Professional Documents
Culture Documents
Table of Contents:
Vision Statement
1
Mission Statement
1
Background
1
Issue 1:Software and Product Launch affect on Consumers
Recommendation for Software and Product launch
Issue 2:Trust and Credibility
Recommendation for improving Trust and Credibility with Consumers
Issue 3:Government/Tax problems in Ireland
Recommendation for resolving back taxes with Ireland
References
Vision Statement
We strive to be the top consultant group that companies depend on to effectively analyze any
problem or situation and offer our expertise in finding the most beneficial solution for that
company. Our vision is to be dependable, confidential, and effective whenever our services are
rendered.
Mission Statement
At Visionary Consultant Group we believe in confidential analysis, effective breakdown of
predicaments and proactive solutions. We are direct, concise and operative. Our clients rely on
our punctuality, discretion and resolutions. We are here to aid the success of any company.
Background
(source:statista.com)
Issue 1: Removal of the 3.5mm headphone jack, causing consumers to use the lightning
headphones, an adapter, or bluetooth headphones. When using the corded headphones provided
by Apple, inc you cannot charge the phone at the same time without an adapter that is sold
separately.
(source:betanews.com)
Issue 2: Despite enhanced retina display, the picture quality is the lowest of the major
phones on the market at 750p.
Issue 3: Lightning adapter is limited. Slowest charging capabilities on the market, and no
ability for external hard drive to add storage, which is available with some competitors phones.
The culmination of these issues have left Apple with one of the more forgettable product
releases in recent memory. The real issue with the product for consumers is a lack of competitive
features to other products in the market and an increase in cost for the consumer to utilize the
new features associated with the new phone, mainly related to the headphone problem. Now we
will examine the issues that have arised from the release of the new version of the operating
system for the iPhones, iOS 10.
iOS Issues
Issue 1: Activation issues. iPhone 7 users have been experiencing a long set up issue,
about a 30-1 hour wait to start up with the new iOS download.
Issue 2: 10.02 Weakened backup security. This makes it easy for hackers to crack logins
for backups stored on a Mac or PC. Potentially guess backup passwords 40 times faster using
CPU acceleration when compared to the speedier GPU-powered cracking in iOS 9.
Issue 3: New update 10.03 only available to Verizon carriers. Unfortunately, increasing
reports argue that it does not deliver. This update is only available to iphone 7 and 7 plus. Aside
from only being available to the iPhone 7 and iPhone 7 Plus, it only makes improvements for
Verizon customers. This excludes other carriers such as T-mobile, Sprint and AT&T.
(source: alicdn.com)
(source:mophie.com)
Option A would solve the issue quicker but incur a cost for licensing. Option B may take
more time to employ but would offer less costs in the long run.
Option A: Go to your local carrier store for (1) free app if you are not with Verizon.
Option B: Wait for the latest 10.03 update to reach all carriers.
Issue 2:Trust and Credibility
Apple has always surprised their customers with new gadgets and engaging features
which is blinded the customers from the many errors this company has made. It is believed that
concerns in product quality and certain events have caused consumers to lose trust with Apple.
The company has dealt with malfunctions with Apple Maps, lack of security with Apple Pay, and
issues with privacy. Another factor that has threatened the trustworthiness of this company was
the incident with the FBI versus Apple.
Malfunctions with Apple MapsSecu
Issue 1: After the release of iOS 6 in September 19, 2012, many customers were
disappointed with the Apple Maps feature. It gave inaccurate directions and brought various bug
attacks. Many people rely on Apple Maps to reach their desired destination because they pay a
large amount of money and expect the phone to work up to the price. From harsh criticism and
experience with this inefficient feature, the stock market decreased immensely after September
2012, as you can see from the chart below:
Issue 1: There is always an issue with Apple Maps after a new operating system is
released. iOs 10 is the most recent update where Apple Maps included a feature that informs you
where your car is parked. However this feature did not work for everyone. When issues, such as
promising an improved innovative feature that fails, sparks we are seeing setbacks for Apples
dependability rate and customers lost of trustworthiness towards this company.
Lack of security with Apple Pay & Privacy
Issue 2: This feature promises confidentiality with your credit card information and a new
convenient way to pay. There is a security flaw within the system that allows an easy access for
credit card fraud. The CVV code has 1,000 different combinations where a hacker can scan
through them and re-enter the combinations numerous times without being discontinued.
Although this may put many people at risk for releasing information, Apple should be
clever enough to quickly resolve this risk factor to help with further investigation. Even
individuals with iPhones would take the risk of hack to help their fellow Americans.
Recommendations for Issue 2
After analyzing each issue causing the lost of trust and credibility from customers, we
have concluded the following recommendations that will help regain the companys
trustworthiness.
1) Since Apple Maps continues to have setbacks with this feature we
recommend a series of tests to be done before the release to million of iPhones.
2) Credit Card Fraud protection should be put into action by asking
various questions to verify the identity of the user.
3) Apple should build a strong foundation (malware protected wall)
to prevent hackers to have easy access to sensitive data.
4) The FBI incident is hard to come back from, however, Apple can
explain the positive outcomes for not using the master key.
Action Steps:
The issue at hand is the amount of back taxes Apple will be forced to pay post-appeal as
well as what is the future for Apple in any foreign deals with the EU. Future deals will be
scrutinized for loopholes due to this breach in Apple credibility in the eyes of the EU.
F. Apple must rearrange its finances. This includes looking into the schedule and
projects where assets can afford to be moved so that the company does not suffer in
production.
G. Attorneys should review where the loopholes in the deal were most visible to the
European Union and strategically plan how to avoid repercussions from such loopholes
by adding addendums and exceptions to future deals.
H. The launch and advertisement of the iPhone 8, which is Apples 10th anniversary
product, should be at a high peak to bring in more revenue to make up for the loss of
money. Promotions and deals to encourage consumers to buy more Apple products is
crucial at this point to recover revenue.
I. Create new deal and explore options of how to maintain low cost production in
Ireland or elsewhere.
References
Schoen, J.W. (2016, September 21). Apple tax bill just the tip of a $2.4 trillion iceberg. Retrieved
from http://www.cnbc.com/2016/09/21/apple-tax-bill-just-the-tip-of-a-24-trillion-iceberg.html
Cook, J. (2016, August 30). A deal made in 1991 paved the way for Apples current tax issue.
Retrieved from http://www.businessinsider.com/how-apple-managed-to-get-its-tax-deal-inireland-in-1991-2016-8?r=UK&IR=T
Leswing, K. (2016, August 30). Europe to hit Apple with its largest tax penalty ever. Retrieved
from http://www.businessinsider.com/eu-set-to-rule-against-apple-ireland-tax-structure-2016-8?
r=UK&IR=T
Sheppard, L. (2016, September 21). The EU Case Against Apples Irish Tax Deal. Retrieved from
http://www.forbes.com/sites/leesheppard/2016/09/05/the-eu-case-against-apples-irish-taxdeal/#92178547e2b5
European Commission. (2016, August 30). State aid: Ireland gave illegal tax benefits to Apple
worth up to 13 billion. Retrieved from http://europa.eu/rapid/press-release_IP-16-2923_en.htm
Apple Insider. (2016, October 17). Apple moves $9B worth of iTunes intellectual property to
Ireland. Retrieved from http://appleinsider.com/articles/16/10/17/apple-moves-9b-worth-ofitunes-intellectual-property-to-ireland
Irish Times. (2016, August 30). The Irish Times view: A damning verdict in Apple case leaves
Government with little option but to appeal. Retrieved from
http://www.irishtimes.com/opinion/editorial/the-irish-times-view-a-damning-verdict-in-applecase-leaves-government-with-little-option-but-to-appeal-1.2773307
PhillipsRichard. (2016October 5). New Report Exposes World of Offshore Corporate Tax
Avoidance. Retrieved from taxjustice:
http://www.taxjusticeblog.org/archive/2016/10/a_new_report_by_citizens.php#.WBQU5MmLjr
Z
TaylorCliff. (2016October 27). Apple expects to offset 13bn Irish tax bill by paying less in
US. Retrieved from: irishtimes: http://www.irishtimes.com/business/technology/apple-expectsto-offset-13bn-irish-tax-bill-by-paying-less-in-us-1.2846950
Caroline ODonovan (2016, February 17). FBI Clash Could Cause Apple To Lose Customers,
Says Former Homeland Security Secretary. Retrived from: buzzfeed
https://www.buzzfeed.com/carolineodonovan/apple-could-lose-customers-over-fbi-clash-arguesformer-sec?utm_term=.kwyYJwOxk#.ju5xqrMGB
The Harris Poll (2016, February 16). The Harris Poll Releases Annual Reputation Rankings For
The 100 Most Visible Companies In The U.S. Retrieved from: The Harris Poll
http://www.theharrispoll.com/business/Reputation-Rankings-Most-Visible-Companies.html
Matt Burns (2012, November 12). Apples Stock Price Crashes To Six Month Low And Theres
No Bottom In Sight. Retrieved from: TechCrunch
https://techcrunch.com/2012/11/15/apples-stock-price-is-crashing-and-the-bottom-is-not-in-sight
Parmy Olson (2016). iPhone 6 Touch Disease Threatens Consumer Trust In Apple. Retrieved
from: Forbes
http://www.forbes.com/sites/parmyolson/2016/08/24/iphone-touch-disease-trustapple/#45273de55828
Rob Lefebvre (2012, October 29). Apple Exec Scott Forstall Fired Over Refusal To Sign Maps
Apology. Retrieved from: Cult Of Mac
http://www.cultofmac.com/198797/apple-exec-scott-forstall-fired-over-refusal-to-sign-mapsapology-report
Statista (2016). Global Apple iPhone sales from 3rd quarter 2007 to 3rd quarter 2016 (in million
units). Retrieved from: Statista
https://www.statista.com/statistics/263401/global-apple-iphone-sales-since-3rd-quarter-2007/
IPhone 7 owners complain about issues with BMW Bluetooth support, Verizon LTE connections.
Retrieved October 30, 2016, from http://appleinsider.com/articles/16/09/29/iphone-7-ownerscomplain-about-issues-with-bmw-bluetooth-support-verizon-lte-connections