Running head: Internal and External Factors
Internal and External Factors
Apple is a household name because of the company’s ability to manage the changes of internal and external factors in the market. Internal and external factors influence the functions of management; planning, organizing, leading and controlling. Internal factors include the business’s reputation, their image, how there company is structured and how they operate. External factors are the things beyond control like lending conditions, government regulations and competition. Apple’s internal factors are functions they have control over like planning, and organizing leading. External factors would ...view middle of the document...
In 2001 Apple first launched their first line of MP3 players called iPods, which became a huge success the company gained record high profits and market shares (Linzmayer, 2006). Thanks to their innovative designs and products including the iPhones and iPads, Apple surpassed Microsoft as the most valuable technology company in the world in 2010. (Helft & Vance, 2010)
In the last five years, Apple has sold over 365 million digital devices, sold 50 million last quarter , and at this time is now averaging about $4 billion in monthly profit (Gustin, April). Apple has collected $110 billion dollars. Innovation is defined as the introduction of new goods and services (Bateman, 2011). Steve Jobs, the co-founder of Apple, demanded to find needs that consumers did not know they had (Gustin, April). For example, before iPods and iTunes were invented, Americans would have been pleased with having a Sony Walkman mobile analog tape deck (Gustin, April). As a result, having Apple invented has changed the music business and the way people use music players (Gustin, April).
Motorola Razor flip-phones were popular until iPhones were invented (Gustin, April). Having an iPhone showed people the benefits of using a Smartphone for businesses or for daily use (Gustin, April). People who have iPhones have easy use for checking e-mails and browsing the internet (Gustin, April). Finally, the iPad became a new PC product line to the popular market; having an iPad reshapes centuries-old traditions of paper-based reading (Gustin, April)
When a company is built, there are many internal and external factors that might affect a company. In the case of Apple, most of the business is outsources to other counties when it relates to manufacturing the product. The actual production of the work is done in China. One aspect that Apple is definitely taking advantage of when it comes to the four functions of management is planning and gaining value (Thomas S. Bateman, 2011) from the decisions Apple executives make, “Mr. Cook has enough Steve Jobs broken china to deal with on issues such as Apple's management secrecy, lack of ethnic and gender diversity, and use of its $100 billion in cash.” (Karlgaard, 2012, para. 8). Diversity is recognized in the United States, when business is outsourced, the four management functions are not necessarily applied to decision making. The way business is run in the United States has given people the option to run a business with ethics and diversity when it relates to business deals and the hiring of staff. Diversity is an asset needed in this country. Without diversity, Apple wouldn’t be able to meet the needs of their consumers.
Apple Corporation, Incorporation is an illustration of a company that is assembled on a firm foundation. When a company is updated on their policies,...