APPLE CASE STUDY Flashcards
1
Q
What is a TNC
A
- Trans national corporations are companies that operate in at least two countries.
2
Q
Why do TNCs operate in more than one country
A
- To escape trade tariffs
- To find low lost locations for production
- To reach foreign markets
3
Q
Apple background
A
- Tech corporation
- Second largest IT company by revenue
- Number 1 global brand by value
- 98,000 employees
- 16 countries and 450 retail stores
4
Q
Spatial organisation of Apple
A
- Products are deisgned in silicon vallye california.
- Made and manafactured in China through Taiwan based company Foxconn.
- Most apple employees are based in the developed world.
5
Q
Apple - production
A
Apples mainstream products are produced in China
- A large number of highly skilled, har working but low paid jobs.
- Low costs
- 400,000 workers in foxconn city
6
Q
Imapcts on the Ireland
A
- Apples european HQ is based here.
- Based on the north side of Cork.
- Provides 4,000 workers directly on its imac production line.
- Precense in Cork has generated 2,500 more jobs as part of the supply chain.
- Attracted other high tech firms to the areas.
BUT
- Accused of not creating sufficient work for locals, as many workers here are foreign nationals.
7
Q
Imapcts on China
A
- Working conditions, in 2006 it was reported that 200,000 workers who lived in shenzen factory were working 60 hours a week for 100 dollars a month.
- Health and safety, in 2010 50 workers in a subcontracted foxconn manafacturer were posined by a toxic chemcial used to clean ipad screens.
- Student and child labour, workers under the age of 18 are subjected to the same conditions as adults.
- Suicides, 2009-10 suicides damaged the reputation of apple, by the end of 2010 14 suicideds have occured
8
Q
Impact on the enviroment
A
- Reliance on non-renewables to supplu electrcity to its data centers
- Use of toxic chemicals
- Local factories in china were discharging pollutants and toxic metals into local water supplies and thretening public health.