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MP3 player manufactures are starting to subcontract production. For e.g. iPod, by Apple “designs its products in California, then subcontracts everything else”. The components of the iPod are not Apple components: from Sony screens to Samsung memory chips. Consequently projecting that in the next 5 – 10yrs all production will cease to be made by the company’s domestic factories.
Thus social implictaions arise on MP3 production and outsourcing which leans toward Foreign labour exploitation. With consumption and demand increaseing electronic companies are finding it harder to satisfy customer needs without increasing costs...
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