Members:

Duran, Reyna Mae M.

Somer, Celene D.
Tolentino, Acme

BA 204 Section C

Title: Apple goes Global

I. Central Problem

The central problem in this case is the shift of Apple's manufacturing operations from the
United States to overseas locations, resulting in a significant loss of jobs for U.S. workers and
the reliance on foreign labor.

II. Objectives

• Evaluate the impact of Apple's overseas manufacturing strategy on job loss and economic
implications.

• Assess the advantages and disadvantages of Apple's reliance on foreign labor and the
potential consequences for the American workforce.

• Explore alternative approaches to manufacturing that could balance the benefits of global
operations with the need to support domestic employment.
III. Alternative Courses of Action (ACA):

ACA 1: Continue with the current overseas manufacturing strategy

Advantages Disadvantages

Overseas manufacturing may provide lower Continued reliance on overseas manufacturing

production costs, resulting in higher leads to the loss of domestic jobs, contributing
profitability for Apple. to unemployment and economic challenges in
the United States.

The speed and flexibility of the labor force in The public may view Apple negatively for
countries like China may allow for quicker prioritizing cost savings over supporting
production and shorter lead times. domestic employment.

By diversifying manufacturing locations,

Apple can better meet the demand for its
products worldwide.

ACA 2: Increase domestic manufacturing and invest in automation technology

Advantages Disadvantages

Increasing domestic manufacturing operations Domestic manufacturing may result in higher

would create new job opportunities for U.S. labor and operational costs compared to
workers. overseas locations.
By reducing reliance on overseas Shifting manufacturing operations back to the
manufacturing, Apple can mitigate risks United States would require significant
associated with geopolitical issues and supply investment, retraining of the workforce, and
chain disruptions. logistical adjustments.

Investing in automation technology can Higher production costs may affect Apple's
improve efficiency, reduce production costs, profitability and competitiveness in the global
and enhance competitiveness. market.

IV. Conclusions:

The shift of Apple's manufacturing operations from the United States to overseas locations
has resulted in a significant loss of jobs for U.S. workers. While cost savings, faster
manufacturing processes, and the ability to meet global demand are advantages of the current
strategy, there are concerns about job loss, dependency on foreign countries, and public
perception. Increasing domestic manufacturing and investing in automation technology offer
potential solutions but come with their own set of advantages and disadvantages.

V. Recommendations:

Apple should consider a hybrid approach that combines overseas manufacturing for cost
efficiency and global demand fulfillment with increased domestic manufacturing to support job
creation and mitigate risks.

The company should invest in research and development for automation technology to enhance
efficiency and competitiveness in both domestic and overseas manufacturing operations.

Collaboration with government agencies, industry associations, and educational institutions can
help address the skills gap and provide training programs to support the transition to increased
domestic manufacturing. Additionally, policies that incentivize domestic manufacturing and
protect intellectual property rights should be explored.