Apple Pestle Analysis – Analysis of Apples

Apple (AAPL) is the world’s leading consumer electronics brand. Apple was founded in 1976 by Steve Jobs, Wozniak, and Ronald Wayne. It is known for its size and revenue. Investors always prefer Apple for its high return on investment and fast growth.

It has a limited but out-of-class product line and is designed with innovative technology. The Apple product line consists of the iPhone, Mac, Apple Watch, iPad, music, TV, and different accessories. Apple also designs proprietary software and the iOS operating system to cater to all its devices.

On April 30, 2017, according to The Wall Street Journal, Apple’s cash reserves reached $250 billion. The news was also confirmed by Apple officials, with accurate figures of $256.8 billion. As of August 2018, Apple became the world’s largest publicly traded corporation by market capitalization and reached $1 trillion in market value. Apple is ranked number 4 on the Fortune 500 list. You can also check out my articles, Apple Swot Analysis and Competitors Analysis.

Apple Pestle Analysis

Political Factors

  • Political stability in the countries where Apple operates is crucial for its business.
  • Government policies and regulations, including those related to trade, intellectual property, and environmental protection, can have a significant impact on Apple’s operations.
  • Tax policies can also affect Apple’s profitability and competitiveness.
  • Apple is also subject to antitrust scrutiny in some countries.

Economic Factors

  • The global economic climate can have a significant impact on Apple’s sales and profitability.
  • Economic downturns can lead to lower consumer demand for Apple’s products and services.
  • Currency fluctuations can also affect Apple’s financial performance.
  • The rising cost of living in some countries could also make Apple’s products and services less affordable for consumers.

Social Factors

  • Changing consumer preferences can affect the demand for Apple’s products and services.
  • For example, the rising popularity of social media and mobile gaming has led to increased demand for Apple’s smartphones and tablets.
  • Apple is also facing increasing competition from other technology companies, such as Samsung and Huawei.

Technological Factors

  • Apple is a technology company, so it is essential for it to stay ahead of the technological curve.
  • The company must invest heavily in research and development to develop new and innovative products and services.
  • Apple must also keep up with emerging technologies, such as artificial intelligence and 5G connectivity.

Environmental Factors

  • Apple is committed to environmental sustainability.
  • The company has set ambitious goals for reducing its carbon footprint and using renewable energy sources.
  • Apple is also facing increasing pressure from consumers and environmental groups to reduce its reliance on rare earth metals and other hazardous materials.

Legal Factors

  • Apple is subject to a variety of laws and regulations, including those related to product safety, consumer protection, and antitrust.
  • The company must also comply with complex international trade laws.
  • Apple is also facing increasing scrutiny from regulators around the world over its privacy practices and data collection policies.


The PESTEL analysis reveals a number of both opportunities and challenges for Apple. By understanding these factors, Apple can make informed decisions about how to navigate the changing landscape and maintain its position as a global leader.