Apple agrees to labour law infringements at its Chinese vendors; hires FLA to conduct independent audits – Part 2

Despite the release of a slew of reports and articles regarding the Chinese vendors, Apple’s share price remained unaffected and even soared up to $500 apiece in the recent weeks.

Eric Dezenhall, who runs a crisis communications firm in Washington, D.C., says the company has what he calls the “Apple Immunity,” said Dezenhall. “Apple consistently violates every law of crisis management to its benefit.”

Dezenhall quoted a number of examples in this regard. Late CEO Steve Jobs’ rude and abrupt manner with colleagues, his silence about his illness, the company’s secrecy about its products. Companies are supposed to be transparent about top executives’ health and the development of new gadgets. But Apple didn’t suffer at all for breaking the rules.

Washington, D.C. crisis consultant Richard Levick explained the reason why Apple always manages to sneak out of crisis like these. “Apple is not just an innovative company,” he said. “It’s a religion. People believe in Apple the way they believe in family.”

Most of the customer pool of the company is comprised of Generation Y and those who are on the verge of stepping into professional life. This demographic does not worry itself on issues like labour practices and whatnots.

Moreover, the quality of work that Apple offers overshadows every iota of criticism on labour and wages. Apple is completely in a different domain than other companies like Nike, Dell, HP, much less the oil industry.

These companies not only lose a fair share of their market cap but their reputation goes to ruins as well. Example of Nike in the 90s is in front of us. Even though the company eradicated all the problems, it still is one of major target posts for social activists.

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Posted by Usman Khalid on Feb 17 2012. Filed under Sci-Tech. You can follow any responses to this entry through the RSS 2.0. You can skip to the end and leave a response. Pinging is currently not allowed.