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Apple Outsourcing
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Statistics
China exports 17% of its goods to the U.S. This makes their economy very reliant on our outsourcing.
People in China make an average of $9,100 per year. People in the U.S. make an average of $49,800 a year. This shows that many people in China are being payed very little for work.
Living and owning factories in China costs roughly half of what it costs in the United States.
Chinese workers make about one tenth of what American workers make per hour. This attracts companies because they are spending less money to pay Chinese workers than they would pay American workers.
Disadvantages to outsourcing
1. Loss of Managerial Control
2. Hidden Costs
3. Threat to Security and Confidentially
4. Quality problems
5. Tied to the financial well-being of another company
6. Bad publicity
7. Less jobs in America
What is Outsourcing?
-Outsourcing is obtaining goods/services from an outside supplier
Companies having laborers work somewhere for less.
Examples:
1. Tech support in India
2. A mechanic sending your car to the manufacturer to repair a specific part
Advantages of Outsourcing
Outsourcing can allow for better quality products because it allows specialized experts to produce and assemble the products.
Apple and Outsourcing
By: Kyle Maw, Danny Elias, Gage Andresky, Cameron Volz
Apple's Outsourcing
Apple outsources to build their product for less money. IPhones, IPods, Mac computers, and other electronics are assembled in other countries. Apple has employed 20,000 people overseas in the past year.
Where Apple Products Are Made
Apple products such as IPhones and IPods are made in Taiwann, China, Singapore, Thailand, Malysia, South Korea, Phillapeans, and the Czeck Repubplic
Current Event/Stats
How Apple Outsourcing is related to economics
The USA's economy is heavily rooted in China and other Asian countries. Everyone wants to buy things for less. Therefore, our products are made in many Asian countries. This is causing a loss of jobs in America. People become jobless and they become desperate for money. Apple is a very large company, which could potentially employ thousands of Americans, if Apple products were made in the USA.
-Apple designs their products in the USA
- Those jobs are very few. Almost all of their jobs are
overseas.
-Apple claims that they employed 43,000 Americans.
-Over 700,000 people work for Apple contractors in
Europe and Asia.