foxconn apple
Q3: What are the ethical implications of this decision, and who is likely to be impacted? The ethical implication based on Apple’s decision to continue business with Foxconn was still questionable and seems like be unethical by some people. Apple can make significant profit on the sale of its products considering the price of Apple’s products and what its supplier’s workers outside of the USA are getting paid. As we can see, in 2010 the wages of Foxconn worker was about 900 Yuan ($143 per month).Apple’s newest iPhone costs minimum of $200 with a wireless company contract.So.it is convenient for Apple to continue business with Foxconn as it still able to gain profit from this relationship and do not suffer losses. We can say that Apple’s decision to stay in business with Foxconn is profitable for the company but the cost of these profits (maltreatment workers, who are looking hard on developing products that bring such profits to Apple is too high) Then, the decision is not legal if Foxconn does not comply with Chinese overtime limit laws as well as Apple’s supplier code of conduct but forces workers to work longer hours than they should be working according to these laws and policies has been set. Of course workers should be rest and apply for leave when they need without any threats. Workers are not machine that can work in 24 hours daily and they cannot be treated as such.Other than that, the decision is not fair at all because those who are actually making the product by hand are not paid enough and appropriate for the work they do. In fact, Apple’s profit margins on products that are produced at these factories are huge. Workers should be reimbursed properly. Even if Foxconn charges Apple high costs but does not compensate their employees properly, Apple should stand up for those workers and change it.Furthermore, if Apple started manufacturing its products in USA, it would have to pay much a higher price for manufacturing.