Apple’s Dilemma and How to Address It

Apple’s Challenges in Maintaining Control

Apple has been a global leader in the smartphone industry considering it accounted for 90 percent of the $380 billion profits that were recorded in the market in 2014. The success has largely been as a result of the differentiation from its competitors through the use of the proprietary operating system (iOS) and iTunes that has set the brand apart from the others in the industry. It has, however, become apparent that amid the successes. It has become difficult to maintain control over the vast operation Apple engages itself especially related to the outsourcing of independent suppliers. The challenge to Jell Williams has thus been on the options that would give the firm the best outcomes considering the damages reputation it has had to overcome despite producing excellent and quality electronic products. Apple should focus on the negative publicity it has been linked to and work to improve working conditions and enhance production-in-control to regain its dominance in the smart electronics market.

The Importance of Addressing Grievances

The most critical move that should be factored urgently is the fact that there are significant grievances and negative publicity that needs to be amended as it could further impact adversely on the profit margins. An inevitable procedure that could lead to disastrous economic challenges for Apple would be to continue operating in the manner it has been serving its stakeholders when there is so much negativity surrounding its business operations. In 2014, evidence showed that the firm was still engaging in labor rights violations from China to Pegatron that was responsible for the assembly process. It would be a mistake to continue mistreating its employees considering that they not only work in the distribution and packaging sectors but they are also involved in the most critical decision-making and innovative projects. It would mean that the competitors entering the market and offering innovative design phones that are almost similar to the Apple releases will take advantage of the negative branding of the leader to maximize their sales. The impact is likely to be disastrous for Apple because of the chance of a decline in revenue from its sales. It is thus recommended that Apple should take the option of addressing the grievances as it is the best option in a competitive market where there is a chance to lose one’s trusted customers.

Improving Working Conditions as a Priority

It is also paramount that Apple seeks to improve the working conditions in the offshore locations as an effort to maintain control in the vast operation that it is involved in meeting client needs worldwide. A call for the complete boycott of Apple’s products would have damaging outcomes because it would set the firm many steps back to regain its dominance in the market. It thus means that the improvement of working condition for its workers is more critical than the company perceived it and needed to be done with urgency. The exploitation and worker rights abuses and the generally poor working conditions could lead to many people declining to purchase the company’s products. The need for NGOs is thus relevant because they are the only means that seem practical in addressing the challenges of the employees in the countries involved in the supply of Apple products overseas. Human rights violations such as the well-documented unpaid overtime, excessive exploitation and working for long hours, and the lack of sufficient training all need to be eliminated if the firm is to realize its 2014 profit margin.

Advantages of In-House Production

Lastly, the best outcome for Apple would be to ensure that they focus on production in-house to reestablish its brand image and regain control. It is a great option if the firm intends to allow its clients to have a sense of control in their effort to satisfy their brand needs. An in-house production process would mean that there is more innovation and the creativity is focused on a central hub. The benefits are multifaceted, but they will primarily ensure that the customer has more choice and realizes improved quality as it will be quicker to get to the market and get feedback promptly. It will mean that Apple has focused on ensuring that there is consistency and that there is attention to the minor issues as it exercises a holistic view of what it engages.

Finding Solutions to Apple’s Dilemma

In summary, it is worth affirming that Apple’s dilemma would be best addressed by ensuring that the decisions taken are not only focused on the brand image that has been tainted but also in ensuring that the market dominance is regained. It would thus be a huge mistake to ignore the complaints from its stakeholders particularly the workers as it would only advance the negative publicity and further affect the margin of profits recorded. The improvement of working conditions would thus be a significant way of enhancing hoe it is perceived with the need for NGOs as collaborators proving relevant. The use of in-house production techniques will further enhance innovation and enable Apple to reach its market quickly, offer better quality, and react to feedback promptly.