APPLE INC. Harvard Case Solution & Analysis

OVERVIEW:

The case study is about the health and safety issues and the overseasoperations of the American giant production house Apple. The study elaborates how the giant power houses and organizations like Appleexploit the poor and under developing economies and currencies in the global markets to pursue and assist their production operations.

Apple is the most dominant electronic appliance manufacturer in today’s world. Its performance and financial position is sound and better than any company globally.

The company manufactures products like iPhone, iPad, MAC and iPod. The company has established its supply chain facility in china where some parts of its products are also procured. These facilities are run by Catcher Technology Co. The company has hired tens and thousands of employees and laborswhowork in these facilities.

The population of the area is pretty backward and their living standard is not better as compared to the domestic population of the country in which the company originates from. It is due to this reason that the population is exploited and they are willing to work for a much lesser salary and this is one of the most critical factors as to why these production operations are being pursued in a foreign country by the company.

The Chinese labor watch studied one of the facilities of the company that is based in Suqian, China. The facility was used to procure parts and accessories for the company. The Chinese labor watch found that the company lacks health and safety procedures and precautions.

The doors that were meant to be used for emergency exit were locked. Harmful and hazardous chemicals were lying in the open, the employees and staff were made to work overtime without getting and premium pay and they lacked the basic and necessary equipment to work in such a place.

BUSINESS CONCEPTS:

Apple is one of the most established and developing brands of the electronics industry in the world today. The sales and demand of its products have risen immensely during the period and so have the production and operations of the company. Many global companies who are the constituency of the developed countries of the world have moved to the under developing markets and countries. Including Apple, this move is based on several advantages and benefits that a company gets by adopting this strategy. It enables these organizations to reduce operating costs such as labor and resources as the business expands with the growing demands of the market.

MONETRY POLICY:

The monetary policy of any company can be defined as the policy through which a person of authority exercises his control to keep a check and balance on the financial resources of the company. The financial flow of cash of any organization, whether inflow or outflow has always been interlinked to its activities.

Therefore,it is necessary for these organizations that operate on a large scale globally to keep an effective control over it. Moreover, itis necessary to maximize the revenues and most importantly the operating margins of any organization. The management of these organizations is always on the lookout for maximizing the profits and margins. It is the prime reason for which any business operates.

The maximization of the operating margins can be achieved by a two way strategy and the companies can prefer and exercise any one of it that suits them. The first alternative for an organization can be to increase the price of its product in the market.

This is a very risky alternative in the global alternatives today as the economies of several markets of the world are falling constantly and by increasing the price of the products of the company, the business might self-detonate itself. It might be counter-productive and the revenues of the company are in risk to take a hit as due to the falling economies the product might get out the of buying power of costumers.............

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