X Isn't The Answer To Apple's China Problem. Available at: https://www.forbes.com/sites/ywang/2017/09/12/why- iphone-x-isnt-the-answer-to-apples-china-problem/ Accessed January 7, 2020 20.Fast Company (2019). The World’s 50 Most Innovative Companies 2019. Available at: https://www.fastcompany.com/most-innovative- companies/2019 Accessed January 7, 2020 21.Fast Company (2018). The World’s 50 Most Innovative Companies 2018.Available at: https://www.fastcompany.com/most-innovative- companies/2018 Accessed January 7, 2020 22.Forbes (2020). The World’s Most Innovative Companies. Available at: https://www.forbes.com/innovative-companies/ Accessed January 7, 2020 23.IDC (2019). Worldwide Spending on Augmented and Virtual Reality Expected to Reach $18.8 Billion in 2020. Available at: https://www.idc.com/getdoc.jsp?containerId=prUS45679219 Accessed January 7, 2020 24.Research and Markets (2018). Augmented Reality and Virtual Reality Market by Offering, Device Type, Application, and Geography - Global Forecast to 2023. Available at: https://www.researchandmarkets.com/research/dm5djr/augmented_reality?w=4 Accessed January 7, 2020
  • 13. 25.Merel, T. (2017). The reality of VR/AR growth. Available at: https://techcrunch.com/2017/01/11/the-reality-of-vrar-growth/ Accessed January 7, 2020 26.Johnson, L. at Macworld (2019). Apple AR headset rumors: Apple may release headset in 2022, glasses by 2023. Available at: https://www.macworld.com/article/3446839/apple-ar-glasses-rumors.html Accessed January 7, 2020 27.Wollerton, M. at Cnet (2019). Alexa, Google Assistant and Siri will get smarter this year. Here's how. Available at: https://www.cnet.com/news/alexa-vs- google-assistant-vs-siri-the-state-of-voice-after-google-io-and-wwdc-2019/ Accessed January 7, 2020 28.Grand View Research (2019). Intelligent Virtual Assistant (IVA) Market Size, Share & Trends Analysis Report. Available at: https://www.businesswire.com/news/home/20190822005478/en/Global-Intelligent-Virtual-Assistant-IVA-Market-2019-2025 Accessed January 7, 2020 29.Business Wire (2019). Worldwide Wearables Market to Top 300 Million Units in 2019 and Nearly 500 Million Units in 2023, Says IDC. Available at: https://www.businesswire.com/news/home/20191216005029/en/Worldwide-Wearables-Market-Top-300-Million-Units Accessed January 7, 2020 30.IDC (2019). Wrist-Worn Wearables Maintain a Strong Growth Trajectory in Q2 2019, According to IDC. Available at: https://www.idc.com/getdoc.jsp?containerId=prUS45521319 Accessed January 7, 2020 31.Globe News Wire (2019). Wearable Devices Market worth $62.82 billion by 2025- Exclusive Report by Meticulous Research. Available at: https://www.globenewswire.com/news-release/2019/10/31/1938647/0/en/Wearable-Devices-Market-worth-62-82-billion-by-2025-Exclusive-Report-by- Meticulous-Research.html Accessed January 7, 2020 32.PwC (2016). The Wearable Life 2.0. Available at: https://www.pwc.com/us/en/industry/entertainment-media/assets/pwc-cis-wearables.pdf Accessed January 7, 2020 33.Product Chart (2020). Smartphones. Available at: https://www.productchart.com/smartphones/ Accessed January 7, 2020 34.IDC (2019). Smartphone Market Share. Available at: https://www.idc.com/promo/smartphone-market-share/os Accessed January 7, 2020 35.Identity Theft Resource Center (2019). 2018 Annual Data Breach Year-End Review. Available at: https://www.idtheftcenter.org/2018-data-breaches Accessed January 7, 2020 36.Statista (2019). Global Apple iPhone sales from 3rd quarter 2007 to 4th quarter 2018 (in million units). Available at: https://www.statista.com/statistics/263401/global-apple-iphone-sales-since-3rd-quarter-2007/ Accessed January 7, 2020 37.Christensen, N. at Kitco (2019). U.S. Dollar can still roar in 2020 even as it ends 2019 with a whimper. Available at: https://www.kitco.com/news/2019-12- 31/U-S-Dollar-can-still-roar-in-2020-even-as-it-ends-2019-with-a-whimper.html Accessed January 7, 2020 SLIDE | 13 SOURCES (3/3)