Apple Could Make Kit In America And Still Be Wildly Rich at DVinfo.net

Ronald Jackson · April 29th, 2012, 03:07 AM

See this from "The Guardian" this week. Globalisation equals cheap labour and big bonuses in my humble opinion.

Apple: why doesn't it employ more US workers? | Technology | The Guardian

Ron

Tim Polster · May 26th, 2012, 04:06 PM

Those are whopping margins! The issue is that all of the infrastructure for small electronics is in place around the Apple factory. This is a 30+ year story that leaves the rest of the 1st world out of the mix.

Companies eager for cheap labor and the Chinese government created an almost instant support system for the electronics industry. This just plain does not exist anywhere else. Apple would not have the supply chain to produce like they do now if they "moved back home" so to speak.

I agree with the social commentary that these large companies are taking the world for a ride, on the world's dime. But that is a different forum!

Ed Roo · May 26th, 2012, 05:43 PM

The US (and probably most of the rest of the world) simply cannot pull the number of workers together as quickly and efficiently as China can. Steve Jobs told Obama a couple years ago that he needed 12,000 electrical engineers. There aren't that many available in the US. China has them, they may or may not be as good as what US schools turn out, but China has them. FoxConn needed an additional 30,000 workers to add to its iPhone and iPad manufacturing lines in a short time to ramp up production. You simply cannot do that in the USA. The logistics of the Chinese system do not exist in first world countries. They could, but that comes at a cost more than consumers are willing to pay.

Victor Nguyen · May 27th, 2012, 12:10 AM

wouldn't the Chinese currency one day be high enough that it isn't profitable to outsource work?

Donald McPherson · May 27th, 2012, 01:10 AM

That day is comming sooner than you think. I am sure I read recently that pay has increased three fold in the last few years. Cheap labour from these countries will soon be over and the people will want the same benifits as us.

Dave Blackhurst · May 27th, 2012, 03:16 PM

Yep, the clock is ticking... PART of the reason you "can't" pull together the labor in the US is largely because US workers are "used to" a higher wage and "standard of living" (IF they haven't priced themselves out of a job) - I had a college prof that called this a long long time ago.

This is part of the reason we are where we are, and "standards of living" have taken a serious hit in the ol' USA. Sure, if you're coming off a farm in a primarily agrarian society, even low wages look inviting, but over time, the desire for a "better" lifestyle catches up.

Then there's the OTHER side of the equation... I suspect IF there were appropriate regulatory changes (I won't go into the probable multitude of "EPA violations" involved with manufacturing which simply don't exist in these other countries), a readjustment of the "employee" mindset in the US, and a realistic effort to move manufacturing closer to the consumer (already happened in the auto industry, many Hondas, Toyotas and Kia/Hyundias are made in the US!), it could happen. Not overnight, but it can be done with the proper approach.

The USA and its populace pumped out the needed huge volume of tanks, planes and all the rest required to win WWII, because the alternative wasn't acceptable. it's DOABLE, if the desire and motivation was there, but that's another story...

April 29th, 2012, 03:07 AM	#1
Ronald Jackson Major Player Join Date: Jul 2010 Location: Southport, United Kingdom Posts: 723	Apple Could Make Kit In America And Still Be Wildly Rich See this from "The Guardian" this week. Globalisation equals cheap labour and big bonuses in my humble opinion. Apple: why doesn't it employ more US workers? \| Technology \| The Guardian Ron

May 26th, 2012, 04:06 PM	#2
Tim Polster Inner Circle Join Date: Dec 2004 Location: Arlington, TX Posts: 2,231	Re: Apple Could Make Kit In America And Still Be Wildly Rich Those are whopping margins! The issue is that all of the infrastructure for small electronics is in place around the Apple factory. This is a 30+ year story that leaves the rest of the 1st world out of the mix. Companies eager for cheap labor and the Chinese government created an almost instant support system for the electronics industry. This just plain does not exist anywhere else. Apple would not have the supply chain to produce like they do now if they "moved back home" so to speak. I agree with the social commentary that these large companies are taking the world for a ride, on the world's dime. But that is a different forum!

May 26th, 2012, 05:43 PM	#3
Ed Roo Major Player Join Date: Jul 2010 Location: Columbus USA Posts: 312	Re: Apple Could Make Kit In America And Still Be Wildly Rich The US (and probably most of the rest of the world) simply cannot pull the number of workers together as quickly and efficiently as China can. Steve Jobs told Obama a couple years ago that he needed 12,000 electrical engineers. There aren't that many available in the US. China has them, they may or may not be as good as what US schools turn out, but China has them. FoxConn needed an additional 30,000 workers to add to its iPhone and iPad manufacturing lines in a short time to ramp up production. You simply cannot do that in the USA. The logistics of the Chinese system do not exist in first world countries. They could, but that comes at a cost more than consumers are willing to pay.

May 27th, 2012, 12:10 AM	#4
Victor Nguyen Major Player Join Date: Mar 2012 Location: Houston,Texas Posts: 289	Re: Apple Could Make Kit In America And Still Be Wildly Rich wouldn't the Chinese currency one day be high enough that it isn't profitable to outsource work?

May 27th, 2012, 01:10 AM	#5
Donald McPherson Major Player Join Date: Jun 2010 Location: Aberdeen Scotland Posts: 815	Re: Apple Could Make Kit In America And Still Be Wildly Rich That day is comming sooner than you think. I am sure I read recently that pay has increased three fold in the last few years. Cheap labour from these countries will soon be over and the people will want the same benifits as us.

May 27th, 2012, 03:16 PM	#6
Dave Blackhurst Inner Circle Join Date: Feb 2007 Location: Apple Valley CA Posts: 4,874	Re: Apple Could Make Kit In America And Still Be Wildly Rich Yep, the clock is ticking... PART of the reason you "can't" pull together the labor in the US is largely because US workers are "used to" a higher wage and "standard of living" (IF they haven't priced themselves out of a job) - I had a college prof that called this a long long time ago. This is part of the reason we are where we are, and "standards of living" have taken a serious hit in the ol' USA. Sure, if you're coming off a farm in a primarily agrarian society, even low wages look inviting, but over time, the desire for a "better" lifestyle catches up. Then there's the OTHER side of the equation... I suspect IF there were appropriate regulatory changes (I won't go into the probable multitude of "EPA violations" involved with manufacturing which simply don't exist in these other countries), a readjustment of the "employee" mindset in the US, and a realistic effort to move manufacturing closer to the consumer (already happened in the auto industry, many Hondas, Toyotas and Kia/Hyundias are made in the US!), it could happen. Not overnight, but it can be done with the proper approach. The USA and its populace pumped out the needed huge volume of tanks, planes and all the rest required to win WWII, because the alternative wasn't acceptable. it's DOABLE, if the desire and motivation was there, but that's another story...