Apple products at manufacturing plants in China and at retail stores in the U.S.- low worker pay and lack of future prospects

05/29/2010

The high margins for Apple achieved through a combination of keeping costs low- even at the risk of providing poor wage and working conditions for the majority of employees employed in the retail stores in the U.S. and in supplier Foxconn plants in China- and by a grasp for innovation and technology. The paradox of a well deserved image for pioneering in technological innovation and the indifference to working conditions and prospects for employees who add value in manufacturing and customer interface. This model of growth is a recent development, put in place after 1997. In 1995-1997 Apple was nearing collapse under Michael Spindler and Gil Amelio, as documented by WSJ technology reporter Jim Carlton in his book- "Apple- The Inside Story of Intrigue, Egomania, and Business Blunders." Steve Jobs returned as CEO in 1997 and set the future course and this model in place emphasizing design, his ability to grasp technologies that would appeal to customers, and hired Tim Cook to set up the manufacturing which had high rate of defects and higher costs. The model was as full of paradoxes, of genius combined with mediocre behavioursas the man Steve Jobs. Tim Cook has responded to criticism in 2012 by having the Fair Labor association audit Foxconn plants in China. Foxconn increased wages in 2012, shifted plants to the interior of China, and increased use of robotics.

Linked Articles

Hon Hai to Raise Workers' Pay

Wall Street Journal 05/29/2010

Ting I Tsai, Ting I, Tsai

New York Times 06/23/2012

David Segal, David, Segal

Two scenes-one of Gates and the other of Sgt. Hyland- and the knot that ties them together.

05/15/2009

Scenes of a rainy night at an airforce base in Delaware, as Defense Sec. Gates prays in a 747 with draped coffins of dead soldiers. And the scene of a maimed soldier, Sgt Hyland, weeping in front of a picture of Specialist Jonathan at a battalion hall in Diyala province. near Baghdad. And the relevance to the wars in Iraq and Afghanistan.

Linked Articles

Wounded Soldiers Return to Iraq, Seeking Solace

New York Times 10/15/2009

Rod Nordland, Rod, Nordland

Washington Post 05/15/2009

Greg Jaffe, Greg, Jaffe

Bob Woodward on decisionmaking in the Obama White House and the Bush White House

09/15/2008

In "The War Within" Woodward described how Bush persevered to get the job done right in Iraq. In "The Price of Politics," Woodward describes how Obama failed to use his presidential leadership and suthority to get all sides to reach an agreement. Bill Keller of the NYT says Obama failed to make the "unpleasant choices" a president has to make, including supporting the president's own Simpson-Bowles Commission on the U.S. deficit.

Linked Articles

Bush's Lonely Decision

Wall Street Journal 09/15/2008

Editorial On Woodward's "The War Within", Editorial, On, Woodward's, "The, War, Within"

Wall Street Journal 09/07/2012

Bob Woodward, Bob, Woodward

Management and Boeing's 787 Dreamliner program

04/25/2008

Linked Articles

Boeing CEO Fights Headwind

Wall Street Journal 04/25/2008

J. Lynn Lunsford, J., Lynn, Lunsford

Wall Street Journal 02/25/2012

David Kesmodel, David, Kesmodel, Susan Carey, Susan, Carey

China's budding aviation industry

10/27/2006

China developing manufacturing and assembly knowhow for regional jets and for larger planes working with western suppliers eager to get in on the growing demand for aircraft in CHina with hte market expected to grow at about 9% according to Boeing.

Linked Articles

Chinese Jetmaker Gets Western Help

Wall Street Journal 09/03/2008

Bruce Stanley, Bruce, Stanley, J. Lynn Lunsford, J., Lynn, Lunsford

Wall Street Journal 10/27/2006

Daniel Michaels, Daniel, Michaels, Bruce Stanley, Bruce, Stanley