Impact of Offshoring and Outsourcing in Manufacturing Mobile Parts by Apple Inc.

Running Head: RESEARCH PROPOSAL
RESEARCH PROPOSAL
Name of the Student:
Name of University:
Author Note:

1RESEARCH PROPOSAL
Table of Contents
Part A: Research proposal...............................................................................................................4
CHAPTER 1 Introduction...............................................................................................................4
1.1 Research Overview................................................................................................................4
1.2 Research problem..................................................................................................................5
1.3 Research rationale..................................................................................................................5
1.4 Research aim..........................................................................................................................5
1.5 Research objective.................................................................................................................6
1.6 Research question..................................................................................................................6
1.7 Structure of the research........................................................................................................6
1.8 Limitation of the research......................................................................................................6
CHAPTER 2 Literature Review......................................................................................................7
2.1 Introduction............................................................................................................................7
2.2 Benefits of offshoring and outsourcing.................................................................................7
2.3 Risks of offshoring and outsourcing......................................................................................8
2.4 Limitation............................................................................................................................10
CHAPTER 3 Methodology Justification.......................................................................................10
CHAPTER 4 Expected outcome...................................................................................................11
Part B: Research report..................................................................................................................12
CHAPTER 1 Introduction.............................................................................................................12
1.1 Research Overview..............................................................................................................12
1.2 Research aim........................................................................................................................13
1.3 Research objective...............................................................................................................13
1.4 Research question................................................................................................................13
CHAPTER 2 Literature Review....................................................................................................14
2.2 Benefits of offshoring and outsourcing...............................................................................14
2.3 Risks of offshoring and outsourcing....................................................................................16
2.4 Limitation............................................................................................................................17
CHAPTER 3 Methodology Justification.......................................................................................17
CHAPTER 4 Methodology Explanation.......................................................................................18
4.1 Research philosophy............................................................................................................18
4.2 Research approach...............................................................................................................18
4.3 Research design...................................................................................................................18
4.4 Data collection.....................................................................................................................18

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4.5 Sample size..........................................................................................................................19
4.6 Ethical consideration...........................................................................................................19
CHAPTER 5 Results.....................................................................................................................19
CHAPTER 6 Conclusions and Recommendations........................................................................24
CHAPTER 7 Reflections...............................................................................................................24
Reference.......................................................................................................................................25
Appendices....................................................................................................................................27
Appendix 1.................................................................................................................................27

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Topic: Impact of offshoring and outsourcing while manufacturing mobile parts by Apple Inc.
Part A: Research proposal
CHAPTER 1 Introduction
1.1 Research Overview
Due to the advent of globalisation, it becomes a pertinent aspect for the business
organisations to expand beyond the regional business orientation and establish international
business. From the research of Leonidou and Hultman (2019) it can be stated that the
business corporates realise the opportunity and potential profitability by expanding the
business globally. As a result of that the business operations becomes highly complex and it
requires profound knowledge in the supply chain of the organisation in order to facilitate
better and profitable business practice. In this regard, the notion of offshoring and
outsourcing are getting popularised in the international trade. Dyllick and Muff (2016)
opined that outsourcing is a movement of the internal operation of an organisation to a third
party. It is often seen that the business organisations sell their physical plant to a third part
vendor in order to buy back goods and services. Nelson, Rueda and Vermeulen (2018)
pointed out that the purpose of outsourcing is resembled with the practice of transactional
activities to the experts so that the parent company can put focus on its expertise. Unlike
outsourcing, offshoring is based on the geographic activities where the corporate farm
intends to import human resource from the developing world because of cheap labour.
Moreover, the production costs in the developed world are highly expensive due to the high
cost of living. Therefore, the multinational companies are often producing and assembling

4RESEARCH PROPOSAL
products in the overseas warehouses where the economy is cheaper in compare to the
developed countries. As a result of that it will facilitate strategic advantage for the
multinational companies to bring effective business practice. Offshore does not related to the
physical goods but services only. For instance, Apple, the leading mobile phone company of
United States assembles the parts in China under the agreement with Foxconn Technology. It
can be stated that the offshoring practice paves the way for Apple to reduce its production
costs but offering high quality.
1.2 Research problem
The research problem is that due to new development in the global political, social,
economic and cultural aspect it becomes a challenge for Apple Inc. to continue
manufacturing through outsourcing and offshore business activities.
1.3 Research rationale
The research rationale is associated with the fact that in globalisation it becomes
important for the multinational business companies to expand its business orientation through
outsourcing and offshoring process. It is a significant development in the context of the
global trade and business. Therefore, for Apple Inc. also it becomes an essential part to
increase its volume of manufacturing by having cost effective mechanisms through
offshoring and outsourcing.
1.4 Research aim
This research aims to identify the impact of outsourcing and offshoring while
manufacturing mobile parts by Apple Inc.

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1.5 Research objective
i. To identify the role of offshoring and outsourcing practice in manufacturing of Apple
Inc.
ii. To recommend better offshoring and outsourcing measures that will bring efficacy
into the manufacturing of Apple Inc.
1.6 Research question
i. What is the role of offshoring and outsourcing practice in manufacturing of Apple
Inc?
ii. What are recommended offshoring and outsourcing measures that will bring efficacy
into the manufacturing practice of Apple Inc?
1.7 Structure of the research
The research has an introduction part that is resembled with the discussion of aims,
objectives, research questions and the research rationale. In the next chapter is the literature
review discusses the research theme based on the empirical evidence. Based on the finding, a
research methodology will be discussed in the third chapter with clear outline of the selected
methodology with proper justification.
1.8 Limitation of the research
The research only focuses on the outsourcing and offshoring practice for influencing the
organisational performance in multinational companies. However, there are other factors also
responsible for the influencing the performance of the multinational companies.