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Opinion about Globalization (GLS101) - Essay Example

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The concept of globalization has existed for a long period and thus globalization is not a new process, but rather, an ongoing and evolving…
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Opinion Essay about Globalization (GLS101)
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Opinion about Globalization (GLS101)

Download file to see previous pages... Whereas Foxconn had been contracted by Apple as one of the key manufacturing hubs in China, Foxconn has reshaped its business model in the wake of globalization (Yang, 2013). Indeed, Foxconn’s thinking about moving beyond Apple is a classic example of how globalization is taking place in the current world.
Globalization has seen China become a darling for most large manufacturers particularly due to the availability of cheap labour and technological advancement. It therefore does not come by surprise that Apple, an American owned company, decided to outsource its production services to Foxconn. However, globalization has caused significant changes in consumer demands leading to mushrooming of other companies seeking to cash in on emerging market niches. For instance, Apple continually became less significant to Foxconn because of the lost grip on the phone market due to globalization. Considering Apple was responsible for almost half of Foxconn’s revenue (Yang, 2013), any shakeup on Apple would have direct ripple effect on Foxconn as a company.
Globalization especially in the technology industry has caused unprecedented changes in the way modern businesses operate. For instance, large multinational companies have tuned their supply chain management by outsourcing services and production to other countries. However, the same concept of globalization has empowered production supporting industry players such as Foxconn to think about having their own tailor made products. This could spell doom for companies such as Apple. For example, despite Apple putting its production hopes on Foxconn, Foxconn is on the other hand investing heavily on brand makers such as Sharp’s LCD panel factory (Yang, 2013). This is in a bid to solidify its sustainability in a world where globalization is changing operational challenges with time.
The fact that a company such as Foxconn could be pushed by globalization to change from a production outsourcing ...Download file to see next pagesRead More
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