Apple Case Study

Question 1

Where is Apple Inc.’s headquarters located?

Answer 1

Apple Park, Cupertino, California, USA.

Question 2

When was Apple founded, and what significant acquisition did it make in 1982?

Answer 2

Apple was founded in 1976 and acquired Macintosh in 1982. Now known just as Mac, was a line of personal computers that revolutionized the industry as the first successful, mass-market, all-in-one desktop

Question 3

Name three factors contributing to Apple’s success.

Answer 3

1. Stylish and well-designed products
2. Strong branding and customer loyalty
3. Innovation and regular product updates

Question 4

Where are Apple’s products primarily designed, assembled, and sold?

Answer 4

Designed in Silicon Valley (California), assembled in China (by Foxconn and Pegatron), and sold globally.

Question 5

Why does Apple manufacture in China?

Answer 5

1. Lower production costs with competitive outsourcing.
2. A large, skilled, and non-unionized workforce.
3. Shenzhen’s Special Economic Zone incentives.

Question 6

How does Apple manage its supply chain efficiently?

Answer 6

It ships components directly to assembly sites, reducing stockpiling and warehousing costs.

Question 7

Where is Apple’s European headquarters?

Answer 7

Cork, Ireland.

Question 8

What is Apple’s presence in the USA?

Answer 8

• HQ and R&D in Cupertino, CA
  MacPro assembly in Austin, TX
  Five data centers across the USA
  Over 90,000 employees in all 50 states

Question 9

What is Apple’s key assembly partner, and where are its major assembly sites?

Answer 9

Foxconn, with factories in Shenzhen, Zhengzhou, and Chengdu, China.

Question 10

What controversy did Apple face regarding taxes in Ireland?

Answer 10

The EU ruled in 2016 that Apple received illegal state aid from Ireland and owed €13 billion in back taxes.

Question 11

What labor issues have been reported at Apple’s supplier factories?

Answer 11

• Excessive working hours
  Low wages
  Use of student labor in factories

Question 12

How has Apple responded to labor and environmental criticisms?

Answer 12

• Established a Supplier Code of Conduct
  Uses 100% renewable energy in its US facilities
  Introduced the “Green my Apple” campaign

Question 13

Which is Apple’s largest market?

Answer 13

The United States.

Question 14

What challenges has Apple faced in China?

Answer 14

Increased competition from Huawei and a plateauing smartphone market.

Question 15

Why has Apple struggled in India’s market?

Answer 15

Dominance of cheaper smartphone brands.