Foxconn Entry Model Case Study

Executive Summary

Foxconnis a well-known company in the world as the world largest electronic manufacturing corporate, and it is famous with manufacturing and assembling the electronic devices in the world.B Lab “is a nonprofit that serves a global movement of entrepreneurs using the power of business to solve social and environment problems” (Bcorporate, 2014). Our group uses the B lab impact assessment to estimate Foxconn’s CSR performance in terms of governance, workers, community, and environment. We found that its CSR impact on workers is the greatest weakness and its CSR impact on environment is the best. Also, we try to design some action plan to help Foxconn achieve its goals and objectives on CSR. In addition, both our group members and the manager from Foxconn, who responses and helps our completing this assessment, are aware of some weakness in CSR that we never considered about.

Introduction and Description of the Company

Introduction

The audit report introduces the business sustainability for Foxconn. In recent years, many employees in Foxconn committed suicide through jumping from the company’s buildings. The primary reason is the high work pressure and low wages, which has negative influence to the CSR of the corporate. The report will describe the general information about Foxconn. In addition, the SWOT is going to make assessment of the CSR in Foxconn. Next section, the project is going to recommend some suggestions and plans to improve the corporate CSR.

Description of the Company

Foxconn is found in 1974, andthe headquarteris in Taipei. It develops to be a well-known company in the world in a fast speed. Today, Foxconn is becoming the world largest electronic manufacturing corporate and it is famous with manufacturing and assembling the electronic devices in the world. The clients of Foxconn are from America, Europe and Japan (Wikipedia, 2014). There are around 1 million employees who are working in Foxconn and it also has 13 factories in 9 cities in China.

Nowdays, many news and media report that the employees in Foxconn have poor work conditions and they are decimated by senior managers. Moreover, in order to improve the competitive advantage, “Foxconn defines company products as Speed, Quality, Engineering Service, Flexibility and Monetary Cost Saving” (Foxconn, 2014). As a result, the corporate culture leads to the employees work with high pressure.

On the other hand, Foxconn is pride of its hardworking corporate culture (Foxconn, 2014), which is the primary successful factor for the company. However, the corporate does not focus on protecting the employees’ labor right, which caused many employees committed suicide several years ago. After that, Foxconn has built the standard wages for the employees to protect their labor right.