PESTEL Analysis of Apple Inc.

PESTEL Analysis of Apple Inc

Apple Inc is a tech giant founded on January 3, 1977, in California. It was initially named Apple Computer Inc, later the management changed the name to Apple Inc on January 11, 2007. Apple has relatively a good history in terms of rapid growth in productivity and profitability. It started by launching its first product in the start of 1977 named the ‘Apple 1 computer’. Since then, many stakeholders get into it and the company has grown exponentially providing quality products and services.

Today, one of the top-notch products of Apple Inc. includes iPhone (mobile device). According to the financial reports, Apple Inc. generated almost half of its revenue from selling iPhones in the fiscal year 2020. As the company generated iPhone sales revenue of $137b whereas, in the same year (2020) the total revenue company generated from selling all of its products and services including (Apple Music, iMac, iPad, App Store, cloud services, etc.) was $274b.

Researchers and analysts have named ‘iPhone’ as Apple’s one successful product. However, Apple is getting a nice momentum in the demand for its wearable products and services business as well. The current cash flows and financial statements of the company suggest a profitable and attractive opportunity for the investors as they are above the average point in the industry.

PESTEL Analysis of the company

It stands for (political, economical, social, technological, environmental, and legal) factors that are designed to understand the macro-environment, in particular, the possible opportunities and threats caused by an external environment that can influence the profitability and growth of an organization.

PESTEL Analysis – Apple Inc.


•           Improvement in the free trade policies

•           Cold war and the trade dispute between Apple’s two big markets (US & China)

•           Apple’s reliance on manufacturing and assembling products in China & low-cost manufacturing countries.


•           COVID-19 Shock and economic recovery

•           The growth level of the developing world

•           Increasing labor costs in low-cost manufacturing countries like China and South Asia region.

•           Financial institutions shift towards blockchain technology and pressure on the US dollar


•           The influence of the younger generation demands innovation, creativity, and new trends in products and services.

•           Rising use of social media platforms

•           Social and religious groups developing strong trends

•           Work from home or remote working trends globally

•           The rapid rise of ‘Anti-Apple’ sentiments


•           The rapid shift in the entrance of other companies into the tech industry

•           The mounting demand for cloud computing

•           Declining demand for the desktop and big size personal computer

•           Blockchain, metaverse, and NFT fever


•           Green policies, eco-friendly products, and services

•           Disposal of old and unrepairable devices

•           Climate change and its concerns related to supply chain and accessibility 


•           Cybersecurity laws and changing telecommunication regulations around the globe

•           The privacy legislation concerns

•           Mounting trends of external cyberattacks and steeling of the data cases.

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What is PESTEL analysis?

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The company introduction – Apple Inc.

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PESTEL Analysis - Apple Inc.
PESTEL Analysis – Apple Inc.

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