Exporting Electronics

Apple Corporation is a quintessential American success story.? Stephen Jobs, the founder and CEO, has built a company with a legendary ability to create and deliver the world?s most innovative computers, music players, and cell phones. Yet not everyone knows that Apple devices like the IPod are manufactured by Foxconn Ltd. in Shenzhen, China. Shenzhen City is a special economic zone within Guangdong Province, just north of Hong Kong.? Apple chose Foxconn as its manufacturer not only due to its low labor costs, but also to the export-strategic location of Shenzhen, which can be reached by air, train, sea, or road.

First, there is Shenzhen Port, located at the delta of the Pearl River adjacent to Hong Kong. The port?s coastline is 260 km long, intersected by the Kowloon Peninsula, and the eastern port at Dapeng Bay boasts a deep, wide, calm harbor and excellent shelter. The western port is linked to the On See Dun waterway, which allows sea-based shipping to reach all domestic and international ports. Then there is the Shenzhen Bao?an International Airport, just 35 km from Shenzhen City, and also the busier Hong Kong airport. Both airports and the Shenzen Port support logistical export of electronics manufactured by Foxconn.

That is important because Apple devices are coveted and sold throughout the world. Through the combined efforts of Foxconn and Apple exporting electronics worldwide, the most economic logistics are employed to maximize efficiency. ?Only through efficient export operations can Apple keep a lid on prices, which already are at a premium due to the unique capabilities of their electronic devices.? While manufactured in China, Apple devices can break anywhere. Sending them back to China is not economical. Therefore, services like IPod repair have sprung up around the globe. In the U.S. one acknowledged leader in the device repair industry is Rhousemedia.? Companies like Rhousemedia combine an Internet hub with efficient package delivery providers to create great value for consumers who require macbook repair of their laptop and other personal devices like IPods, IPhones and IPads.

Apple is not alone of course in employing the Chinese mainland for its manufacturing operations. Many international electronics companies manufacture in China and export globally. This has led to some growing pains for the Chinese. For a long time, 15-hour days and low wages were standard at manufacturing plants. Foxconn was cited in 2006 for abusive employment practices.? However in recent years, worker action and Government moderation have eased some of the hardships for Chinese workers, and has helped raise the living standards of the Chinese working class. Apple recently audited working conditions at its plants and found only a few allegations that could be substantiated.? Worldwide scrutiny will no doubt maintain pressure on Chinese industry to continue making improvements for its workers.