Apple Swot Analysis – 2

orchard apple tree SWOT Analysis II Cesar Diaz MGT/521 Management October 31, 2011 Erick Espinosa abstractionist orchard apple tree is a keep participation that concerned of the surround and has been working for to a greater extent(prenominal) than 20 years to minify the impact their get outs piss on the environment. apple has developed and formulate an environmental policy in 1990 and since wherefore, orchard apple tree has move making their products more energy efficient, eliminating toxic substances. orchard apple tree is also the notwithstanding(prenominal) organization that exclusively the products they sell not only meets unless now exceeds the riotous energy guidelines of the ENERGY protagonist specification.In 2009 be exercise the first play along to report their chalk up carbon footprint giving the opportunity to their clients to squ argon off apple progress and efforts. Studying the financial statements of orchard apple tree investors and also costu mers ordure determinate the health of the confederacy, with the statements investors tramp decide if is a nigh(a) investment funds risk by studying them in depth because the financial statements intercommunicate on the whole of the business assets and liabilities and also admit breeding about how more bundleholders would receive as dividends from each share of sway.Companies enter the earnings per share by dividing their net income by the total number of outstanding stock. orchard apple tree SWOT Analysis The environment of Apple is unique in this persona of industry, because they focus on all the steps that their products pass through, Apple calculate their carbon footprint establishing the impact the company has in the planet. The footprint of Apple is divide in 46% on Manufacturing, a 6% on Transportation, a 45% on Product use, 1% of Recycling and the persist 2% in Facilities The vast majority of our carbon emissions come from the manufacturing, transportation, use , and cycle of our products.The rest 2 percent come from our facilities. The way Apple minimize the impact of their growth is designing the products using less material, ship with small packaging and been as energy efficient and recyclable as Apple possible can. Apple remains committed to creating products that have the least(prenominal) add together of impact on the environment. Since 2008, as our revenue enhancement grew 74 percent, our greenhouse fluid emissions grew only 57 percent.In opposite words following postal code Star qualification all products of Apple go beyond the the States Environmental Protection Agencys strict ENERGY STAR guidelines for efficiency and has become the only company that can make that claim. In the past few years has made notable reduction in carbon Emissions (http//images. apple. com/environment/ images/manufacturing_ emissions_20110909. jpg) also the CO 2 Emissions per hour of products have considerable fall (http//images. apple. com/envi ronment/images/product_graph_20110909. pg) Apple continues to install state-of-the-art digital controls, high-efficiency mechanical equipment, and monitoring technology and Apple have a inscription to recycle, that also have Recycling Program and with this change magnitude their goal all year. The goal for 2010-2015 is a 70% of weight Recycled per year. (http//images. appleinsider. com/apple-e-waste-perc-070502. gif) Apple Inc. is an American establish multinational company whose stocks are listed in theNew York Stock change everyplace and NASDAQ (National Association of Securities Dealers Automated Quotations) under the symbol AAPL.The company specializes in the design, development and manufacturing of electronic equipments like computers, software and smartph unitarys. The hardware related to product line of the company is well known to every sensationness including iphone, Macintosh and ipad and ipod reckonively. While thither are multiple range of softwares offered by th e company to its customers that ranges from operating frame to the entertainment and educational based software suits.thither are several statements that can be analyzed to establish the health of Apple each one with different meaning and purpose. The income statement is for esteems a companys financial performance over a specific peckering period. This is one of the terce major financial statements it alsoshows the net earnings or loss incurred over a specific accounting period, typically over a fiscal shit or year. The income statement of Apple is In the last quarter the Revenue (in billion) of tether of Apple products Ipod, Mac and iPhone) is of 28. 23 and the cost of Revenue is 16. 89. The gross profit is 11. 38, which leave us amid the selling, administration and expenses, also the department of research and development a total operating expense 19. 56. so after taxes the income available Is 6. 62 with this information investor can identify how Apple has been growing d espite the last of their administrator chief. The balance sheet depart give the summarize of a companys assets, liabilities andshareholders beauteousnessat a specific point intime.Knowing what Apple owns and what owes and also the amount invested by the shareholders. Seen the graphic, its overflowing to appreciate that Apple does not owes nothing and the assets are increasing more each quarter Cash Equivalents 9,815. 00 Short Term Investments 16,137. 00 Cash and Short Term Investments 25,952. 00 pith Receivables, Net 11,717. 00 substance Current Assets 44,988. 00 Long Term Investments 55,618. 00 Total Assets 116,371. 00 Total Liabilities 39,756. 00 Total Equity 76,615. 00Total Liabilities Shareholders Equity 116,371. 00 Total Common Shares keen 929. 28 And the last statement to study is gold flow, this is a A revenue or expense stream that changes a cash accountover a given period. Cash inflows usuallyarise from one of three activities financing, operations or investing although this also occurs as a result of donations or gifts in the case of personal finance. Cash outflows result from expenses orinvestments. This holds true for both business and personal finance.This statement provides compound data regarding allcash inflows a company receives from both its on sledding operations and external investment sources, as well asall cash outflows that pay for business activities and investments during agiven quarter. As we can see in the graphic and confirm with the numbers Apple has make up their operating activities but the investing are dropping fast enough to realize that even is a good market rentable their stock are not valuable right now, we can say that one of the reason that their value have decrease in stock is because of the death of Steve Jobs.After reviewing each statement I can understand that the company is financial speaking, healthy because it have values that makes the company special, such as the tone in their products and cares a bout the planet, also the revenue are increasing and is a solid business because is always improving for increase the profit and reduce the cost. That concern to me because as an young entrepreneur learn to measure an investments risk. Management use this information to see the shoddy points have to streng thus and how is the company doing, is the duty of the manager make the revenue of the company always increase and find a way to reduce the cost.The stocks of Apple have a value of 404. 78 and a military rating change of -0. 04% Apple has 929. 28M of Shares and 70% of the installations Apple is the owner, comparing Apple with other companies is simple to appreciate that (see table) Apple is the most stable for investment and with more market capital to invest, also is the most active in sawhorse volume improving in technology and research, certificating the quality of Apple products. mark stats and ratios Q3 (Sep 11) 2011 Net profit margin 23. 43% 23. 95% Operating margin 30. 81% 31. 22% EBITD margin 32. 87% Return on fair(a) assets 23. 81% 27. 06% Return on average equity 36. 40% 41. 67% Employees 46,600 Carbon Disclosure Rating 80/100 In basis of technology advancement Apple is pioneer because have the brains of Steve Jobs, Jonathan Ives and other authorize slewaries at the company hardly it would be a mistake to regard that only these few drive all of Apples vision and long term dodge. Indeed, as I understand it, the visionary conclusions they come to that drive Apple is quite a collaborative effort.A good slip of technology advancement is the iPhone, that product began when some engineers showed Steve Jobs a larger touch screen version of an iPod they created in 2004, It took three years to pull off but in 2007, Apple introduced the iPhone and its apps eco system and as you know, this changed the course of smart phone history. Since then, every handset nobleman and PC vendors has been playing catch up with Apple. It ha s taken at least two years for the competition to pull alongside Apple but with each invigorated extension of the iPhone, Apple seems to raise the bar.The 4th generation of the iPhone introduced the retina screen and a front facing camera and who knows what will be in the next generation iPhone when it comes out this summer. What Apple does is use its cash hoard to pay for the construction cost (or a significant work out of it) of the mill in exchange for exclusive rights to the output production of the factory for a set period of time (maybe 6 36 months), and then for a discounted rate afterwards. This yields two returnss First Apple has access to new component technology months or years before its rivals.This allows it to release groundbreaking products that are actually impossibleto duplicate. And second Eventually its competitors catch up in component production technology, but by then Apple has their arrangement in place whereby it can source those parts at a lower cost d ue to the discounted rate they have negotiated. formerly those technologies (or more accurately, their mass production techniques) become sufficiently commoditized, Apple is then able to compete effectively on cost and undercut rivals.Its a myth that Apple only makes premium products it makes them all right, but that is because they are literally more advanced than anything else (i. e. the price premium is not just for design), and once the product line is no longer premium, they are producedmore cheaplythan competitor equivalents, yielding higher margins, more cash, which results in more susceptibility to continue the cycle. There is one other strategic advantage that Apple has that does not make them happy and that is Apples $60 billion cash in the bank.Although there has been suggestion from stockholders that some of that be given back to shareholders, Jobs and team have argued that they need it for acquisitions and other free-enterprise(a) issues. Well, it turns out the comp etitive issue they are talking about is the ability to pre-buy components in large quantities and at big price breaks. One example was the $500 million purchase of flash memory Apple did three or four years ago that almost wiped out the correct supply of flash at the time and drove the price f flash for competitors up. Apple is currently working on the speciality strategy by putting unique parts in the design and development of its products. The differentiation strategy is defined as a strategy that aims to develop the products and or services that have unique characteristics that are well liked by the customers and are valued by them. This strategy enhances the market position of the companies with respect to their counterparts (Porter, 1998).Moreover, the company strategies also involve the expansion of its distribution networkin order to improve its ball-shaped reach by providing high quality products and services with aftersales services to their customers. Therefore, the co mpany is positioned uniquely in the markets to offer superior and integrated digital technologies and productivity solutions. The company faces vulturous competition from the other market players. According to Hoover (2011) the top three competitors of Apple Inc. in United States are Fujitsu Technology Solutions (Holding) B.V. , International descent Machines Corporation and Media Net Digital, Inc. respectively. The needs of the markets it caters are highly competitive in nature due to the ever changing and advancing technological environment and the rapid introduction of new technology based products. The main competitors of the company are following cost leadership strategies by reducing the prices of their products or by maintaining low profit margins to maintain their market share. There are various forces that can impact the business and profitability of Apple.These factors may include the marketing mix product, price, place, promotion strategies, productperformance, the qua lity and reliability of the product, progressive designs as well as the availability of up to date software services. Currently, the management of the company is focusing on the expansion of its business markets related to the smart phones and other media and communication devices. Therefore, it is expected that the competition in these markets will tend to increase for the company. Conclusion Apple competitors delight in going head-to-head with Apple in hardware, because they can compete with them at this level.But its the combinations of its hardware thats created specifically to be a fomite for its software and the software itself that really sets Apple apart. And, there is another element to Apples blank screen strategy that adds to its competitive advantage. It makes Apple driven content a cornerstone of its extended software offerings. in addition the study result showed that the company is doing pretty well in the global markets due the integrated resources and operative ca pabilities that are outcome of globalization.Apple Inc. lags only in its outsourcing associations with the other companys at different countries of the world. In order to improve the outsourcing practices ethically, Apple can strictly ask its outsourcing partners to come after with the ethical rules, and regulations. References Apple Finance (2011, October 18). Apple Financial Result Audio podcast. concourse Call. Retrieved from http//stream. qtv. apple. com/events/oct/earnings/earnings_11/earnings_ref. mov Apple Inc.. (October 21, 2011). Environmental Policy.Retrieved from http//www. apple. com/privacy/ Apple an the Enviroment. (2011, Summer). Environmental Progress. Retrieved from http//www. apple. com/environment/progress/ Bajarin, T. (2011, March 5). Apples Strategic Advantage. Retrieved from http//technologypundits. com/2011/03/apples-strategic-advantage/ Google Finace. (2011, Octuber 31). Apple abridgment Statement. Retrieved from http//www. google. com/finance? q=NASDAQAAP L McHugh, N. W. (2010). Understanding business (9th ed. ). New York, NY McGraw-Hill/Irwin..