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unit 5 assignment 3 - distinction work

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Uploaded on
July 26, 2022
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2021/2022
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Tahmid Choudhury
Unit 5 - Assignment 3

Strategies and Resources

In this report I will be discussing how Apple as a business successfully
trades internationally with the strategies they use and how effective it is
for them.

P8)

Apple being a multinational company allowing others to invest into them
has allowed them to grow and gain so much capital which has also
allowed them to increase their portfolio as a business. Apple doesn't have
a parent company but with the capital they have and the amount of
revenue they generate as a business allowed them to buy Beats By Dr
Dre and Shazam. The business had bought these companies because they
had seen potential in them that they can use to help them develop their
own branded products / apps. This makes Apple the parent company of
the two companies allowing them to increase their portfolio but from my
point of view these two companies won't help Apple trade internationally
but to gain more profit and recognition.

The business used to have a small joint venture for customers to receive
help in store if they have purchased the membership but Apple had
stopped offering this service and cancelled the joint venture as it was very
costly for them as a business. This had to be done as Apple were losing
out on money and they couldn't stay dedicated to in house service for
customers which led to them shutting down the joint venture. Now it
stands by that Apple are not part of any joint ventures but offering
customers something else that they can be reassured with.

https://9to5mac.com/2021/01/20/apples-joint-venture-program-ending/

Apple’s manufacturers and suppliers would be under a licence as the
business and the second party has everything on contract. Having that
contract there is a sort of reassurance that both businesses have a bond
with each other and they both can trust each other allowing them to trade
with each other and when Apple gets their products manufactured from
China the contract is a pre-licensed document to show that both parties
are working with each other.

Apple does outsourcing as they dont manufacture their own products and
the business doing this allows them to be more flexible with what they do

, Tahmid Choudhury
Unit 5 - Assignment 3

and how they are going to operate internationally. The business does not
only outsource their products but they also outsource the designs of their
future products which allows them to be flexible with what they do.
Apple has already planned to make India their top destination to
outsource and to carry on with China as it will allow them to expand their
trades internationally.

Also Apple has other 307 partners which some of them being very large
companies such as Adobe and Deloitte , helps them with their ecosystem
meaning they help Apple develop their technology and channels. Apple
must've partnered up with these businesses because it allows Apple to
improve their ecosystem massively and without these partnerships it
wouldve taken Apple a long time to develop their ecosystem.

https://www.partnerbase.com/apple

Furthermore , Apple does not source their own products but get them
under licence for their products which helps them get the components
that are being used for their products. Apple have got partnerships with
Samsung and Panasonic due to Apple having issues with getting their own
components and having to use other branded components which is bad
for them because Apple are known for making their products under their
name but now Apple don't have access to such key part for their devices
they're in partnership with other which still allows them to make their own
device but not completely being Apple manufactured.

https://www.apple.com/supplier-responsibility/pdf/Apple-Supplier-List.pdf

M5)

Apple buying Beats By Dr Dre is ineffective for them totrade trade
internationally as a whole point but it could allow them to trade
internationally as Beats may have more popularity than Apple in some
countries but Apple had the intentions to buy Beats to help them develop
their products for Music.
The business had bought Beats By Dre for $3 billion dollars in 2014 to
help Apple develop their Airpods and Beats being that business that
makes amazing headphones , Apple had seen this opportunity to develop
their own products and now being the parent company of Beats. This
could be effective because now customers know that Apple is the parent
company of Beats it will prove that the Airpods are going to be good as
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