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COLLIN BETORI KEVIN MAYO COLLIN SHERROD DYLAN WATTS Samsung vs. Apple.

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Presentation on theme: "COLLIN BETORI KEVIN MAYO COLLIN SHERROD DYLAN WATTS Samsung vs. Apple."— Presentation transcript:

1 COLLIN BETORI KEVIN MAYO COLLIN SHERROD DYLAN WATTS Samsung vs. Apple

2 Overview of the Industry Which of these consumer electronics to you plan to purchase within the next six months? (Planning to Purchase in 2013)  41% Smartphone  36% PC  33% HDTV  23% Tablet The “Big 4”  Fewer devices  Sales are climbing

3 Apple Founded April of 1976 by Steve Jobs and Steve Wozniak Leaders in sales of “Big 4” products Largest publically traded company (2012) Employs around 80,000 worldwide Best knows for their products such as:  Mac computers  OS X and iOS operating systems  iPhone, iPad, iPod  iTunes, Maps, etc.

4 Mission Statement Apple designs Macs, the best personal computers in the world, along with OS X, iLife, iWork and professional software. Apple leads the digital music revolution with its iPods and iTunes online store. Apple has reinvented the mobile phone with its revolutionary iPhone and App Store, and is defining the future of mobile media and computing devices with iPad.

5 Samsung First created by Ling Byung-chull in 1938  Sold groceries and produced their own noodles Entered the electronics industry in the 1960’s Worlds largest manufacturer of mobile phones Sales networks in 80 countries Employs around 370,000 people worldwide

6 Samsung Vision Statement "Inspire the World, Create the Future.” Philosophy “At Samsung, we follow a simple business philosophy: to devote our talent and technology to creating superior products and services that contribute to a better global society.”

7 Samsung Com. Currently selling stock at $663 Net Income: $29,452 Profit Margin: 40%

8 Apple Inc. Currently sells stock at $572 Net Income: 37,037 million Profit Margin: 22%

9 Products Apple: iPhone iPod iPad MacBook iMac Apple TV PowerMac Mac Mini Samsung: Phones Tablets Smart Watches Televisions Cameras Computers DVD Players Memory Storage Home Appliances Light Bulbs Home Theatre/Audio

10 UN Global Compact Human Rights Labor Standards Environment Anti-Corruption

11 Human Rights/Labor Apple Chinese Sweatshops: Foxconn $1 - $2 per hour, 12 hour days Labor accounts for only 2% of iPhone costs Live on factory premises, cost 50% of wage Employee’s beaten Employee suicide Students forced to intern at factories  Largest intern program, 180,000 Child labor is present 49 workers poisoned by screen cleaner  Paid of with $15,000 Explosion kills four people

12 Human Rights/Labor Domestic employees treated extremely well Start at $9 per hour but average $11 Can make up to $17 per hour Opportunities to rise

13 Human Rights/Labor Samsung Sweatshops $1 - $2 per hour, 12 hour days High rate of cancer in employees Typically training 2 hours, 22 less than legal Employees go weeks without pay Fine employees Abuse is common

14 Human Rights/Labor After bad publicity both companies have claimed to do investigations and audits Little results have been shown Apple has brought in Fair Labor Association to make improvements Overall both companies have unethical working conditions

15 Apple Environmental Used coal to power its servers and had high estimated electricity consumption Apple in the past have included toxic components within the iPhone and other products, "withholding its full list of regulated substances" and poor policies relating to product take-back and recycling. One of its suppliers in China polluted a river so badly that it turned milk-white, Trashing tropical forests and coral reefs in Indonesia"

16 Apple Environmental Response Steve Jobs released a statement in 2007  "Apple completely eliminated the use of CRTs in mid-2006," he wrote. "A note of comparison - Dell, Gateway, Hewlett Packard and Lenovo still ship CRT displays today."  "Apple plans to completely eliminate the use of arsenic in all of its displays by the end of 2008."  "Apple plans to completely eliminate the use of PVC and BFRs in its products by the end of 2008." It stopped using arsenic, PVC and BFRs; the iPhone 3GS was free of all three Apple’s data centers are based on renewable energy

17 Samsung Environmental Samsung Electronics has admitted for the first time that it uses tin in its products that's destroying tropical forests, killing coral and wrecking the lives of communities in Indonesia In 2008, The Electronics TakeBack Coalition launched a marketing campaign attacking Samsung for not taking environmental responsibility to recycle old electronics that may contain toxic metals In June 2008, Samsung scored zero on climate change criteria in the 8th edition of “Guide to Greener Electronics” published by Greenpeace but in March they were at the top of the list

18 Samsung Environmental Response Samsung said in a statement that it is piloting a TV take-back and recycling programs in 14 U.S. states, and that it also “has numerous take-back and recycle initiatives throughout the company.” Samsung has a goal to reduce green house gas emissions In 2011 they introduced the Solar Powered Net Book – 2 hours in the sun = 1 hour of use Reusable packaging for refrigerators PVC and BFR free products – All new products are beryllium free also

19 Apple Corruption Criticized for controlling product launches Deliberately passing out misinformation in an effort to find leakers Think Secret Lawsuit - Lawsuits on “John Does” to find leaked information Gizmodo Incident - Seized computers - Improper use of law enforcement to police its patents

20 Samsung Corruption Kim Yong Chul bribing and fabricating evidence $3.3 million bribe to a judge Bank accounts illegally opened Apple vs. Samsung $1.049 billion in damages

21 Conclusion Apple is the more ethical company They have made efforts to improve working conditions, not causing cancer Business corruption is minimum and typically legal Use renewable sources for electricity Products are produced with recycled materials

22 Recommendations Treat employees better  Safe working conditions  Reasonable pay  No abuse They probably wont see any return on investment, in long term they do not have to worry about public scrutiny


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