Question 2: Why is Apple’s industry so competitive and how could this affect the
ethical risks in Apple’s operations?
1. Competitive Industry
a. Due to Apple’s history as one of the most popular tech companies in their
industry they are put into a position where they must be able to set
themselves apart from their competition
b. It is crucial that Apple puts high importance to the internal protection of
their intellectual property so that their ideas are not taken and manipulated to
appear set apart from theirs but remain similar enough to become
competition
c. The iPhone’s success has skyrocketed through the years and the product is
constantly in high demand. Apple has practically reinvented the way that
the consumer sees and uses their computers and laptops through their
branding.
2. Effect on Ethical Risks in Operations
a. Apple Inc. has a history of ethical issues
i. Their reputation stands damaged by their serious misconduct and
failure to properly address these risks which can be seen within their
supply chain management issues
ii. Another issue at hand is that many of Apple’s products are
manufactured in countries with low labor costs which could be
argued to say that their employees that may not be making a living
wage.
iii. This issue can also be found in the rumors that Apple puts the older
versions of their iPhones on the back burner to encourage consumers
to purchase the new products.
References
Gupta, A., & Prinzinger, J. (2013). Apple, Inc.: Where Is It Going from Here? Journal of
Business Case Studies (JBCS), 9(3), 215.
Mallin, M. L., & Finkle, T. A. (2011). Apple Inc.: Product Portfolio Analysis. Journal of
the International Academy for Case Studies, 17(8), 49-56.
Diehl, K. A. (2016). How Sour Is the Apple Inc.? What the Rest of The World Can Learn
About Financial Reporting from Apple's Less Than Exemplary Role
Modeling. Global Virtue Ethics Review, 7(2), 166.
Etzioni, A. (2018). Apple: Good Business, Poor Citizen? Journal of Business
Ethics, 151(1), 1-11.
