1. Apple's success is tied to its manufacturing operations in China, where it has invested heavily in building up a complex and cost-intensive supply chain.
2. More than 95% of Apple's products are made in China, and the company earns about a fifth of its revenue from the country.
3. This dependence on China has created vulnerabilities for Apple, as it faces increasing political scrutiny and pressure to diversify its production elsewhere.
The Financial Times article "How Apple tied its fortunes to China" provides a detailed analysis of how Apple's success is closely tied to its manufacturing operations in China. The article highlights how Apple has invested heavily in building up a complex and sophisticated supply chain in China, which has enabled the company to produce high-quality products at scale. However, the article also notes that this dependence on China has created vulnerabilities for Apple, particularly given the country's growing authoritarianism and strained relations with the West.
Overall, the article provides a well-researched and nuanced analysis of Apple's relationship with China. It draws on interviews with 25 supply chain experts, including former Apple executives and engineers, to provide insights into how the company has built up its manufacturing operations in China over the past decade and a half. The article also highlights some of the risks associated with this dependence on China, including political scrutiny from investors and US politicians who are calling for Apple to diversify its production away from China.
One potential bias in the article is that it focuses primarily on Apple's successes in China rather than exploring any negative consequences of its operations there. For example, while the article briefly mentions concerns about worker conditions at Foxconn factories where iPhones are produced, it does not delve into these issues in depth or explore any potential negative impacts of Apple's manufacturing operations on Chinese workers or communities.
Another potential bias is that the article presents a somewhat one-sided view of Tim Cook's role in building up Apple's supply chain in China. While Cook is credited with overseeing this process and shifting production from the US to China, there is little discussion of any potential downsides or criticisms of his approach.
Overall, however, these biases do not significantly detract from the overall quality of the article. It provides valuable insights into how one of the world's most successful companies has built up its manufacturing operations in China and explores some of the risks associated with this dependence on a single country.