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Thursday, February 24, 2011

Apple's Double Lesson

Reports began surfacing in mid February resulting in a New York Times article about the poisoning of employees and hazardous working conditions at an electronics factory in China. According to Apple's review of labor conditions at its international suppliers, 137 Wintek employees were affected by the poison n-hexane used in creating the iPhone glass screens. While the NY times article discusses what is being done, it is interesting to note one of the author's broader points. David Barboza hints at possible problems faced when working with suppliers - namely that they can affect your business with more than just the material they are providing. An unethically operated supplier can tarnish your company's image, which in practical terms can lead to lawsuits and a devaluation of stock prices. While Barboza's point is insightful, it is only once aspect of the supplier-firm relationship. According to the article, Apple had "ordered the contractor to stop using the chemical and to improve safety conditions at the plant." This showcases the power struggle aspect in the supplier-firm relationship. A firm's competitiveness and profitability is due, in no small part, to whether or not it is dominant over its supplier. In this case, Apple is clearly dominant in that it not only has the power to hold annual reviews of working conditions in companies other than itself, but also has the power to mandate operation practices at companies other than itself. This dominance is presumably due to the extremely high revenue Apple brings in from it's large order volumes. The fiasco has thus highlighted for Apple, and all businesses dealing with suppliers, two important aspects of business relations.

Wednesday, February 23, 2011

Glass is the Future Not the Past

For some, glass conjures up a feeling of antiqueness. It was once the standard package material for such products as milk and soda. Yet with technical advances, such powerful commodities soon turned to a cheaper alternative - plastic. Plastic milk cartons and soda bottles now dominate the market. However, glass did not disappear. It remained evident in other everyday goods such as car windshields, windows, buildings, watches, phones, glasses, light bulbs, etc. Not only did it remain evident, it also improved. Such technological advances include touch screen technology seen in many devices today, such as the iPhone, production improvements reducing cost, and strength improvements. This material is definitely evolving and will continue to become an even more evident and pertinent part of society, as shown in the following 3 videos. They showcase current bendable glass as well as ideas for glass that can support huge amounts of continuous weight, and glass capable of projecting movable interactive images on large scale surfaces. As these videos showcase, glass won't just be more evident but a more economical and sustainable material being that is more recyclable than plastic.