Apple 's Strategic Approach For Globalization Essay

Apple products are designed in California USA and manufactured in different foreign countries such as China, Taiwan, Korea, Mongolia, and Europe which produce part of the devices, most of the raw material ‘Earth Minerals’ to produce these items can be found in China. Since technology has a lot of benefits in human’s life, the demand has been increase year by year which make business to expand and hiring more people in the company. From 2005 to 2015 the number of full-time employee’s has been increase more than 80 thousands.

Apple is a global company represented in many parts of the world, but born in the United States by computer wizards by the names of Steve Jobs and Steve Wozniak who founded the company back in 1976 (Capon, 2008). The organization deals with the design and sale of computer hardware, software and offers tech support to its customers. Examples of the hardware the company manufactures and sells include mobile phones, personal computers, iPads, tablets and iTunes with associated brands, like the MacBook and iPhones that represent Apple’s driving force towards its success. It is recognized as a brand leader in consumer electronics by the world in terms of quality and customer satisfaction and despite the wide product range, Apple manages each product in a distinct way that is a single business unit (Mittan, 2010).

Apple Inc. commonly known as Apple has effectively managed to be a successful company in a very competitive consumer electronics industry by been innovative and differentiating the company’s products with similar products in the markets by offering high quality products and good customer service while the actual manufacturing of the products is outsourced to trusted third party suppliers. On a wider perspective, the company has set high standards that even the company itself has to be on its level best to maintain the standards that it has set. Over the last few years, the consumer electronics market has

Apple Inc is an American multinational organization located in the middle of the Silicon Valley, California. It is focused on designing and developing the personal computers, related software products, and electronic products such as MP3 players and iPods. Apple Inc’s main products are iMac, iPod, iPhone and iPad. Apple Inc was founded in 1976 by Steve Jobs, Steve Wozniak and Ronald Wayne. Steve Jobs resigned as the Chief Executive Officer (CEO) of Apple and was replaced by Tim Cook who was the Chief Operating Officer (COO) before he was named CEO. Apple has approximately 92,600 full-time equivalent employees and an additional 4,400 full-time equivalent temporary employees and contractors.

Globalization has also had a significant impact on Apple's supply chain. The company earns high profits because it is able to produce its products at a low price and then sell them at a high price (Chakrabotty, 2012). In addition, the company has noted that it assembles its products in China because all of the components are made there this in addition to the low cost of assembly labor. Apple facilitates this by working with logistics suppliers like FedEx who can quickly move finished goods around the world via a number of hubs. All of Apple's products, for example, arrived in the United States in Oakland, California and from there make their way to the customer.

The industry that I chose to write about is Apple, I chose this company because I am most familiar with it being that I have an iPhone and we also brought an iPad for my son so you can pretty much say that we have been in the apple family since they have hit the market. Apple is continues to improve their products each year to be able to keep up with everything that is going on in the world and also to be able to compete with their competitors. Each year they upgrade new ideas to their products, sometimes it’s hard to keep up with the many products that they have.

The world economy demands individuals drive innovation. Apple, has nearly 750,000 employees with only 43,000 of them being a part of the American workforce (Robbins & Judge, 2013). Apple discovered that employing skilled workers outside the United States to assemble product hardware would position the company to better meet product demand. Global expansion equips Apple with the ability to meet demand, guarantee its customers a quality and reliable product, which in return generates billions of dollars in revenues annually.

Mr. Jobs responded with“Those jobs aren’t coming back.” He said that because 700,000 people engineer and build and assemble apple parts, in addition to the 43,00 people apple employs in the United States and the 20,000 they employ overseas. Nearly none of those 700,000 people live in the United states, they work in other countries. Some part of the iPhone are American. The software for the iPhone, for instance, and its marketing campaigns were created in the United States. Apple recently built a $500 million data center in North Carolina.“Also another advantage for Apple was that China provided engineers at an extent the United States could not reach. Apple’s executives had estimated that about 8,700 industrial engineers were needed to oversee and guide the 200,000 assembly-line workers eventually involved in manufacturing iPhones. The company’s analysts had forecast it would take as long as nine months to find that many qualified engineers in the United States.”

The global economy at present is such that there is huge interdependence on economies. Both large and small economies are heavily relying on each other. Unlike in the past where business and society appeared to exist independently, there now appears to be a heavy integration between the two. As a result, when one is affected, there is a ripple effect on the other. For instance, the stability of any society will have a direct impact on the performance of business. This discussion has focused on the increasingly complex relationship between business and society as seen through the lens of the Apple Inc.

In 2012, President Obama asked Apple CEO, Steve Jobs, “ Why Don't we make iPhones here in America”? It is inferred that Obama was asking Steve Jobs this question because he , Obama, would like these jobs to come to America. Steve Jobs responded to the President by saying “ Those are not coming back [ to America]. After some research, it is very apparent as to why Apple Produces their iPhones in China rather than producing them in America, which can be seen by looking at opportunity costs of moving to America and labor productivity.

This research paper entails an in-depth analysis of the multinational enterprise, Apple Inc. The goal is to illustrate how this company functions as a whole and how it is a leader in the technology industry. The research has been done by exploring the firm’s products, competitive position in the market, financial performance and foreign operations. A financial sample has been included to paint a picture of the company’s good standing in the year 2013. After examining these core factors, it is clear the Apple Inc. is a successful multinational company that has set a standard for the future of technology through its products. The company’s culture and modern marketing techniques highlight the importance of the strong foundation the company is built of. This research will provide important information that shows the company’s strategy that has numerously proven its succession. Apple Inc. is in good standing presently and forecasted to do the same in the years to come and mark a legacy for the modern era.

Political factors such as geopolitical uncertainties, wars, legislations, authority to work and health laws can potentially impact Apple’s production. Apple has outsourced the production of its components to different countries

Apple Inc. is a company which designs, manufactures and sells PCs, digital music players, smartphones and other related products. The company was established in 1977 in California, US (Apple, 2014). According to Apple’s global supply network structure, the raw materials are mainly from US, Europe, China and other Asian countries. Next, all these materials will be sent to an assembly centre in China. After that, there will be two moving directions of these products. One way is to direct deliver products to customers who have already ordered products online through UPS or FedEx; the other rest products will be arranged in Apple’s warehouse in California. Once Apple stores and other retailers need

There are many problems which cannot be controllable by the company such as; geopolitical uncertainties, war against terrorism, authority to work and health issues which can affect the sale of Apple’s product worldwide. As to reduce operating cost Apple has outsourced in different countries like Ireland, China, Korea, Czech Republic and Cork. If these countries face any political instability or any problem which causes to delay in manufacturing operations, will led to spoil the Apple likeness in theeye of consumers and its dealers (CNetnews 2012).

The subject that we are going to talk about covers one of the most problematic issues of the 21st century, which is : how do giant companies, such as Apple, produce their products in underdeveloped countries such as China, where the labour cost is very cheap and easy to manipulate ?