The 2013 financial year shows a general fall in the revenues and profit of the company. In 2011, the firm had a revenue of 108.249. The figure implies that revenues grew by 44% to reach a value of $156.508 in 2012. Consequently, net income increased by 60% and rose from $25.922 in 2011 to $41.733 in 2013. The figures above show that Apple’s revenue is growing at a decreasing rate. The situation is supposedly caused by factors such as increasing expenses, ethics and corporate social responsibility and competition from other major brands.
Apple will try to minimize the proportion of income arising from operations. As seen in the 2012 and 2013 financial years, costs substantially reduced the income applicable to shares. Reduction of expenses will be done through more outsourcing of business in areas where the costs of operations are lower. In addition to that, the company will set new standards or business terms to its suppliers to increase the quality of products and avoid delays. As Saxena and Sangeeta put it, effective outsourcing and sub-contracting is sure ways of reducing costs for the firm (154).
The reputation of the corporation in terms of ethics and CSR is not sound (Warther and Chandler 95). Apple will thus seek to address the concerns by participating in welfare programs in communities where it operates. The CSR action will be based on environmental issues, employment, sports and health. The ethical perspective will focus on fair remuneration of employees, especially in supplier firms. Moreover, Apple will track and eliminate bribery that has ravaged the company and its supplier with the interest of enhancing the corporate image of the company.
Apple faces stiff competition from major technology giants such as Samsung, Sony, Huawei and LG. The competition is intense and eats into the market share of brands such as iPhones.