Swot Analysis in Apple

In a modern society, human resources management is always a complicated matter; managers find it difficult to give answers to human resource questions such as: how to exploit strengths, overcome weaknesses, or increase ability of competition. There are many solutions to deal with this matter, one of these is using the SOOT analysis (Strengths, Weaknesses, Opportunities, and Threats), it is considered an ideal answer.

Many companies were trying to apply that solution in their organizations, however the results were not always what they expected, and some organizations failed in reforming the SOOT strategy, some companies also succeeded. The Apple Company is known as typical company which is successful in performing SOOT analysis. This essay will argue that it is a perfect strategy or not and how does it expressed in Apple Company.

Technically, SOOT is created by 4 words: S, W, O, T, in which S represents for strengths, W stands for weaknesses, O is opportunities, and T represents for threats, according to Queensland Government, they defined that it is an important tool to identify and analysis the overall company’s strategy. In the same word, SOOT analysis is considered a special technique to estimate the success of a company, which can exploit maximum company’s strengths to match them with opportunities, and overcome the weaknesses, convert them into strengths simultaneously, make use of opportunities and avoiding threats. Queensland Government, 2012) In recent years, Apple is an example of strengths in the SOOT and they are becoming one of the most famous brands in technology area, especially in computer PC’s, network solutions and communication devices. This success is a combination of many differences factors, Apple knows the way to exploit their specific advantages; they always have a great marketing plans for long- term development.

In addition, the quality of technology products are guaranteed, the best quality and an ideal service are exactly what Apple expected to bring out to their customers. For example, Jordan Godson stated that Apple’s revenue was $108 billion in 2011 and their profit was total $25. 9 billion in the same period (Gilson, 2011). It is broken any record about selling revenue before. On the other hand, Apple brand and its reputation are also one of the strengths of Apple Company, according to Solon’s report, he pointed out that

Apple has biggest amount of loyal customers. It is quite different in comparison with other brands customers, while Ionians customers, or Samsung customers prefer to change their devices to other brands, Apple’s customers also change their devices, however they only change to the newer Apple’s devices such as ‘phone 3 to ‘phone ASS or ‘phone 4 to phone as. Apple is known as one of the strongest company, in fact, however, they are not completely perfect; the company still has several weaknesses in term of SOOT.

The first weakness could be Steve Jobs, it sounds quite funny but that is the truth. When people talk about Apple, most of them will be reminded Steve Jobs as a talented leader, he has big effects on manage, operate, marketing and responsibility for innovating new products, so when he dies, the company have to face such as : innovation of products, marketing strategies, or Apple’s reputation. Secondly, the modern of devices is considered a weakness, they are not only guarantee the quality of their products, but also they need guarantee obstruction in attracting their customers.

If strengths and weaknesses are defined as internal factors, opportunities and threats are external factors, the opportunities will be discussed below, however you can control it and change challenges into opportunities, change opportunities into your strengths. In Apple company, they focus on the development of technology products and these are done almost perfectly, moreover, they may be probably more successful also if they know how to capture and utilize the opportunities that they are. In fact, products of Apple are great products; it could be much better if they can simplify their products.

Take example of Tunes, it is an useful tool to sync your music, photos, or videos to your Apple’s devices, but it is quite complex for newbie. One the other area, the company can be more develop further in the field of the Apple TV, they have been successful in other areas such as: mobile ( Phone, Pad), Laptop ( Macro, Rebook)… I believe that they are absolutely possible to reach the success in Apple TV. Those opportunities can be exploited to be more successful, the Apple Company should catch the opportunities to reach a new height in technology area.

In every company, threats are the factors that always go along with the successful of an organization; Apple is not n exception. In the same word, threats are exactly the competitors, their strong development will be Apple’s hindrance, the competitors will competitive with you in every field from products to customers. According to Leo, he stressed that the biggest competitor may be Samsung Company, Samsung products often have lower average price than Apple’s products but the quality of their products are always guaranteed (Plovers, 2012).

Furthermore, the company needs to remain the innovation of their products, Apple always lead to the changes to make the differences. Besides, there are many factors which are considered the threats such as: international trade barriers, export/import policies, market’s demands… Apple is one the most successful company in performing SOOT analysis. It is a strong instrument; the successful of businesses are based on their strengths, overcome the weaknesses and change them into strengths.

SOOT analysis is also help managers to estimate the internal and external factors to achieve their targets. However, in Keenness’s studying, he said that there are some limitations when you are conducting SOOT strategy. The strategy mostly focused on internal factors, for complex situation, you will need to have more research and it can provide a lot of information to make your decisions but you are unable to know which one is the best, is it really useful (Kenneth, 2011).

That is basically knowledge about SOOT analysis; it has many different levels of the success on the ground that it depends on size of the company and the quality of human resources also. Overall, SOOT analysis is very simple but it’s an important mechanism to estimate strengths and weaknesses, analysis opportunities and threats that are facing your businesses. It is considered a useful tool in grasping and making the decision of a business organization which Apple is the most typically example.