To cut it short, there are many points why China is no safe haven for technology moguls, high tech investors or workers. Here are some. Read on and decide for yourself:
1) Chinese Court Orders Apple to Pay Writers For Unlicensed Copies of Work
A Chinese court has ordered Apple to pay $165,000 to 8 Chinese writers and 2 companies because Apple has violated the writers’ copyrights by distributing their work from the company’s online store. An Apple spokeswoman, declined to say whether the company would appeal.
2) The Cult of Apple in China
– Rural migrants are paid about $15 to purchase iphones and then hand them to scalpers who would sell them at inflated prices. Migrants do this to buy themselves breakfast or another few days in the city. When the Apple store cancelled the sale, eggs started to smash the windows.
– Iphone sales dipped in America, in contrast to China.
– It’s a signifier of success and easy status symbol of rich people.
– Other Western companies are trying to market share in China by producing local customer’s preferences like skin-whitening cream. Apple is selling the unique product. Also the idea of personalizing it by apps and photos work. (Ex: Yang Xi a 29 years old who lives in Beijing has 2 apple laptops, 7 ipads, an iphone and an ipad.)
– It costs more to buy in China than in US. That is why it’s a luxury product.
– Apple stores face fierce competition from unauthorized outlets. The fake Apple stores use Apple icons, minimalist wooden furnitures and the t-shirts of employers. Last year 22 stores closed because they were illegally using the Apple logo.
– China warns Apple about taking care of the workers and not violating their rights. Tim Cook toured China to inspect where labor violations are occurring. There were violations of safety and over time. They promised to boost salaries and cut back hours without penalizing workers. Apple didn’t list the companies who were guilty in its public report, even though they claim that they are transparent.
– An electronics maker company named Foxconn, which works with Apple has accidents a lot. They are one of the largest employers in China. The workers don’t stand back in their criticisms: labor abuses, long hours, boredom, chemical smells that triggered headaches.
3) Apple and China – time for a new PR strategy?
Apple hasn’t attended exhibitions like Europe’s IFA and Steve Jobs made sure that everyone understood that talking to the media or any outsider without his permission was a sacking offense. And even when there is an opportunity to talk, the company’s PR minders are determined not to let reporters go “off topic”. Mr. Cook os more open with press but he has been half transparent on the issue of Chinese workers and employers.
4) Apple Ensnared in Chinese Patent Fight Over Siri
Siri is believed to have been built using technology licensed from Nuance Communications. While Apple owns Siri, the voice-activated personal assistant app, the Chinese company claims its patent was applied for in 2004 and was granted in 2006. Siri appeared first on the iPhone in fall 2011. The company hasn’t asked for money.