(Tiểu luận) business ethics report case 14 apple inc ’s ethicalsuccess and challenges

TRƯỜNG ĐẠI HỌC KINH TẾ QUỐC DÂN VIỆN ĐÀO TẠO TIÊN TIẾN, CHẤT LƯỢNG CAO & POHE _ _ BUSINESS ETHICS Report Case 14: Apple Inc.’s Ethical Success and Challenges Họ, tên sinh viên: Phan Phương Anh MSV: 11220575 Lớp : Quản trị Kinh doanh quốc tế CLC 64C GVHD: Nguyễn Bích Ngọc GĐ: A2-808 Hà Nội – 5/2023 I CASE SUMMARY: Introduction: Apple Inc., headquartered in Cupertino, California, has encountered numerous challenges throughout its business history The company's stock price surged from $3.30 to $705.07 between 1997 and 2012, reflecting its remarkable growth However, Apple's journey to becoming a major corporation was not without difficulties, including leadership changes and fierce competition Despite attempts by other companies to imitate and surpass Apple's products, the secret to its success remains elusive Apple has established itself as a brand synonymous with quality, status, and innovation, earning the loyalty of millions of consumers This reputation has enabled Apple to revolutionize both the technology and retail sectors on a global scale Apple’s History: Apple Inc., previously known as Apple Computer, Inc., is a global company engaged in the design, manufacture, and sale of consumer electronics, computer software, and digital media content distribution The company's primary product lines This is a preview Do you want full access? 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Log in include the iPhone smartphone, iPad tablet computer, and Macintosh personal computer Apple sells its products through online channels and operates a chain of retail stores called Apple Stores It was founded on April 1, 1976, by Steve Jobs, Steve Wozniak, and Ronald Wayne with the objective of promoting Wozniak's Apple I desktop computer The company was officially incorporated on January 3, 1977, in Cupertino, California Apple’s first product, the Apple I, was drastically different from the Apple products of today It was constructed by Apple cofounder Steve Wozniak Despite the lack of graphic user interface (GUI), and buyer had to add their own keyboard and display, Steve Jobs persuaded Wozniak that it could be marketed commercially Following the successful launch of Apple Computer Inc., co-founded by Jobs and Wozniak, the company achieved sales exceeding $1 million However, the mid-1980s proved to be challenging for Apple In 1983, they released the Apple Lisa, priced at $10,000, but it failed to gain traction in the market In 1985, internal conflicts led to Jobs being ousted from the company, and Apple faced further setbacks with underperforming products like the Mac I and the Newton Additionally, there were multiple changes in the CEO position These difficulties, coupled with declining stock prices, posed a significant threat to Apple's future In 1997, Steve Jobs returned to Apple to try and save the struggling company Jobs immediately began to change the company’s coroprate from “opened door” to “closed door” policy which was done to prevent employess from taking Apple’s ideas and technologies to another company Apple is still vigilant in securing its technology and ensuring that information remains proprietary Jobs also built a more flattened organizational structure; rather of addressing employees via layers of management, he addressed them directly However, one of the most visible shifts was Apple's growth into new product lines in the electronics business In 2001, Apple introduced the iPod, a portable music player that had a significant impact on the music industry Alongside the iPod, Apple launched iTunes, a software that allowed users to import songs from CDs to their Mac computers, organize their music collections, and manage them effectively In 2003, Apple expanded its offerings with the launch of the iTunes Store, an online platform where users could purchase and download millions of songs for $0.99 each This move reflected Apple's evolution from being solely a computer manufacturer to becoming a key player in the consumer electronics industry As a result, in 2007, the company changed its name from Apple Computer, Inc to Apple Inc., signifying its broader scope and influence in the market Apple began to take marker share away from its major competitors in the computer sector with the introduce of tablet computers such as the iPad which was made the sale of desktops, laptops, and netbooks began to decrease Analysts predict that tablet computers will continue to expand rapidly This is a preview Do you want full access? 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Log in Apple’s Corporate Culture: Apple’s transition from a computer to a consumer electronics company is due to Steve Jobs’ leadership abilities, highly skilled emplyees, and its strong coroprate culture Apple's culture places a strong emphasis on corporate evangelism, which includes both employees and loyal customers These evangelists play a crucial role in promoting Apple's products and creating a devoted following This phenomenon is particularly evident in the "Mac cult," where customers who are passionate about Apple's Mac computers actively advocate for the brand among their social circles Upon Steve Jobs' return to Apple, he introduced two significant cultural shifts: encouraging open discussions and establishing a shared vision that employees could rally behind These changes fostered a sense of loyalty and commitment among many individuals within Apple Apple takes pride in its own coroprate culture, providing applicants with challenges and benefits and motivating itself as a fast-paced, innovative, and collaborative environment Retaill employees that work well in its culture are also sought after, with stations where customers can test and experiment with the lastest Apple products To make sure its retailer employees feel motivated, Apple provides conprehensive training, higher pay, and opportunity to move up to manager, genius, or creative Apple also gives young people the chance to intern with the company or become student representatives at their institutions Furthermore, Apple provides incentives such as transit subdidies for employees who opt to use public transportation in order to lessen its environmental issues Apple's free buses run on bio-diesel These incentives cut employee gasoline expenditures while also decreasing pollutants emitted into the environment Apple Ethics: Apple has established a code of business conduct to promote appropriate behavior among its employees and business partners The code is based on four key principles: Honesty, Respect, Confidentiality, and Compliance, all of which contribute to maintaining integrity within the company Apple has implemented a Business Conduct Helpline to allow workers to report any misconduct, and these reports are reviewed by Apple's Audit and Finance Committee In order to ensure adherence to these standards, Apple requires all its suppliers to sign the "Supplier Code of Conduct" and conducts regular factory audits Apple also publishes an annual Apple Supplier Responsibility Report as evidence of its dedication to promoting responsible behavior among its suppliers Ethical Issues at Apple INC.: Despite the fact that Apple make an effort to improve the workplace, many ethical issues still existed which could have a significant effect on the company’s future success Apple’s sterling reputation could easily be damaged by serious misconduct or a failure to address risks appropriately, including: Privacy: - Consumer tracking has become a subject of controversy as advancements in technology have provided companies with increased capabilities to monitor and track customers With the prevalence of social networking, mobile devices, and internet usage, companies have greater access to consumer data It is important for businesses to prioritize customer privacy and demonstrate respect in order to avoid negative reactions from the public engaging in such collusion would be highly unethical Subsequently, in 2010, the U.S Department of Justice filed an antitrust lawsuit against the implicated companies, leading to the mandated dissolution of the alleged agreement Tim Cook, Apple's current CEO, emphasized that only Steve Jobs had knowledge of the agreement, and no other Apple employees were implicated in the matter Supply Chain Management Issues : - Apple takes measures to ensure supplier compliance by implementing a supplier code of conduct and conducting factory audits The company has trained a large number of workers on their rights and increased the number of audited suppliers External organizations are also involved in evaluating Apple's labor practices However, in recent years, Apple has faced significant supply chain issues that have raised concerns about its ethical standing - To meet the demand for its products, Apple relies heavily on production in Asia, particularly within Foxconn factories in China However, allegations of improper working conditions, underage labor, and worker mistreatment have been raised, including instances of suicide These accusations have tarnished Apple's reputation and led to criticism