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While Apple’s activities also include technological aspects, like Netflix, the differences in the companies’ main products cause differences in external factors that influence the companies. The Apple company is engaged in developing, assembling, and selling technological devices. Since Apple devices are the same in all countries where the company operates, cultural differences do not present a source of external influence on the company; on the contrary, the company’s products have largely influenced the formation of modern culture.
Unsustainable production and assembly of technical devices can negatively influence the environment. Apple maintains high production sustainability standards and imposes the same standards on the company’s suppliers. Thus, the direct impact of the external environmental factor on the company also influences the development of the technology industry. Like Netflix, Apple can benefit from a more comfortable economic climate and significant technological advancements while also being subjected to the influence of political factors due to the company’s presence in different countries. However, the impact of demographics on the company’s products is lower and may be limited by the choice of design configurations based on the population’s preferences.
Lastly, the Nike company is influenced by a wide range of external factors. Firstly, the demographics directly influence the company’s product range, such as clothing items for adults and children, men, and women, etc. Next, the company is subjected to the impact of cultural instructions on design preferences and advertising methods. For example, the company can advertise equipment for different sports depending on the popularity of that particular sport in the country. Furthermore, implementing new technological advancements in production, such as the invention of new types of fabrics or new sole technology for running shoes, can increase product demand, positively influencing the company’s revenue. Environmental safety also impacts the company’s production process in implementing sustainability programs and optimizing resources. Lastly, more favorable economic and political conditions in the country of operations can cause an increase in Nike’s sales. On the other hand, instability in the political and economic climate may serve as a reason for the company to leave the market in this country.
Reference
Brennan, L. (2018). How Netflix expanded to 190 countries in 7 years. Harvard Business Reviews. Web.
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