This shows in the past in China, Apple employers mistreated their employees by using children to work for them in their factories such as cleaners and many other crucial roles. However, this has been solved in the past years when Apple has acted and changed the warehouse and factories system where all employees had freedom and were paid on time. Although Apple stopped the child exploitation as this could have ruined their reputation in the market forever. I am going to describe two different political factors and how they affect Apple in UK and in China. The political factors which I would be explaining are Tax policy and Internet. Political Environmental Factors Apple Stakeholders Tax policy Apple can be influenced by this specific political factor in UK and in China, because this business pays more tax in one country which is China and slightly less in the other country which is UK. This shows if the levels of tax increase or decreases then this business would still be making less profit because Apple generates around $70,000 in profit every 60 seconds which shows that Apple pays 21% in UK and in China it pays 25% tax where it loses out most of the profits by paying different taxes also Apple is the largest taxpayer in the world where it has paid over $20billion in the past few years. Government would be behind the decision of increasing or decreasing the rate of tax because they would aim to develop the economy by increasing the rate of tax. If the rate increases then
Industrial child labor was first developed when different forms of government were being created to help run the countries more efficient and make the most money. These new types of government made it so factories were booming and more and more worker were needed, until the factories soon turned to child labor, which was a con of this new way of running things but might have been the best way to do things in this time of desperate need. Germany’s child workers in the industrial revolution were very similar to Britain 's in the way of how they treated their workers and the harsh/abusive working conditions. They were also very different in the way that Germany had not as packed factories and were paid more for their work, even though the pay wasnt much more than England 's (Approximately 1 shilling more), they still paid them more contrary to Britain 's system of pay. This source is reliable because the information found was similar to other sources written by authors who have published this information before.
Child labor is something people in the United States might think of as awful, but for families in countries like China it is a way of life. Name brand companies, for example Nike, have their products made overseas often using children to do the work. The use of child labor in other countries for Nike brings up the debate on whether or not the United States should buy products that have been produced by children. The United States should not buy products manufactured with the use of child labor because of the unfair wages they get paid and bad working conditions. Some may argue that by putting children to work it is lowering the unemployment rates in countries, the morals of buying products produced by young teenagers is just flat out wrong.
This is much more than some countries around the world. This means that Apple can afford
2014). This group of customers will have an even harder time buying luxury goods when they have to pay more tax. Due to their price sensitivity they will be likely to not buy the good anymore after an increase in price. An example to illustrate this situation can be a person buying a wedding ring once in his life or going on a relaxing holiday. While before the luxury tax he might have been able to go on a luxury holiday every 10 years, he might now decide to not go anymore at all.
Some say they stand so long that their legs swell until they can hardly walk. Under-age workers have helped build Apple’s products, and the company’s suppliers have improperly disposed of hazardous waste and falsified records” (Duhigg & Barboza, para. 8). Through outsourcing, Apple’s suppliers have commonly disregarded the health and safety of workers in their factories. “137 workers at an Apple supplier in eastern China were injured after they were ordered to use a poisonous chemical to clean iPhone screens.
Apple states in their Form K-10 Report (2017, p.1) they are “committed to bringing the best user experience to its customers through innovative hardware, software and services.” In an Industry where profit margins are low, technologies are constantly evolving and competition is high it is essential that Apple continues to offer innovative and simple products that increases customer experience (Heracleous, 2013) so to maintain a competitive advantage. A variety of tools have been used to evaluate Apple’s external and internal environment, including the PESTEL (Appendix 1), Porter’s Five Forces Analysis (Appendix 2), SWOT (Appendix 3). It is envisaged that the information derived from these tools and the associated analysis will support Apple’s CEO to make strategic decisions that addresses the challenges ahead in the short term, ensuring Apple can be competitive in the long term (Rothaermal, 2017).
Weaknesses It is easy to produce different pricing levels and marketing methods for different regions. This is the result of the lack of Coordinating and communicating, cause the conflict of interests between each branch and the whole company. Apple’s Leadership
In my essay I will talk about different business strategies which companies can adopt in case of responding to issues of globalization. First of all I would like to define all the terms that will appear in my essay. Globalization is the global evolution toward economic, financial, trade, and communications integration which implies the opening of regional and nationalistic perspectives to a wide attitude of an interconnected and interdependent world with free transfer of capital, goods, and services across domestic frontiers. Growth strategy is a strategy aimed at winning greater market share, even at the expense of short-term profit. If we consider globalization process according to SWOT analysis, we will obtain its strengths, weaknesses,
In this way, the sale of products in world-wide market will increase. • Increased labor costs in China could take away the cost advantage of some Apple products. • Decaying middle-class incomes in some developed countries, including the United States, could shrink the potential market for higher-end consumer goods such as those marketed by Apple. • A strong U.S. dollar could increase exchange rates, making it more expensive for Apple to do business in key markets like Europe and
ACHIEVING GLOBAL COMPETITIVE ADVANTAGE OF APPLE INC. Apple Inc. is an American conglomerate company located in one immeasurable loop, Cupertino, California in the middle of the Silicon Valley. (OPPapers, 2012). Apple is motivated on their designing, developing, innovating new products like the personal computers, other related software products, and the electronic products such as MP3 players and iPods. Apple Inc.’s main products are iMac, iPod, iPhone, iPads and its latest advanced product is iWatch, which is on the edge of creating another revolution after iPhone. Apple Inc. has transformed its image from an inventive computer manufacturer to a fully-fledged consumer 's electronic company.
Not only was it abusive, but also illegal. This resulted in 13 workers attempting to commit suicide. For Foxconn to kill its competitors, product parts were sold at “zero-profit” to one of its main customers, Apple. This was a tactic for Foxconn to get hold of Apple’s other lucrative contracts and gain a larger market share in the industry (Pun, 2010). Foxconn was responding to expectations of shareholders at the expense of other constituencies, in this aspect, the migrant workers.
Further, the growth of the world’s economy was also very slow in 2012 and was expected to be same in 2013-14 as obvious. Apple has been affected by a crisis such as the change in American regional sales for the current year was 9% in 2012-13 compared to 50% of 2011-12, in Europe, 4% in comparison to 31% and in greater China 13% in comparison to 78% (Apple INC, 2012). The unemployment rate in U.S was 7.9 during 2012- 13, 4.1 in China and 4.6 in Japan, was one of the significant causes of the downturn in sales growth (Trading Economics, n.d). Euro crisis, U.S fiscal problems and hard landing of large developing countries will likely continue in the coming couple of years leading Apple to more toughen economic situations (IMF, 2013). Moreover, stringing dollars had also source of problem for Apple product prices, transportation cost and profit margins (Apple INC, 2012).
21.4% of children are involved in child labor, with more than half working under hazardous conditions, such as the children working seventy six hour weeks under the Disney corporation. The international labor organization defines child labor as “work that deprives children of their childhood, their potential and their dignity, and that is harmful to physical and mental development.” The implementation of child labor has several negative consequences, such as a detrimental economic effect and the question as to whether its application is moral. Child labor has both a negative effect on the economic standing of a family, and that of a nation. Corporations like Disney promote the exploitation of children for labor; therefore, companies
Introduction In this marketing assignment, we choose Apple as the company to analyze the marketing environment that affect the Apple Company’s ability to serve its consumer market and the major factors that influence consumer buyer behaviour. Apple became a computer company started in 1976. In the last decade, Apple had broaden into a complicated and intricate company.
Ethical Issues in Child Labor What is Child Labor? Child labor is work that children should not be doing, work that may harm their health and keeps them without education. While working children have no time for attending schools and get education that is the most important thing for their future life and success.