Yuwei Wei's Blog

Link to classmate Chris Williamson’s Blog Post: https://blogs.ubc.ca/sauderchriswilliamson/2012/09/12/world-trembles-over-iphone-5-apple-employees-tremble-for-other-reasons-all-together/

I was completely shocked to hear about Apple’s controversial treatment of their employees. One would think a company creating products as advanced as Apple does would be just as advanced in their philosophies on labour rights.

I agree fully with Chris’s views on this issue. Behind all of Apple’s sleek products, which seem to be the definition of “modern,” there lies an ugliness experienced only by those manufacturing its products – those who may never get the opportunity to use a Apple product in their lifetimes.

Ethics and profit do not have to be on opposite sides of the spectrum – it’s not about sacrificing one for the other. Take Toms for example. This shoe company has started a footwear revolution with the best of intentions: each pair of shoes purchased is matched with a pair for a child in need. Employee training goes beyond the mechanics of making shoes; each employee is trained to become a global citizen. This is business with ethics in mind.

http://www.toms.com/manufacturing-practices

Toms has started a footwear revolution.

Why is it that to most, the Apple logo symbolizes a new generation and transformation rather than inhumane practices, money-prioritizing, and controversy. What has Apple done so RIGHT that they can escape explosive public controversy that other great companies like Nike (http://www.stanford.edu/class/e297c/trade_environment/wheeling/hnike.html)  have not been able to?

http://www.quickmba.com/marketing/ries-trout/positioning/

According to this article, advertisers need to 1)Be the first and make a good impression 2) If you’re not first, find another category where you CAN be first 3)Be consistent with customer perceptions.

While there are several brands of bottled water on the market, Evian has chosen to distinguish itself from the pack by marketing as LUXURY bottled water – with the power to indulge youthfulness and health. In a choice that may seem silly (how can WATER be luxurious?), Evian has sidestepped the competition altogether (simultaneously pushing them into the category of “regular bottled water” – repositioning the competition), by creating its own category where it is number one.

Evian has distinguished itself from “regular” bottled water brands like Dasani and Aquafina.

Maintaining consistency in their brand has helped Evian remain first in their category. All of their commercials exude a clean and clear feel with a single message in mind – this high end brand will make you healthier, more energetic, and younger.

https://www.youtube.com/watch?v=XQcVllWpwGs

And while some might cringe at the relative price of this luxury bottled water, the key is once again consistency – making Evian cheaper destroys the image of exclusivity.

But in order to be DIFFERENT, one must first be the SAME.Evian first establishes that it has the same points of parity as Aquafina: offering the convenience and safety of bottled water, before it offers it’s points of difference: it’s high quality and prestige.

An article titled “Teaching Kids to Consume” (http://business-ethics.com/2012/03/25/9299-teaching-kids-to-consume/) delves into the disturbing, yet increasingly popular, commercial exploitation of children. With goals of capturing “young demand,” ads targeting children are now found on school buses. In fact, American companies spend $17 billion dollars annually on ads specifically catered to children – 150s times more than a few decades ago.

What is truly troubling, however, are the longterm effects of constant advertisement exposure. Studies show that this new world produces children who struggle with materialism and obesity, as well as depression, anxiety, and violence.

Upon reading this article, it is easy to blame corporations for their insensitivity and the means through which they bombard vulnerable society members. However, one must  realize that they are simply doing their jobs – and doing them well too. They have spotted the most impressionable target market and have set out to build relationships and loyalty. And although their motives may be insincere – although ethically they may be committing wrong – they are not doing anything illegal.

It is the responsibility of the parents or the role models of these children to teach them to be cautious and analytical – to avoid simply absorbing advertisement, but to question it and challenge it.

In what seems like an almost ridiculous finding, children are having trouble recognizing wildlife species like this sea turtle.

However, they seem to have no trouble recognizing this pokemon.

Can government enforced laws change a way of life?

http://www.theglobeandmail.com/news/world/russias-vodka-drinkers-get-new-year-headache/article1206543/

The Russian government is trying (in vain) to change a CULTURE by enforcing a minimum price for liquor. It does this out of concern for its citizen’s health, however, the only thing it’s accomplished is angering the very people it is trying to help.

The Russian culture is cemented on celebration and traditions – especially during the holidays. Doubling liquor prices won’t change the conventions of the majority. Similarly, the rise in gas prices didn’t prompted the majority of truck-owners to switch to more fuel efficient vehicles (http://www.td.com/document/PDF/economics/special/dc0512_fuel_efficiency.pdf).

An Economic Perspective:
Liquor – like gasoline – has an inelastic demand curve. This means that even a large increase in prices yields only a small decrease in quantity demanded. Why? Because to Russians, liquor is a staple, a must-have with no substitutes available.

Even as prices rise from P2 to P1, quantity demanded drops relatively less, from Q2 to Q1.

Does it not make more sense tackle the root of the problem? To invest time and energy into changing an education system? To educate youth about the dangers of alcoholism is to build a new foundation for future generations – future generations that value culture but also understand the importance of physical wellbeing.

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