01. there can be many jobless people

01.   What is meant by globalization of humancapital? Is this inevitable as firm increase their global operations?Globalization of the human capital is one of the mostinevitable and a most dynamic factor in the globalization trends. Whether it islow cost and skilled manufacturing people in China, well specialized IT andcustomer service workers in India, or highly intelligent and competent workersin US, companies now have the ability to access new pools of human capitalacross the globe that can have a profound influence on their strategy andstructure and the entire business as a whole.

In past most of the companieswere started within the boundary of the country’s land. But now days in generalthe companies are trying their best to move forward out of the boundary as muchas they can. Mostly the companies go out of the county in order to get suppliedsome most important resources specially the labor. Low cost labor will help thecompanies to control their overall cost and that will enhances the productivityof the company. Mostly when some companies start their businesses in globalscale by developing innovative features.

 Here, Globalization of human capital meansthat globally sourcing the human needs of the company. Companies can getsupplied law cost and skilled laborers from China, mostly the companies  are outsourcing by making contracts with thelocal companies and then in to their global supply chain. Large number of firmshas been producing and assembling many of their products in many countries,that is outsourcing by contracting with a local firm and then intergrates themin to the global supply chain. Numerous firms supply many white collar jobs toIndia, Philippine, China, Mexico and etc for the vocations like IT sectorrelated jobs, Customer support, technical work and health sector related work.Basically these are the jobs now moving around the globe.

 02.   How this case does illustrate the threatsand opportunities facing by the global companies, in developing theirstrategies? There are number of threats that the global companies arefacing, and due to that problem there can be many jobless people leavingthroughout the county. And basically many companies specially the internationalcompanies and not treating their employees with fairly in relation to thepayment and the working hours that they are working for. So there is a legalthreat as well. And because of the opportunities that the companies are facingand their ability to obtain low cost as well as skilled employees from theglobal economy they can do their productions effectively and they can sell themat a higher price by earning a higher profit. In here, we can clearly identify the opportunity that theApple has basically because of this global economy. Because it case clearlymentioned the profit margin that that Apple is entitled to.

Breaking down theretail price for Apple’s iPhone, for an example as Time Magazine estimations, $61$worth comes from japan, $30 value comes from Germany , $23 of its value comesfrom South Korea, and $7 from Chinese assembly lines, $48 from unspecifiedactivities and $11 from US. So the overall total is $179.their retail price of $500.It is so clear that their earning $321 of profit from one of theirproducts.

  And the case study alsomentioned that only in first quarter in 2012, they earned $12 billion profits.This is kind of a huge profit for them as a global company. Mostly the Applecan obtain many high-tech company facilities and the other needing parts,technology, the workers including high skilled engineers and the other workersfrom all over the world which are not readily available in US. And when we turn in to the treats that the  company is facing, when it comes to theAppel’s point, because of the President Obama’s inquiry on outsourced jobs, itcreate a kind of negative image for the company as a whole.

Labors indeveloping countries face terrible working conditions. And all what he said was”why the company cannot bring back all the jobs that it used to provide in US.When the political threats and the influential statements like this will leadsto damage the company’s reputation.  Andthese low cost assembly workers get injured in the assembly lines. Andbreaching the US laws by using the toxic chemicals.

So there are number ofbarriers for companies who are operating in the global scale.  03.   Comment of Apple’s executives assertionsthat the company’s only obligation is making the best product possible. “Wedon’t have an obligation to solve America’s Problems”.

This is a very influential statement at a glance but we haveto agree with this statement.  Since heis representing his firm and this company’s main objective is to make profits,their main objective is to deliver a super quality product for its consumersand position it as the best product in the consumers mind. They have a primaryobligation only for its customers and the shareholders.  In order to do so the company has to make itsproducts in that expected quality there has to produce them in a lowest cost. Sothey create a quality product and they sell it at a reasonable price. So theydo fulfill the need of their customers and the shareholders. But if on theother hand, Apple were a political company or non-profit organization, thenthey have a responsibility to fulfill the requirements of the above mentionedstatements.

And the company is not responsible to solve the Americas problem ofincreasing their employment rate by giving up one of those interested parties’needs. So we agree with this statement. Because the only objective of Apple isto produce the best quality and an excellent product to its customers, so thereis a need to obtain the best resources from the places in the world.

They donot responsible to create many job opportunities to USA. 04.   Who are the stakeholders in this situationand, what if, any obligation do they have?In this case study we can identify that thereare two stake holders in this company. The stakeholders are the companies Apple& Foxconn and the Chinese government.  They need to be more conscious that since itsheadquarters are in the US it should do all that it can to maintain a positiveimage. And since it’s a company which maintaining a high quality and a hugebrand everyone expect the best from them and it is their obligation to be morefaithful and the best quality good provider to the customers and the workerswho work 24/7 for them. This is applicable for the foxconn to.

They have aresponsibility to provide an adequate payment and a time to rest. And thegovernments also have a responsibility to ensure the safety of the people fromany time of pressure