tnc and food comoddity Flashcards
apple spatial organisation (11)
- Headquarters: Cupertino, California
- Shops: developed countries in Western Europe, USA and recently China
Employees: 18,000 people directly
1 million involved in making, supplying and selling products
2014: apple sold 74.5 million iPhone
£11.8 billion in quarterly profits
Net cash reserves being £93 billion
Fluid, user friendly detailed websites allow them to reach countries across the planet
- Apples European HQ in Cork, Ireland employs 4,000 workers on its Mac production line and call centres
Its indicated that apples presence generated a further 2,500 jobs through its supply chain and in ancillary work
Apple has faced criticism that they are not providing enough work for local people
60% of the workers in cork are Irish but the majority work in manufacturing
- Many of the high skilled workers are foreign nationals form the EU
apple production
Foxconn, Shenzhen: manufactures for many companies
Over 50% of all electronics in the world
Manufacturing: mainly in developing countries (China, Foxconn an Pegatron companies)
No apple hardware is made in the USA
Due to:
Lower wages
Land is cheaper: cheaper to set up factories, factories ca be subcontracted not built
Direct access to global markets
Trade restrictions can be easily avoided
apple production critique
Criticisms:
Factory conditions have been questioned
14 people committed suicide in 2010 due to working condition
Apple published promises to make changes
Foxconn installed nets to prevent people throwing themselves of high points in the factory
Some employees reported working 36 hours without break- 60 hour weeks- against apple guidelines- $100 monthly wages
Some workers sued apple after they were reportedly poisoned by the chemicals used to clean LCD screens
apple likages
horizontal: software and services:
app store, itunses, ibooks, apple maps, icloud
vertical: creation of own M1 and M2 processor
split with intel after 15 years
-partneship with foxconn and pegatron factories
apple trading patterns (7)
38million iPhone sold in the last 3 months of 2011
Apple generated $365 billion in revenues in 2021
- $153.3 billion in the Americas
- $89.3 billion in Europe
- $68.36 billion in greater China
- $28.48 billion in Japan
- $26.35 billion in the rest of Asia Pacific
apple marketing patterns (5)
-website available for countries in every inhabited continent
- only country in south Asia with personalised website is India
- 36/54 African countries
- only 16 Asian countries(15 in Asia specific
- 48/50 European countries
- IOS App Store, now in 175 countries and regions
apple pegatron invesitgaiton
Deijan Zeng: Pegatron factories
6 week undercover project
Puts screw fastening speaker to phone
Start at 7:30, 12 hours spent in factory
Break once a week-Sunday
Card and face recognition entrance- metal detector: iPhone 6s
iPhone 7 another metal detector
$450 per month
Caged windows and e=nets
Employes live in dorms
8 per room and 1 toilet per floor
Restaurants and leisure facilities
Majority male workers 18-30
Leave campus on weekends typically- Sunday
No smoking or drinking in dorm
Cant enter dorm drunk
High turnover rate- 2 weeks to a month
Workers have a good relationship with each other
Typically poor relationship with managers
People sleeping on shifts
Apple factories in China- Pegatron:
In China all citizens have an ID card- this was taken from employees
The answers to the health and safety test where chanted out
Option to choose night shift or work standing but applicants were told to accept both options
Apple says they have seen no evidence of this and do a lot to prevent abuse of migrant workers
Overtime is built into shifts
Pegatron claims to be investigating BBC claims
Apple says “no other company is doing as much to ensure fair and safe working conditions
apple positive impact
Attracted a high skilled work force
Inspired local education, research and development
Apple has contributed to infrastructural improvements in the city
With other companies locating to Ireland they contributed to the Celtic Tiger economy of the 1990s and early 2000s
coke info (12)
Formula of coke concentrate is a heavily guarded secret
4.5 million bottles packaged per day at Louisiana factory
Rated by Interbrand as one of the most successful brands
Headquarters in Atlanta
Coca Cola was introduced on May 8, 1886,135 years ago in Atlanta Georgia where there current headquarters are also located
The company operates in more than 200 countries
In 2019 Coca Cola employed 86,200 people globally
In 2020 the company’s net worldwide operating revenues were 33.01 billion USD
Coco Cola uses glocalization in order to best advertise across different locations
1886: pharmacist Dr John Pemberton created drink in Atlanta, Georgia
Made by missing carbonated water and flavoured syrup
Frank Robinson (Dr Pemberton’s partner) is credited with naming the drink
coke marketing (5)
The one brand strategy focuses on representing all different forms of coca cola together under one name.
This was done by including them all in the same adverts and showing consumers the variety available under the coke company instead of releasing separate adverts for each.
The aim of the 10 tv ads was to show the special moments people can enjoy whilst sharing coca cola in all its forms with others. It was shown globally allowing consumers to relate to the experiences of consumers in other countries
GIFs and social media were used to allow consumers to engage with the campaign by sharing their own experiences
Coca cola is attempting to relate the drink with special moments to entice people to buy it during these times
coke trading (6)
Sold in nearly every country except north Korea and Cuba
2021:38 billion in revenue
34% of the company revenue was generated in North America
17% of revenue generated in Europe, Middle East and Africa
12% in Asia Pacific
10% in Latin America
coke: social impacts of extraction(7)
Involves hazardous child labour
Received serious criticism because of hazardous child labour use on sugarcane plantations in El Salvador (child labour 2004)
Child labour is not allowed in coca colas own factories but they purchase sugar grown on plantations that do
Human rights watch claims children age 87 work with dangerous machetes in the sun for 9 hours a day
Medical care is rarely available for children on plantations and employers do not reimburse the cost
Human activists are encouraging companies like coca cola to take responsibility and spread awareness to help the cause
Coca cola says their guiding principles forbid the use of child labour with direct supplies but they cannot ensure the use of child labour by secondary suppliers
coke: environmental impacts of manufactoring (6)
Focused on reducing greenhouse gas emission from manufacturing operations by 5% by 2015
Part of the Climate Savers Program
Aims to work with large international corporations to develop environmentally friendly manufacturing processes
Small scale: began fixing leaks, insulating pipes, reducing pressure and optimising temperatures to reduce energy wate
Investments in energy efficient lighting, compressor optimisation, heat recovery, combined heat and power and renewable energy
Avoided over $600 million in energy costs since 2004
coke: social impacts of consumption (7)
Negative health
Average person drinks about 403 coke products per year
Coca cola is such a popular beverage because of its high sugar content
Many news networks blame the company for the country’s obesity problem
New ad campaign:
coca cola names obesity the issue of this generation
All calories count, no matter where they come from
Coca cola has added the calorie counts to the front of bottles and cans making it easier for consumers to make more informed decisions
coke : environmental impact of disposal
Efforts to reduce waste and inspire communities to recycle.
2005: launched the first bottle to fibre recycling operations
Volumes of bottles that are recycled through programs have grown from 135 tons in 2005 to 6,200 tons in 2012