Contemporary Business - BUS 508
Assignment # 5
Outline: Tech stock companies
Apple vs. Samsung
March 14, 2013
Professor. Magies Sizer
Select two (2) tech stock companies that attempted to make profits from rising consumer demand after the crash. Analyze how they attempted to make a profit after the crash and discuss any unethical practices. Evaluate the change in consumer demand trends after the crash for each of the tech stock companies you researched. Provide examples with your evaluation and use graphics such as charts, when applicable. Discuss at least two (2) strategies that multinational corporations (MNCs) can undertake in order to make profit by leveraging the growing consumer demand.
Apple Company was founded by Steve Jobs and Steve Wozniak in April 1976 and turn to be a corporation in a year later. The Company designs, manufactures and markets mobile communication and media devices, personal computers, and portable digital music players, and sells a variety of related software, services, peripherals, networking solutions, and third-party digital content and applications. Fortune magazine named Apple the most admired company in the United States in 2008, and in the world from 2008 to 2012. As of November 2012, Apple maintains 394 retail stores in fourteen countries as well as the online Apple Store and iTunes Store. It is the second-largest publicly traded corporation in the world by market capitalization, with an estimated value of US$414 billion as of January 2013. Apple used to be in crash
Those who cite Apple's history as a reason for faith need to look back further than 2005 and start considering the dark decade after Jobs left the company for the first time. Back then Apple was looking for grown-up managers to help the company find its way in a post-Mac world. The board turned Apple over to John Sculley, a former PepsiCo exec with vast and impressive experience managing brands. Sculley ran the company like an MBA. Not coincidentally, he also nearly ran Apple out of business. Only when Jobs came back did Apple regain its mojo. Now Apple is once again being run by a fully capable operator and Sculley is the one heckling from the sidelines, but there's no Steve Jobs begging to get back in the game. (Macke, 2013)
Business Strategies to rise customer demand
* Launch new product- Innovation design
* Using social media such as Facebook
* Company continues to expand its platform for the discovery and delivery of third-party digital content and applications through the iTunes Store. As part of the iTunes Store, the Company’s App Store and iBookstore allow customers to discover and download applications and books through a Mac, iPhone, iPad and iPod touch * Expanding its distribution network to effectively reach more customers and provide them with a high-quality sales and post-sales support experience. * Using sale promotion such as providing a discount for student Apple and unethical practices
* Labor issue – the big issue about unethical practices that Apple involve is labor practice Foxconn Technology factory, where Apple manufactures many of their products, has repeatedly been criticized for ethics violations and socially irresponsible working conditions. Violations included in the report included: * Crowded dormitories where many workers were forced to live. * Workers forced to stand until their legs were swollen and they were unable to walk * Underage workers
* Improper waste removal.
* Wages of less than $17 to $22 a day.
* Multiple suicide attempts by workers, including a recent instance where 150 workers threatened to jump off a roof due to a work and pay dispute.
Apple itself acknowledges the violations. It conducted 229 audits of supplier factories in 2011 and found 93 violations of exceeding the 60-hour workweek limit and a...