...Brief Profile of Foxconn Technology Group (Hon Hai) Terry Gou founded Hon Hai Precision Industry Company Ltd, the anchor company of Hon Hai / Foxconn Technology Group in 1974 with US$7,500, a devotion in integrating expertise for mechanical and electrical parts and an uncommon concept to provide the lowest "total cost" solution to increase the affordability of electronics products for all mankind. Today, Hon Hai / Foxconn Technology Group is the most dependable partner for joint-design, joint-development, manufacturing, assembly and after-sales services to global Computer, Communication and Consumer-electronics ("3C") leaders. Aided by its legendary green manufacturing execution, uncompromising customer devotion and its award-winning proprietary business model, eCMMS, Hon Hai has been the most trusted name in contract manufacturing services (including CEM, EMS, ODM and CMMS) in the world. Focusing on fields of nanotechnology, heat transfer, wireless connectivity, material sciences, and green manufacturing process, besides from cooperating with the establishment of the research institution for nanotech, new material, and optical electric, Hon Hai also sets up several research centers and testing laboratories for mechanism, material, electronics to conduct the services of science research and technology development worldwide. Furthermore, Hon Hai’s devotion to develop nanotech, thermal treatment, nano measure, wireless network, environmental protection, CAD/CAE, optical plating...
Words: 459 - Pages: 2
...of Foxconn Introduction Foxconn, or Hon Hai Precision Industry Co, was founded 37 years ago in Taiwan by Terry Gou. The company initially started as a local computer component manufacturer. Over the past decades, Foxconn had been continuously growing to become the world’s largest electronic components manufacturers with the consolidated revenue of 59.32 billion US dollars in 2010. As the largest electronic manufactures, Foxconn provides electronic components to major electronic devices manufacturers across the world. Its clients include Apple, Amazon, Sony, Nintendo, Microsoft, Dell and HP. Broad Environment Sociocultural: In the past year, Foxconn’s image has been tarnished by reports of labor protests and employee suicides. These were the result of harsh working conditions, unfair wages and a lack of communication with the media. The sociocultural trend has driven Foxconn to improve its working surroundings and its impeccable image in society. In addition, Foxconn has remained highly confidential on its internal information. Today’s society has required the company to communicate frequently with external stakeholders. This foreseeable trend will require Foxconn to become a more transparent company in the future. Political: Foxconn’s manufacture sites are located in developing countries. These countries have the trend to change in laws and regulations frequently. For example, China has changed its labor regulations in recent years. In addition, Foxconn has...
Words: 2569 - Pages: 11
...Nicole An Introduction of Foxconn Case Study The organization I want to research is Foxconn Technology Group, which is an electronics contract manufacturing company. Terry Gou founded Foxconn in 1974. The major fields that Foxconn focus on are consumer electronics, digital content, automobile parts and the development of new energy resources and new materials. Foxconn owns many high-end clients worldwide, such as Google, Amazon.com, Apple Inc., Microsoft, Dell, Sony, Nokia and so on. The well-known products that the company manufactures contain iPhone, iPad, iPod, PS 3 and Wii. What’s more, Foxconn assembles 40 percent of all consumer electronics products sold in the world. From 1988, Foxconn started building factories in Mainland China. Until now, it has 13 factories in China with almost one million employees. And after several years development it has factories in Asia, Europe, and South America now. Besides those glamorous sides, Foxconn is facing many tough management challenges. As a manufactory company, Foxconn has hired a significant number of young employees (age between 20 and 25) to accomplish its huge amount of orders quickly. So, a series of problems came out. It hit the headlines following a series of suicides and fights among its workforce in recent years. Thus, Foxconn began to be noticed about its poor working environment, strict working discipline, high working pressure, corporate culture, and worker’s psychological problems. So...
Words: 349 - Pages: 2
...Have you ever heard of Foxconn Technology Group and its founder and CEO Terry Gou? It is the largest exporter out of China. Foxconn is a Taiwanese contract manufacturer employing 920,000 Chinese workers across more than 20 mainland factories. Its business is fuelled by the United States’ and the world’s hunger for high-tech gadgets and toys at rock-bottom prices, share-holders demanding solid profit margins, and workers eager to move up the economic ladder. Foxconn has been the most trusted name in contract manufacturing services. Some of the major companies Foxconn makes contracted products for include IBM, Cisco, Microsoft, Nokia, Sony, Dell, Hewlett-Packard, and Apple. If you have a PlayStation, computer, or smart phone there is a good chance that all or pat of it was made by Foxconn. It is the only manufacturer that makes the ipad and one of two producer of the iPhone. Foxconn has a plant in Houston, Texas, that employs around 1,000 workers, specializing in high-end servers for corporate clients. Gou plans to move additional automated production to the United States and shop its goods to China. Foxconn is the second largest exporter in the Czech Republic, and it also plans to expand to Slovakia and Turkey and may lead to plan to expand Brazil’s electronics industry. Gou started Hon Hai Precision Industry Company, the anchor company of Foxconn Technology Group, in 1974 at age 23 with a $7,500 loan from his mother. He has been characterised as always thinking about...
Words: 738 - Pages: 3
...1.0 Introduction Foxconn Technology Group is a multinational company for electronics manufacturing where the company headquarter is located in Tucheng, New Taipei, Taiwan. During the thirty years of development, the Foxconn scope of product has expanded and has formed series of electronic products manufacturing such as Card Readers Graphics Cards, LCD Monitors, and Power Supplies. They have become one of the largest electronic contract manufacturers working with many technology companies around the world. Even though Foxconn is one of the largest manufacturers, they are not really well-known as its size. However, in the recent years, the name of company became more aware of due to their issues on labour practices. This aspect of the company will be explored for this analysis. 2.0 The company’s background Foxcoon was established in 1974, also known as Hon Hai by Terry Geo as a manufacturer to produce plastic parts for television sets. As they started to grow larger, they have started to produce console Joystick controller through receiving orders from Atari. In 1985, Hon Hai established United States offices and successfully branded “FOXCONN”. At the same year, Foxconn entered the top 1000 companies of Taiwan. (Foxconn, 2014) In 1988, Terry Gou made a significant decision, which was to establish first factory in Shanghai China. This strategy proved to be so successful that Foxconn began to grow its business at an unbelievable speed. By 2001, Foxconn became the biggest company...
Words: 2563 - Pages: 11
...Hon Hai Precision Industry Co., Ltd. is a Taiwanese multinational electronics contract manufacturing company. It is the world's largest electronics contractor manufacturer, and the third-largest information technology company by revenue (Foxconn, 2014). Foxconn Technology Group is a high-tech enterprise which was set up in mainland China by Hon Hai Precision Industry Co., Ltd. Foxconn, the largest private employer in China, is a contract manufacturer who deals with electronics and information technology companies in North America, Europe, and Japan (Foxconn, 2014). Many people know this company because it is Apple’s foundry in China. On the back of every Apple product are the words “designed by Apple in California, assembled in China”. The apple products sold worldwide were produced by this company. However, Foxconn is famous not just because it is Apple’s foundry, but because the Foxconn suicides happened in 2010 and made the company become a center of controversy. People started to ask what was the cause of so many employee suicides within such a short time, and what role Foxconn played in these suicides. The first suicide occurred on January 23, 2010, when a 19-year-old male employee jumped from the 13th floor of the dormitory and died instantly. This incident did not cause everyone's awareness, and they treated it as a separate incident. But then in March 2010, there were three consecutive suicides, which caused the media attention. Local media reported a lot on these successive...
Words: 1744 - Pages: 7
...Foxconn Abstract Human kind has always strived for advancement in knowledge and technology. Whether it was the invention of the wheel or creation of Nano-technology, we have all grown accustom to electronic gadgets and what they do to aid our everyday existence. There is an unlimited demand for electronic devices worldwide, and Foxconn has taken the helm at providing those products. They do business with some of the leading companies internationally such as Microsoft Corp., Cisco Systems Inc., Sony, Hewlett-Packard Co., Nokia and of course Apple Inc. Foxconn serves a worldwide network of distributors and original equipment manufacturer customers in the U.S., Latin America, Europe, and Asia. Foxconn’s innovative and forward thinking has indeed launched them full bore into the international export history books. Foxconn Foxconn is one of the world leaders in manufacturing, assembling and design of electronics. Foxconn is the registered trade name of the Hon Hai Precision Industry Co., Ltd. a global leader in providing mechanical and electromechanical solutions to the communications, consumer, and computer industries. Founded in 1974, and listed on the Taiwan stock exchange in 1991, Foxconn is the largest exporter from mainland China; their market capitalization exceeds $12 billion USD (Foxconn Expands, 2005). Their sales revenues for 2010 exceeded $137 billion USD. Foxconn employs upwards of 1 million employees and is the worldwide leader in...
Words: 2242 - Pages: 9
...[pic] Foxconn ----- current issue and future forecast Table of Content Executive summary 4 Introduction 5 Overview of the company 5 Economic 7 Current Issue 7 Responding the suicide case in China in economic aspect 7 Current economic issue in Foxconn 7 Future opportunities and risk in Asia region 8 Opportunities 8 Risk 9 Recommendation 10 Political 10 Current Issue 10 Suicide case on political aspect 11 The relationship with China and Taiwan 11 Future forecast 12 Opportunity 12 Risk 13 Recommendation 13 Social 14 Current Issue 14 Current social issues in Foxconn- Suicide Case 14 DISCUSSION ON LABOR, HUMAN RIGHTS AND OHS 15 Future Opportunity and Risk 18 Opportunity 18 Risk 18 Recommendation 18 Environment 19 Current issues 19 Future opportunities and Risks 19 Opportunity 19 Risks 23 Recommendations 24 Conclusion 25 Reference 26 Executive summary This report provides the current economic, political, social and environmental issues, future opportunities and risks, and recommendations for Foxconn. There were a series of suicide incidents happened in Foxconn around 2010 which puts the company under the spotlight. The huge net deficiency in 2010 is the biggest issue in economic part. The political issues involved the...
Words: 6307 - Pages: 26
...Exploitation of Workers In China: Analyze with suicides of Foxconn Abstract As globalization affected the whole world, the contradiction between leaders and labors has become a world-wide problem. In China, a series of employees’ suicides attracted the public and media’s concentration to consider this problem. A Taiwanese electronics corporation, is acting as the protagonist in this issue and now earning an internationally notorious reputation of running sweatshops. This paper analyze the cause of ongoing trend of exploitation of workers in China with the example of Foxconn, and examine the reasons behind those suicides from the perspective of management, workers and related laws. Based on the fundamental information of China, to illustrate my own analysis about this case from ethical and legal point, and to criticize Foxconn’s management strategy, labor relations and the gaps of Chinese laws. Keywords: workers’ exploitation, China, Foxconn, suicides, management, laws Introduction In the three components of business market, producers, retailers and consumers, corporation is the most common for managers to execute economic activities. The two elements involved in corporation are employers and employees. However, when compared with employees’ welfare, managers prefer to choose maximum profit as their prime selection. In the Marxist theory, this act of utilizing and maximizing employees’ labor to gain more profit without providing them with the equal compensation that...
Words: 3522 - Pages: 15
...presence. The company picked is Foxconn Technology Group. Within the paper the reader will gain a little insight on the cultural issue that affected the organization. The issue will be defined and an overview will be provided on how the issue became an issue in the organization. Also an analysis of the ethical and social responsibility issues Foxconn dealt with as a result of being global. Lastly the paper will identify the ethical perspectives, compare the perspectives across cultures involved, and describe a viable solution for the issue that was deemed acceptable to all stakeholders. Hon Hai Precision Industry Co., Ltd., trading as Foxconn Technology Group (forbes.com) is an electronic company based in Taiwan was founded in 1974. It is the world's largest electronics contractor manufacturer, and the third-largest information technology company. Foxconn is predominantly a contract manufacturer who is also known as a made to order manufacturer. Their clients include American, European and Japanese electronics and information technology companies. Products invented by this company are BlackBerry, iPad, iPhone, Kindle, PlayStation 4, Xbox One, and the Wii. The cultural issue that affected Foxconn’s interactions outside of the United States is the controversies that plagued the company in concern to how it manages employees in China. There has been a history of suicides in its factories blamed on working conditions. In January 2012, about 150 Foxconn employees threatened to commit...
Words: 816 - Pages: 4
...Industrial Relations in China :A Case Study of Foxconn Suicides Abstract As globalization affected the whole world, the contradiction between leaders and labors has become a world-wide problem. In China, a series of employees’ suicides attracted the public and media’s concentration to consider this problem. A Taiwanese electronics corporation, is acting as the protagonist in this issue and now earning an internationally notorious reputation of running sweatshops. This paper analyze the cause of ongoing trend of exploitation of workers in China with the example of Foxconn, and examine the reasons behind those suicides from the perspective of management, workers and related laws. Based on the fundamental information of China, to illustrate my own analysis about this case from ethical and legal point, and to criticize Foxconn’s management strategy, industrial relations and the gaps of Chinese laws. Keywords: workers’ exploitation, China, Foxconn, suicides, inustrial relations 1. Introduction 1.1 Background and significance of the topic With the rapid development of Chinese economy and the increasing globalization of business competition, the various types of enterprises in China have been booming development, rapid increases in the number and size of foreign investment in China to hire to do business, and further reform of state-owned enterprises increase, the private sector, the number and the number of employees of private enterprises in recent years, is also...
Words: 1432 - Pages: 6
...money or reduce investments into robotics. You have been hired to conduct an environment analysis using case materials, library research and electronic data sources. Your presentation must demonstrate clearly the rationale, motives and implications of your decision, as well as how and why such as strategy is to be carried out by the business. You will be expected to engage with the literature discussed in class and specified in your reading list. Topic: Over the past decade, multinational firms have pursued various diversification strategies. One of these firms is Foxconn, the world’s largest electronics manufacturing firm, which in 2015 put to use more than 30,000 robots. Thousands of these are at its factory in Chengdu that has fewer than 100 workers (for more info see the enclosed text from the Economist). For this assignment you are required to examine the business environment and the operations of Foxconn that led to its investment into robotics. Please pay attention to the competitive landscape in the electronics manufacturing services industry (in particular Foxconn’s relationship to Apple) as well as political and social environment in China (such as labour practices and the peculiarity of migrant workers). Marking: Next to the content of your...
Words: 1223 - Pages: 5
...Apple’s new leader faces ethical dilemmas at Foxconn As Tim Cook picks up the leadership of Apple from Steve Jobs, he faces a significant ethical dilemma in Wuhan in a supplier’s company where workers threaten suicide in protest over their working conditions THIS DEVELOPING STORY IS BEING UPDATED REGULARLY. ADDITIONS ARE AT THE END OF THE ORIGINAL POST by Paul Hinks Articles recently reported that Tim Cook (Apple’s new CEO) earned $378m in 2011. He inherited a global technology juggernaut, renowned for its creativity and innovation; a business with $90 billion in cash reserves (The Guardian). Yet there are serious problems at one of its key suppliers, Foxconn, where a recent mass suicide threat posed an ethical dilemma facing Apple and its new leader. The Telegraph reported [11th Jan 2012]: Around 150 Chinese workers at Foxconn, the world’s largest electronics manufacturer, threatened to commit suicide by leaping from their factory roof in protest at their working conditions. The workers were eventually coaxed down after two days on top of their three-floor plant in Wuhan by Foxconn managers and local Chinese Communist party officials. Not all measures should be financial A lot of organisations highlight in their annual reports the progress they’ve made against various Corporate Social Responsibility (CSR) metrics. Very commendable, but it’s important to dig deeper beyond the glossy brochures and corporate fanfare. Increasingly social-economic factors come in to play...
Words: 1541 - Pages: 7
...FOXCONN ANALYSIS A startling 17 young workers attempted or committed suicide at the Foxconn production facilities in China between January and August 2010 attracted worldwide attention. This article looks at the historical development of Foxconn Technology Group as a case to reveal the advent of rapid capital expansion in China and its impacts on Chinese workers’ lives. It also provides an account on the social and political origins of the advent of monopoly capital in China through a detailed study of Foxconn production expansion. As a legend of capital expansion in manufacturing industry, Foxconn is important and typical of its speed and its scale in the process of capital accumulation on all regions of China. We attempt to look at this miracle of capital by understanding the enigma of global capital, the nature of the transformative state, and the Chinese growth model that results in rapid capital expansion but precarious working conditions of workers. At stake, we argue that under the global competition context a strong political regime with a divided nature and the making of an unfinished working class contributed to the advent of monopoly capital and the tragedy of working lives. The third stage is the advent of monopoly of capital by merging as well as by relocating their production facilities in all regions of China by particularly tapping into China’s go-west development strategy in the 2000s. The suicide wave in 2010 created a strategic moment when it further expanded...
Words: 1310 - Pages: 6
...deliver this holiday season, exactly at the same time, about one million of young people were working under awful conditions such as long hours, low wages and abusive and military-style management, in order to assemble with the highest productivity rate these exciting new devices. This is happening every day at the Foxconn plant in China. Foxconn, a Taiwanese company founded in 1974, in the past decade has gone from being one of many invisible firms in the electronics supply chain to the world champion of flexible manufacturing. Foxconn, the trading name of Hon Hai Precision Industry, is the world’s largest electronics contract manufacturer with ‘annual revenue of $131.6 billion in 2013’ ("Foxconn Hon Hai Income Statement," 2015). It is most widely known as Apple’s largest supplier. Figure 1. Foxconn Hon Hai Precision Industry Co. Income Statement Although the company had an incredible economic growth, its reputation is one of the worse in the whole globe; Foxconn has been notorious for harsh and dangerous working conditions and very high suicide rates. The purpose of this paper is to analyze relevant environmental, measurement, and social data for Foxconn and recommend a strategic plan to help the organization to improve to the triple bottom line, Profit, People...
Words: 1927 - Pages: 8
