Asignment report business ethnicscase 14 apple inc ’s ethical success and challenges

Steve Wozniak created the original prototype for the Apple I computer—the first computer to resemble the computer we know today—a model with a large monitor and a keyboard.. Many people

BỘ GIÁO DỤC VÀ ĐÀO TẠO TRƯỜNG ĐẠI HỌC KINH TẾ QUỐC DÂN

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ASIGNMENT REPORT: BUSINESS ETHNICS

CASE 14: APPLE INC.’S ETHICAL SUCCESS AND CHALLENGES

Ha Noi – December 2022

Student Name : Le Nam Khanh

Table Of Contents

I Introduction 3

II Apple’s history 4

III Apple’s corporate culture 6

IV Apple’s ethics 9

V Ethical issues at Apple INC 10

VI The future of Apple 15

VII Answering case’s questions 16

Apple is one of the best-known tech companies of all time, one of the Big Five of tech, and for good reason From the latest iPhone to the original Apple computer, the company has been an ingenious innovator

of consumer technologies since its first days out of a home garage Founders Steve Jobs and Steve Wozniak met through a mutual friend Itturned out to be a fated meeting that would change the path of modern technology forever Steve Wozniak created the original prototype for the Apple I computer—the first computer to resemble the computer we know today—a model with a large monitor and a keyboard Jobs saw the prototype and quickly realized its potential Together, the two founded Apple Computers Inc on April 1, 1976

When Apple first began out, the corporation faced several challenges Before becoming successful, they went to a number of CEOs and unsuccessful products But nowadays, Apple distributes its products not only directly through its 510 stores across the world but also through carriers and other third parties Through worldwide direct and indirect distribution channels, Apple is able to produce enormous volumes of sales For the past four year, Apple has won the title of World’s Most Admired Company, according to Fortune magazine For many customers, the Apple brand stands for excellence, distinction and innovation The brand is the most valuable brand in the world with a value of about $153 billion

Numerous businesses have attempted to outdo Apple with their products, but none of them have been successful or figured out what makes Apple so distinctive Many people think that Apple's success is the result of a number of factors, including the extraordinary leadership abilities of CEO Steve Jobs, a corporate culture that values enthusiasm and creativity, and the company's well-known high-tech goods Apple has revolutionized both the technological and retail sectors thanks to these merging features

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II APPLE’S HISTORY

Apple Computers, Inc was founded on April 1, 1976, by college dropouts Steve Jobs and Steve Wozniak, who brought to the new company a vision of changing the way people viewed computers.Computers needed to be made small enough for people to use them in their homes or workplaces, according to Jobs and Wozniak Simply put,they desired a friendly computer for user In 1976, when the company where Wozniak was an engineering intern, expressed no interest in his microcomputer design, Wozniak, then 26 years old, together with a former high-school classmate, 21-year-old Steve Jobs, moved

production operations to the Jobs family garage Jobs and Wozniak named their company Apple on 1 of April 1976 st

Three logo, a year after foundation the Apple 2 was released, it was a much more commercial product

In 1980 Apple launched the IPO of its stock it instantly created more millionaires about three hundred than any company in the history The Apple one two and three computers were text-based machine muchlike the earliest IBM PCs But Jobs want something more intuitive so the Lisa launched in 1983 with its graphical user interphase

Job was forced out of Apple in 1985 after a long power struggle with the company’s board and it’s then CEO John Sculley Jobs then took a few of Apple’s members with them to found NEXT, specialized in computers for higher education and business markets Apple then purchased Steve Jobs company in 1996, this would not only bring SJ back to apples management but NEXT technology would become the foundation of the MAC OS X operating system

In 1997 Jobs stepped in as the CEO to begin a critical restructuring of the company

At the 1997 Macworld Expo SJ announced that Apple would be entering into a partnership with Microsoft included in this was a five-year commitment from Microsoft to release Microsoft Office for Macintosh as well as a 150 million US dollar investment in Apple One of Jobs first moves was to develop the iMac a family of all-in-one Macintosh desktop computers

In 1998 the first iMac was released, at that time Apple had suffered a series of setbacks as consumers increasingly opted for Wintel Window PCs machines instead of Apple’s Performa models

The Ipod was released in late 2001, the iPod line came from Apple’s digital hub category When the company began creating software for the growing market of personal digital devices

3 years later the iTunes Music Store was launched with 2 million downloads in the first 16 days

The first version of Iphone became publicly available on June 29 2007

in selected countries While it wasn’t the first smartphone in leapfrog far beyond the competition and launched the mobiles revolution

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III APPLE’s CORPORATE CULTRE

The organizational culture of Apple Inc is crucial to the company's ongoing success The organizational or corporate culture of the

consumer electronics company establishes and upholds the employees' shared values, beliefs, and business-related actions

The transformation of Apple from a computer firm to a consumer electronics company is unique and challenging to imitate Although many people may only guess as to why Apple was so successful, they frequently give credit to Steve Jobs' exceptional leadership skills, Apple's highly skilled workforce, and its strong corporate culture

An innovative organizational culture exists at Apple Inc The

company's cultural traits are centered on sustaining a high level of innovation that involves employees' creativity and a mindset that challenges norms and standards, such as in the field of consumer electronics design When it comes to aggressive and quick

technological innovation and product development, the firm depends oncultural support and coherence, which determine competitiveness and industry leadership The following describe Apple's business culture most prominently:

Employees who failed to live up to Steve Jobs' demands were

frequently let go Tim Cook has maintained this custom Such a custom upholds and strengthens a corporate culture that encourages, values, and anticipates top-notch excellence from the workforce of the

Discover more from:

technological company The Apple organization has institutionalized this cultural feature as well For instance, the business offers initiatives that honor and promote employees that excel at software design Excellence is stressed as a key component of business success,

particularly in product design and development, which is a significant growth strategy described in Apple Inc.'s generic competitive strategy and intensive growth strategies

2 Creativity:

This cultural trait relates to coming up with fresh concepts that advancethe technological industry and its goods The management at Apple values creativity in terms of employees' knowledge, abilities, and skills.This aspect of corporate culture enables the business to guarantee adequate innovation, particularly among staff members engaged in the design and development of consumer electronics products Design and features of goods like iPads, Macs, and other elements of Apple's marketing mix, or 4Ps, are evidence of this inventiveness To maximizethe company's intellectual properties, such as patents for new mobile devices, originality is also culturally valued alongside creativity In this way, Apple's organizational culture supports the company's ability to meet and exceed customers' preferences and expectations

3 Innovation:

Rapid innovation is encouraged by Apple's organizational culture One

of the most innovative industries in the world is generally seen as being

in the technology sector Apple trains and encourages its staff to innovate in terms of their individual work performance and idea contributions for product development, design, and other procedures based on this cultural attribute Rapid innovation is made possible by the corporate culture, and this is essential to Apple's business strategy Rapid innovation makes it possible for the business to keep launching new goods that are profitable and appealing to its target market in the worldwide market for consumer electronics and Internet services

4 Secrecy:

Apple was created by Steve Jobs with a secretive organizational culture The procedures used by the MacBook manufacturer for

managing and developing its human resources are still governed by thiscultural trait The corporation uses secrecy as part of its strategy to reduce the theft of confidential information or intellectual property, including as the designs for upcoming iPhone models Additionally, it is

a method of strategic management that enables Apple Inc to increase its competitive advantage Employees are encouraged and required to maintain business information within the technology business

organization through the corporate culture The company's policies, procedures, and personnel contracts, which forbid the publication of information such as the plans for the upcoming versions of the

company's consumer electronics, strengthen this cultural tendency In this regard, Apple's organizational culture aids in safeguarding the company against business espionage and the detrimental effects of personnel poaching

aggressive and more social Combativeness, however, continues to have

a significant impact on the technology industry Apple's corporate culture has a mild level of combativeness that creates obstacles that inspire workers to improve their productivity

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IV APPLE’S ETHICS

Apple has made an effort to guarantee that both its workers' and others' conduct is suitable at all times The company focuses its success on

"developing new, excellent products and services and on exhibiting integrity in every business transaction." Honesty, respect, secrecy, and compliance are the four main principles listed by Apple as contributing

to integrity Apple has created a code of business behavior that is applicable to all of its operations, including those conducted abroad, in order to more fully describe these principles Additionally, it has posted

on its website more detailed corporate governance, director conflict of interest, and reporting protocol regulations Employees can also report misbehavior to Apple's Audit and Finance Committee by calling the company's Business Conduct Helpline

Numerous Apple product parts are produced in nations with cheap laborprices Due to different labor rules and less direct inspection, there is a greater potential for wrongdoing Apple enforces compliance by havingall of its suppliers sign the "Supplier Code of Conduct" and conducting factory audits Suppliers who refuse to adhere to Apple's guidelines may face further business restrictions from Apple Apple releases an annual report detailing its supplier expectations, audit findings, and corrective measures the business will take against factories where violations have occurred in order to stress its commitment to

responsible supplier activity

V ETHICAL ISSUES AT APPLE INC.

Although Apple has constantly come in first place as the most admired company in the world, it has recently had a number of ethical problems.The future success of the company could be significantly impacted by these problems Serious wrongdoing or a failure to properly manage risks could potentially harm Apple's impeccable reputation The following factors are ethical issues associated with Apple:

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2 Privacy:

Apple Inc also has a lot of privacy concerns Apple and Google revealed in 2011 that several functions on the cell phones they sell capture information about the whereabouts of the phones Consumers and government representatives see this as an invasion of user privacy Users can choose to turn off these functions on their phones, according

to the firms This wasn't totally accurate for Apple as some of its phones kept gathering location data even after customers turned off thefeature This was caused by a bug, which Apple fixed with fresh software Both Google and Apple defend the methods they use to obtain data, but many government officials are not in agreement Appleand other electronics businesses may be significantly impacted by the government's consideration of implementing mobile privacy

regulations

3 Sustainability:

Apple has made efforts to operate more sustainably, including

minimizing the environmental effect of its operations The corporation does acknowledge that the majority of its emissions are caused by its goods Apple said in 2009 that its activities were responsible for the discharge of 9.6 million metric tons of gases 97 percent of its revenue came from the life cycle of its products, while just 3 percent came from its facilities The effects of Apple's goods on the environment are

a major concern because the company's prosperity depends on its ongoing development and introduction of new items

Customers who trade in their old iPods can save 10% when purchasing

a newer one Customers who recycle outdated Macs with remaining value may win gift vouchers Apple collaborates with nearby recyclers who abide by the relevant legislation Many consumers believe that throwing away their old items is more convenient, especially if they have little value, despite this recycling scheme As long as people keepthrowing away their outdated technology, e-waste will continue to be a serious problem

Additionally, Apple has made public statements on the reduction of hazardous substances in their products According to Steve Jobs, Apple

has removed lead-containing cathode ray tubes from its devices It uses light-emitting diodes (LEDs) instead of fluorescent lights, which do notcontain mercury, to build their iPods Additionally, the business has stopped using polyvinyl chloride and brominated flame retardants in its goods.

Apple places a high priority on preventing intellectual property theft and actively pursues this issue To stop rival businesses from stealing its ideas, Apple takes seriously its obligation to protect its confidential information As a result, Apple and other computer companies have engaged in several legal battles Apple sued Franklin Computer Corporation in 1982, which had a significant influence on the rules governing intellectual property Franklin was allegedly unlawfully converting copies of the Apple II's operating system and ROM so they would function on Franklin machines, according to Apple Parts of computer programs, according to Franklin's legal team, are exempt from copyright regulations The courts first supported Franklin, but the decision was eventually reversed In the end, the courts decided that copyright law protects codes and programs Technology companies now have more comprehensive intellectual property protections thanks

to this law In the end, the courts decided that copyright law protects codes and programs Technology businesses now have more

comprehensive intellectual property rights because to this regulation.Another noteworthy case was Apple's lawsuit against Microsoft following Apple's technology licensing to Microsoft Apple asserted that the licensing agreement only covered Windows 1.0 when Microsoftdeveloped Windows 2.0 and that Microsoft's operating system had the

"look and feel" of Apple's Macintosh graphical user interface system (GUI) The Macintosh GUI's "look and feel" was not covered by the license, according to the judges' ruling in favor of Microsoft The courtsdetermined that despite their being similarities between the two, Windows did not infringe on copyright laws or license agreements merely by looking like Macintosh computers

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