Apple vs ABInBev - contrasting TNCs

Question 1

apple strategy

Answer 1

• FDI in China
• only sells 10 products - made with similar components
• only 200 suppliers for materials which sounds like a lot but its not compared to size of company
• covers all electronic needs
• often books out all cargo on aircraft so rivals can’t ship or have to pay more

Question 2

apple strategy benefits

Answer 2

• allows for devices to be sold for 65% more then cost
• lots of workers
• cheaper labour
• everything made in one place
• creates consumer market

Question 3

apple strategy weaknesses

Answer 3

• tried to form a new cluster in Brazil but faced 30% higher import tax and parts were still made in china but assembled in Brazil so waste of money and time
• higher import tax
• far away from customers

Question 4

ABInBev strategy

Answer 4

• largest brewer in the world
• Uses technology to track trucks and contents
• In 150 countries
• 500 beer brands

Question 5

ABInBev strategy benefits

Answer 5

• different brands = local relevance

Question 6

ABInBev strategy weaknesses

Answer 6

• not many people have heard of it