What is it about?

Apple is the world’s most valuable company and its products – the iPhone, iPad and iPod are symbols of coolness and chic. However, Apple’s brand has been tarnished by growing criticisms over poor working conditions in the Chinese factories that make them, especially Foxconn. Foxconn gained international prominence in 2010 following a mass suicide by 14 employees who leapt to their deaths. Apple argues it is responding to the criticisms by enforcing a code of conduct, conducting its own rigorous audits of supplier factories and allowing independent audits by the Fair Labor Association. However, other labour watch groups remain sceptical.

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Why is it important?

This case could be used for any course which looks at the interactions between transnational corporations, workers, labour organizations and governments and/or debates about the efficacy of ‘soft law’ versus ‘hard law’ approaches to improving labour standards, such as Corporate Social Responsibility (CSR), voluntary codes of conduct or labelling systems vis-a-vis regulation or international framework agreements.

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This page is a summary of: Dark Side Competition: Apple and the Human Costs of Production, Academy of Management Proceedings, January 2013, The Academy of Management,
DOI: 10.5465/ambpp.2013.18032abstract.
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