The benefit of using the internet on the handset has provided easy access to the internet world without logging in to the laptops or desktops. Their unique styles, easy communication, and access to the world have provided great opportunities for the cellular companies to provide a variety of handsets from young teenagers to the seniors. 2018 started off with technological bombshells and saw the mobile industry is beginning to resemble the PC industry. This industry is moving faster than any other – reinventing markets, destroying inflexible business models and spawning new ones.
The participation of business in the implementation of the Sustainable Development activities is critical for innovation and employment. Mobile technology has a particularly important role to play, as an essential part of our everyday lives, our societies, and markets providing connectivity and services for billions of people around the world. Mobile technology industry sets an important example by measuring, tracking and disclosing its collective impact, helping to identify opportunities to stimulate and expand collaboration. More people than ever are connecting and using mobile services to improve their lives. Comprehensively, Mobile technology is a driving force behind the data revolution.Financial services, health information, and educational resources are just a few of the ways in which mobile technology is contributing to achieving the Sustainable Development Goals SDGs. The mobile industry is stepping up to fulfill its important role in disseminating life-saving information and supporting social and economic stability. In this report, we will be discussing Corporate Social Responsibility and Sustainability in the Cell Phone Industry related to Apple, Samsung and, Lenovo.
a. Apple Inc.
Apple Inc., often Apple is an American multinational technology and one of the leading company in the computer and cell phone industry. Their success lies in their belief in manufacturing product that the company owners can use themselves. Apple consumers consist of students, educationist, creative professionals and other users around the globe and they strive to produce superior products which are hi-tech and simple to use. In the cell phone industry, Samsung and Lenovo provide competition to Apple’s cellular product, the iPhone. Due to the brand image and customer loyalty, Apple can strive and thrive in this competitive market.
b. Samsung Group
Samsung is a South – Korean multinational technology now endeavoring in the Infotainment business – information, telecommunication, and audio & video – as well as in lifecare business. Samsung is recognized a leader in the global IT industry with about 200 subsidiaries around the world, which set them apart from the competition in manufacturing, R&D, marketing, and services with the help of local subsidiaries in respective regions while tirelessly pursuing disruptive innovation and creating values.
c. Lenovo Group Ltd.
Lenovo Group Ltd often Lenovo is a Chinese multinational technology and one of the leading company in the PC market. But when it comes to the cell phone industry, Lenovo is still not at the same maturity level as Apple and Samsung yet give them competition in the market. Currently, Lenovo is behind Apple and Samsung because it is in its brand building stage and even during this stage it has taken the direction to come in competition to the top-notch brands like Apple and Samsung. Because Lenovo understands its opportunity for the growth and expansion of its company in the direction of building brand recognition for Lenovo smartphones to increase the economies of scales.
Key Social and Environmental Issues
a. Apple Inc.
Greenpeace has had problems with Apple in the past for included toxic components within the iPhone and other products, “withholding its full list of regulated substances” and poor policies relating to product take-back and recycling. Apple continues to face criticism over its environmental record and came under fire after one of its suppliers in China polluted a river so badly it turned milk-white. Although since then Apple has made striving efforts to resolve and proactively monitor the pollution and toxic components. They still have some work left to get to the green level on the environmental scale.
b. Samsung Group
The latest issues Samsung faced was the battery burnout that affected the Galaxy Note7. Though investigations were launched across the entire manufacturing process, from distribution and storage to all phases of finished products, it took several months to come up with the reason. More than 200,000 devices were recalled and once they figured out the fault they stood behind the green approach and processed them through eco-friendly recycling service providers. Despite all these the negative feedback led the Samsung into a huge dip in sales which was overtaken by Apple for high-end phones and Lenovo, Motorola and other companies for the lower models because of distrust in Samsung which will take a lot of time to recover.
c. Lenovo Group Ltd.
Lenovo understands its new entrance in the cell phone industry but still faces many social and environmental issues. Global Supply Chain, Brand advertising, Product Characteristics, New Entrants and substitute products, and slow market share growth are a few problems that Lenovo faces. Besides the above mentioned, the major problem for Lenovo in the market is to face these issues to be sustainable in the cell phone industry. Lenovo market share declining in the first quarter of 2018 by 24%, intense competition from the well-recognized companies like Samsung and Apple, and increased buyer and seller power over price and product are the key social and environmental issues for Lenovo. Lenovo must realize its current financial standing before taking any further action from the threat of its competitors in the saturating smartphone market.
The mobile industry became the first industry to commit to the Sustainable Development Goals (SDGs). Below are few listed recommendations which could help the companies to become the leader of the industry they work in:
I. Pack more innovation: Mobiles are becoming increasingly sophisticated in how they are used and have started to access more advanced mobile-enabled services. Packing more hardware with big features can distinguish them in the market like the fingerprint sensor and face detection and dual camera to name a few. In 2016 more than 100 million new mobile money accounts were registered to reach a total of more than half a billion, allowing users to access financial services that enable them to make investments and manage expenses. There were also 500 million new users of social media on mobile to reach a total of 2.5 billion, helping promote social and political inclusion and facilitating the development of education networks.
II. IoT Big Data – To achieve this goal mobile industry needs to establish proper networking support with the telecom sector to derive its full usage. An IoT Big Data Ecosystem can encourage data sharing that will help IoT realize its full potential and encourage the development of new projects across transport, the environment, and smart cities.
III. Partnerships for the Goals – Partnerships with different entities, including the UN, will look at new business models and mechanisms to support the implementation of their goals in faster devices with limitless possibilities by engaging governments and mobile industry leaders to increase the positive social impact of mobile technologies.
IV. Improving affordability- Operators and governments will need to collaborate to address the affordability barrier to make devices more affordable to the poorest people in the world. Offering a wide range of devices can help them in reaching every segment of the population, as people can decide what to access based on their own needs and what they can afford.
However, government policies, such as taxes, fees, and levies, also directly affect the prices paid by end users. Taxation of mobile services should be aligned with best-practice principles: taxation should be broad-based, easily understandable and enforceable, and should not disincentivize industry investment. A more balanced and equitable tax structure can benefit consumers, businesses, and governments.
The cell phone industry is the fastest growing sector in the larger communications industry today. This industry is primarily engaged in the manufacturing of mobile phones, including mobile phone handsets. As of now, the cell phone industry is totally concentrated on moving forward technologically. It is one of the fastest moving industries in the world, growing alongside up-and-coming technologies and innovations, building upon the progress of “smartphones” and other phone feature and segments made in recent years. In this industry, there are three main players, Apple, Samsung, and Lenovo who have captured the market with their products. At the end of the day, it all boils down to what the customer chooses to use as their product of choice.