Introduction
Donald Trump advised that the globalization destroyed the US economy. Globalization is disruptive and unfair against the global competitive market. Some exporting countries like China, take advantages of globalization, free trade and financial flows. Millions of workers in the US are unemployed and under poverty due to the negative impact of globalization to the US.
Trump has acted to tackle the problems derived from globalization. He announced policies including preventing U.S. companies from shifting jobs abroad by various means, including border taxes on companies that move jobs out of the U.S. He argues for bilateral trade agreements but also for tariffs on imports to protect US manufacturing. There would be a tax of 35% …show more content…
The additional investments in substantial training for the staff is needed as there are extremely specific standards in assembling components. Considering the deficit in skilled US workers, the plan to move Apple's manufacturing back to the US probably would require hiring more foreign workers until enough Americans could be trained to take those jobs. Even if Trump could somehow insulate Apple from these effects, it would be operating in a much gloomier economy, and consumers may decide to stop buying expensive smartphones for a …show more content…
The parties involved in the different stages of supply chain may have conflict of interest. In order to minimize the cost, they will try to shift the cost to the downward parties with less bargaining power. As a result, supply chain will be lack of coordination. Without doubt, Apple has big bargaining power and may shift the cost to the suppliers and request them to set the factory near Apple. Foxconn and Pegatron are the two larger iPhones assembler in China. Foxconn complied to move in the U.S what Apple requested while Pegatron declined to formulate due to cost concerns. Other than having its popular gadgets assembled in China, Apple also procures most of the key components for its flagship iPhones from Asian suppliers. Taiwan Semiconductor Manufacturing Co. makes chips for iPhones, Japan’s Japan Display and Sharp supply panels for Apple’s handsets, and South Korea’s SK Hynix and Japan’s Toshiba produce memory chips for the device. Since lots of suppliers are involved in Apple’s production line, it will cause a high risk of uncertainty once Apple move Supply Chain to the U.S under Bullwhip
Donald Trump advised that the globalization destroyed the US economy. Globalization is disruptive and unfair against the global competitive market. Some exporting countries like China, take advantages of globalization, free trade and financial flows. Millions of workers in the US are unemployed and under poverty due to the negative impact of globalization to the US.
Trump has acted to tackle the problems derived from globalization. He announced policies including preventing U.S. companies from shifting jobs abroad by various means, including border taxes on companies that move jobs out of the U.S. He argues for bilateral trade agreements but also for tariffs on imports to protect US manufacturing. There would be a tax of 35% …show more content…
The additional investments in substantial training for the staff is needed as there are extremely specific standards in assembling components. Considering the deficit in skilled US workers, the plan to move Apple's manufacturing back to the US probably would require hiring more foreign workers until enough Americans could be trained to take those jobs. Even if Trump could somehow insulate Apple from these effects, it would be operating in a much gloomier economy, and consumers may decide to stop buying expensive smartphones for a …show more content…
The parties involved in the different stages of supply chain may have conflict of interest. In order to minimize the cost, they will try to shift the cost to the downward parties with less bargaining power. As a result, supply chain will be lack of coordination. Without doubt, Apple has big bargaining power and may shift the cost to the suppliers and request them to set the factory near Apple. Foxconn and Pegatron are the two larger iPhones assembler in China. Foxconn complied to move in the U.S what Apple requested while Pegatron declined to formulate due to cost concerns. Other than having its popular gadgets assembled in China, Apple also procures most of the key components for its flagship iPhones from Asian suppliers. Taiwan Semiconductor Manufacturing Co. makes chips for iPhones, Japan’s Japan Display and Sharp supply panels for Apple’s handsets, and South Korea’s SK Hynix and Japan’s Toshiba produce memory chips for the device. Since lots of suppliers are involved in Apple’s production line, it will cause a high risk of uncertainty once Apple move Supply Chain to the U.S under Bullwhip