Lisa Jackson, Apple's VP of Environment Initiatives, should not be pleased that Apple's policies result in wasting materials. She should clean up this wasteful practice (assuming the report is accurate and current).
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Profit Margin Tensions Souring Relationship Between Apple and Foxconn
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Yep.
Inside Foxconn’s empty buildings, empty factories, and empty promises in Wisconsin
The two-year charade that upended people’s lives
www.theverge.com
Really? So Foxconn didn't willingly enter into contracts with Apple to assemble Apple products for X dollars and also to adhere to certain policies? Can you please reference where and when Apple forced Foxconn to sign single digit profit margin contracts? If Foxconn bid too low it isn't Apple's fault!
Foxconn has other customers then Apple, maybe they should lean on them who they are
Probably make cheap products for with little profit to gain....
Probably make cheap products for with little profit to gain....
If the iPhone's price is artificially low due to unfair trade and labor practices who do you think will end up getting screwed in the long run? Apple is one of the few, if not the only tech company that can right this ship.Yeah, that would solve everything
You think the iPhone is expensive now ...
Nice try, They include the cables. You might have meant charging bricks which everyone already owns tons of, and you can get on power strips, outlets, PCs, etc. btw: Samsmug is going to do the same thing next year
"While Apple's gross profit margins are close to 40 percent, Foxconn's profit margins are in the single-digit percentage points, leading Foxconn to employ questionable tactics in an effort to grow its profits."
Maybe we should consider Apple's gross profit margins are close to 40 percent because they employ questionable American business practices. Foxconn employs questionable tactics too, but this article seems to miss the elephant in the room. Maybe American greed can be as (or more) destructive than other countries' efforts to compete in a world economy dominated by American capitalism, but you know: 'Merica rules! Apple rules! O'Doyle rules!
Maybe we should consider Apple's gross profit margins are close to 40 percent because they employ questionable American business practices. Foxconn employs questionable tactics too, but this article seems to miss the elephant in the room. Maybe American greed can be as (or more) destructive than other countries' efforts to compete in a world economy dominated by American capitalism, but you know: 'Merica rules! Apple rules! O'Doyle rules!
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Just imagine if one of these well-off companies had the brass to move production to the U.S.
I know, its a huge logistical nightmare, but if any company has the money and ability to do it, its Apple.
I know, its a huge logistical nightmare, but if any company has the money and ability to do it, its Apple.
No they can't. They have investors to answer to. I could see a nice haircut of their stock price if they decide to move manufacturing to US and lower their profit margins. Actually it wouldn't be a haircut, it would be decapitation.
It sounds to me Apple should give Foxconn a dollar or two more by device and make sure they are doing a good job instead of trying to squeeze it's most important supplier. To much greed on Cook's part.
At the end of the day, it's we the consumers who will be paying for it.
Then they will be selling their iphone mini at 2k for the 32GB
Home? Home where?
Where does that manufacturing infrastructure and labor pool exist in the US? In China that infrastructure was subsidized and developed by the Chinese government investing many billions of $ over many years. As aside, Apple manufactures on the average roughly 200,000 iPhones per day, every day, with that being able to instantly ramp up for new product releases and Christmas holidays.
Maybe Apple will be able to get rid of Foxconn, and bring assembly home to the states.
Just like they did with eliminating the power supplies from boxes, touting the environmental benefits. Sorry, Apple, we see the action for what it is, increased bottom line while virtue signaling.
But then Apple really isn't alone in that category, but may be the most visible due to their market capitalization.
For all the haters who haven’t studied business - a brief lesson. Foxconn and Apple are in different lines of business with implicitly different profit margins. Foxconn assembles, packages ant tests devices - a low margin business. Apple invents, designs, develops, markets, etc, etc finished products. The gross margin is simply that portion of the revenue of the finished product over the manufacture cost. It does not include design, engineering, R&D, marketing (you get the idea). Gross margins must be high enough to cover these costs
if Foxconn wants higher margins ( not btw, the same as return on investment - a more useful measure) maybe it should develop the fphone , or fox phone and enter that line of business. But, they would not necessarily garner more profit for the investment required
if Foxconn wants higher margins ( not btw, the same as return on investment - a more useful measure) maybe it should develop the fphone , or fox phone and enter that line of business. But, they would not necessarily garner more profit for the investment required
Lol, won’t you be laughing when samsmug and others do the same thing next year
Hence why I mentioned the "logistical nightmare".
Obviously, its not going to easy. But if there's a company that has the staff, money and infrastructure to attempt it, its Apple.
That would make sense. Undoubtedly quality is being affected by this to some extent, so it would make good business sense to keep Foxconn happy.
Anyone interested in the myriad of issues facing any company who chooses to produce their wares in China, should read "Poorly Made in China" by Paul Midler. It really opened my eyes and still refer back to it periodically when considering buying something originating from there.
Much of what the Macrumors article said echoes what's mentioned in the book and seems to be the standard in China. It's truly horrifying what goes on behind the scenes there.
Much of what the Macrumors article said echoes what's mentioned in the book and seems to be the standard in China. It's truly horrifying what goes on behind the scenes there.