TNC - Apple

Spatial organisation:

* HQs
* Shop location
* Sales HQs

* Silicone valley, California
* Most shops located in developed countries, Western Europe, USA and SE Asia.
* Sales headquarters in Cork, Ireland. (employs 4000)

Facts (3)

* Employs over 1 mill
* 2014, sold 75 mill iPhones
* Creates annual profits of over £90bill

Where is the manufacturing happening?

Manufacturing is completed mainly in developing countries such as China (Foxconn and Pegatron), with no Apple hardware being made in the USA.

Why is this the case (5)?

* lower wages
* cheaper land
* direct access to global markets
* Trade restrictions can be easily avoided.
* Shezen, China most successful Special Economic Zone.

What is apples marketing strategies (2)?

* Follows philosophy of simplicity, they don’t overwhelm their targeted customers with too many choices.
* Developing strong brand recognition and increasing the comapny’s market share in overseas markets.

Consumption patterns (4)

* 66% female 34% male
* Brand popular with millennials followed by Gen X
* 40.4% of smartphone users use apple products
* in 2020-21 caused android’s share to decrease to 52.9%

Impacts in countries in operates in (5)

* 14 people died in 2010 after committing suicide, due to the conditions they were forced to work in. As a result, Foxconn installed nets to prevent people throwing themselves.
* Foxconn using children
* Wages of $100 a month
* 2010 50 workers poisoned by chemicals used in iPads.
* Highly skilled workers work in EU.