Apple: An Example Of A TNC Flashcards
Headquarters
Cupertino, Northern California
What year did Apple start business?
1976
What year did Apple take over MacIntosh organisation
1982
What is Apple’s Global brand value in 2017 according to Statistica
$234.6 billion
Number of full time employees in 2017
123,000
Apple is the ?th largest TNC in the world on the 2016 Fortune 500 list
9th
% of sales in USA in 2011
44%
Reasons for Apple’s Growth
- Slick marketing and branding
- Innovative products that are market leaders
- Well designed brands, mobile devices
- Extra products like applications, music and video
Location of the European HQ
Cork, Ireland
Where are Apple data centres
- Newark and Santa Clara in California
- The eastern seaboard at Maidan, North Carolina
Number of retail stores worldwide
499
How many countries have Apple retail stores?
22 countries and most are in North America, Europe and Asia
The location of production which has been outsourced
Foxconn, Shenzen
SEZ
Special Enterprise Zone
An area where the Chinese government initially allowed western companies to operate in China in the 1980s. Shenzen was the first SEZ.
Why was Apple attractive to Ireland
12.5% corporation tax which is the 2nd lowest in the EU
Child Labour
Children and students used for low cost labour under the same working conditions as adults.
Number of workers in Cork, Ireland
- 4,000 in the production line and call centre
- 2,500 indirectly
Positives of Apple in Cork
- Attracted more high tech companies
- Improvement on infrastructure
Corporate tax avoidance
Where companies use subsidiary firms in other countries to declare profits and pay a lower rate of tax which Apple has been accused of
When was Apple investigated by the US Senate & EU commission and what did they conclude?
- 2014
- Concluded that the Irish government gave Apple favourable treatment
Shenzen factory workers hours and pay (2006)
60 hours a week for $100 a month
How many workers were poisoned in Shenzen by toxic chemicals which was a major health and safety concern in 2010
50
Number of suicides in Shenzen plants due to poor working conditions
14
A criticism of Apple’s environmental credentials from Greenpeace
Reliance on non renewable electricity and lack of recyclability of products
