Section A

1) Suggest negotiation strategies which can be adopted by the two companies, Apple and

Snapcomm, that would result in a favorable situation for both. (Minimum 350 words)

Apple Incorporation is an American Mutinational Company Headquartered in California it develops consumer

electronics and softwares and considered a big tech company Apples iphone was introduced by Steve jobs in
2007 which was recievd greatly by the consumers being an internet enables smatphone and continued to bring
better smart phones till date and has been a highly grossing in the sector. On the other hand snapcomm the very
own company that provides chipsets to apple since the very beginning for iphones, apple has been a prominent
customer to snapcomm and being the same companies culture and innovation wise. They had previously got
into legal issue regarding snapcomms royalties being unpaid by apple for a very long time Apple since a long
time has not paid snapcomms lisencing fees is the obligation that they have put on Apple. Snapcomm being the
sole partner to provide chip sets to apple it has sort of monopoly in it while ther are other companies too to
whom it provides chipsets.

Following negotiations can be used :-

1. While due to patent infringement issue snapcomm ask for the $7 B compensation for all the unpaid
royalties, if apple genuinely want to retain its status and market with Snapcomm it would decide on
making some part payment as the company to decide on taking a one time payment from apple which
would be followed by further small payments to be made to snapcomms. Again this come with the trust
base between apple and the other company.But on the other hand considering the performance of apple
till date alongside snapcpmm chips has been always better and hence when they together would work on
it they might gain the highest share and become advantageous to both of the.
2. Another negotitation can stand at par that appl can make a long standing aggreemnet with snapcomms to
buy its chips and share a percent of revenue which will be beneficial to both of them .
3. Alternatively as the problem started with the issue of a unique licensing model they ashould sit down
and together form a model by presenting all the conditins into it that will be binding on both the
companies.

2) Identify the strengths and weaknesses of Apple and Snapcomm, solely basis the

information provided in the case. (Minimum 300 words)

Apple

Strengths :-

• Apples products ahev high standars in the market and preferred more than any other phones.
• The structure, Design and utility of the iphone is very sleek and neat
 • Apple Products are comparatively easy to use.
• Apple is very good at marketing its iphones looking at its customers all over the globe , it is a phone for
everyone.
• It has a very good Brand name since the inception of it.
• Iphone Is a very ahead of its time phone looking at the features it provides with.
• A loyal customer base hs always been in search of something new in the models that it provides.
• Has a well-deserved reputation for high-quality products that work smoothly. New products are generally
well-received and have a built-in purchasing base.

Weakness:-

• Apples iphones are high prices due to its wide features although some people aford it while some do
not.
• Apple has kept his hardware to himself and does not open its system to others.
• The competitiors, google with its pixel model has made a giant leap in the production and innovation
wise

Snapcomm

Strength:-

• The company with its dedicated CRM department has been able to achieve a high level of customer
satisfaction among present customers and good brand equity among the potential customers.
• It has a strong base of reliable supplier of raw material thus enabling the company to overcome any
supply chain bottlenecks.
• Superb Performance in New Markets – Snapcomm has built expertise at entering new markets and
making success of them.
• It has a brand portfolio can be extremely useful if the organization wants to expand into new product
categories.
• Automation of activities brought consistency of quality to Snapcomm products and has enabled the
company to scale up and scale down based on the demand conditions in the market.
Weakness:-

• There are a few unstable financial issues in the company it needs to manage it carefully.
• There is a limited brand recall because of weak marketing strategies. The company should focus more
on their global marketing strategies to overcome this weakness.
• The company has many stores which are outdated and need remodeling. The company needs to make
renovations not only in the stores but also in the technology.
3) State your views on Apple’s decision to switch from Snapcomm to Intel as its supplier.

(Minimum 250 words)

Snapcomm has forver been a major supplier to Apple iphone for the chipsets making the iphones a flwless
product , it is said that both the companies share same culture and innovative ideas and since snapcomm has
always adhered to iphones requiremnets. Snapcomm has forever helped apple since the very beginning in the
manufacture and they knoe all the expectation from apple regarding their iphones. Snapcomms biggest
partnership was due to end because of the patent issue and hence apple was to loose the innovative level with.
Due to its unsettlesd issue with snapcomm apple has to think for an alternate supplier and thought of intel as it
provides chipsets for laptops and mobile phones although it was worried whether intel would suffice with apple
need and the deadlines. The decision to choose intel over snapcpmm would turn up quite a good decision as
iphone would get faster and battery utilisation chips that intel has made looking at its history. Further intel tends
to work in 5G network for ehich Apple has been struggling and snapcomm does not tend to provide the same to
them proves a better chance of apple to go for intel and produce the very first 5G smartphone. Considering
Apple's A12 Bionic CPU: the chip powers some of the most advanced features in the iPhone XS and XR, like
augmented reality and face-tracking features. Or Apple's H1 chip in its latest AirPods, which helps the earbuds
sync better with your iPhone while getting a better battery life. The fact that Apple designs these in-
house means it can ensure their hardware and software work better together. Intel is a big organisation with a
big backup of employees and other matters and would need not much time to adjust with apples new ideas or
many expectations in the modernisation of iphones.

4) Suggest steps that Snapcomm can take to regain their position in the market. (Minimum

300 words)

Snapcomm is eventually heading to suffer huge loss if it loses its deal with Apple over the infringement issue,
primarily putting forwards the royalty issue was very necessary to gain the income which is being unpaid by
apple since many years. It’s said that apple and Snapcomm share ab very good culture among themselves
making them like places to work. Apple being it customers since it started manufacturing iPhone, it provided
chip sets which made the phone sleek and efficient making its way through the most popular phone overall.
Considering the innovation part, it is never left behind as we can see in each new iPhone that has ever been
made. The money put in research and development is huge given a best product of it.

Snapcomm with its wide innovative idea can now steep forwards into hardware and make its own phones by
assuring investors by putting new idea or merging with different companies. Apart from that it can start to
move ahead with marketing their product in less known places like India where very less people know of the
name because all we known the final product that is apple iPhone.
The Best they can now do is go to any other leading company like take for example Android where its cam
provides a high-speed chipset that would compete with apple alongside preparing for 5G based phones.

The world largest consign country China has to offer many handset phones like Xiaomi, Huawei, ZTE, Lenovo,
and Haier which need critical analysis so as to improve on production and usage as these are very widely used
phones and very cheap to the pocket of any age of consumers.

It should find various companies which offer then good royalty amount and increase on the earnings for them.

Section B

1) Was Greenpeace’s approach to target GAR a good move? Deliberate upon the other

potential approaches that the NGO could employ. (Minimum 250 words)

Golden Agri Resources being the top company to carter in the Palm oil industry and considering its status of
worlds largest exports and business set up world wide it is a major consumer of the resources and the major
contributor to Deforestation due to its carbon emission in the atmosphere , starting with such a company will
definitely make the big word spread across all nations and all other companies producing palm oil or related
products as it being disastrous for our biodiversity. The campaign started by this Greenpeace NGO by targeting
the companies main customers like Nestle and Burger king. The situation resulted in a loss of customers for the
company and resulting for loss of earning to it. Later the situation took a very positive turn when GAR aggredd
to develop its resources and plantation in such place where the carbon release is locked up that is HCS forests ,
hence being a very good move from Green peace.

The approaches that greenpeace can take are to spread awareness among any such company that violates any
reules or compromises on the environmental factor and strict actin should be taken against those companies not
only in the monetary form but action should be taken on the production and utilisation of such products. People
should be made aware bout all those products that are hampering the environment and to try and avoid such use
of products.

By using less stuff, eating sustainable food, and choosing recycled or certified sustainable wood products, the
movement towards zero deforestation will begin.

2) What measures could the government have taken to ensure a balance between the

economic development and environmental concerns related to palm oil cultivation?

(Minimum 250 words)

Palm oil production is a basic source of Income for people mostly in Indonesia and South east Asis , as the
usage has increased over the time and has observed it being consumed for many other sources. It being a
valuable crop also provides a good source of employment. It allows small landholders to participate in the cash
economy and often results in improvements to local infrastructure and greater access to services such as schools
and health facilities. In some areas, the cultivation of oil palm has replaced traditional practices, often due to the
higher income potential of palm oil. Also In Indonesia, rising demand for palm oil and timber has led to the
clearing of tropical forest land in Indonesian national parks. According to a 2007 report published by UNEP, at
the rate of deforestation at that time, an estimated 98 percent of Indonesian forest would be destroyed by 2022
due to legal and illegal logging, forest fires and the development of palm oil plantations. Same scenario is
observed in Malaysia which hold the second largest positin in cultivation.Other than deforestation it has
contributed in Water pollution and emission of various green house gases.

The balance has to be stabilized between such highly grossing economic product alongside we cannot
compromise on the environmental issues. Government has taken several measures to protect the environmanet
like In 2011when the government imposed a moratorium regarding issuing new permits for agricultural and
logging activity in primary forests and peat lands, recently extended till May 2019; however, the act gaines very
little effect as large areas of forest are outside its scope, and in any case enforcement has been patchy. A few
palm oil companies have been fined for their part in forest fires, but many more have escaped punishment.

Another way where such plantation can be done on land which is already cleared and where other cultivation is
not taken place. While it was observed that In Indonesia very less land is available hance many other places
overall the nation should be used.

The wide used certification scheme RSPO includes commitments not to clear primary forest, set off fires, or
plant oil palms on land whose ownership is disputed. However, environmentalists argue that such commitments
do not go far enough, as they do not ban deforestation in general.and hence new certification standards had to
be implemented with tougher standards.

3) How would GAR’s conciliatory approach to working with so many groups affect their sustainability?
(Minimum 250 words)

Golden agri resources has never doubted its sustainability considering itself as the most prominent in that state.
Taking into view its very operations and the overall business including its products usage in Indonesia and and
other countries being its plant set upin all other nations. It says it has sustainibilty in its blood. When the RSPO
standards were not taken very seriously by the GAR which it had given a commitment to greenpeace it has
powers to take down any companies membership which would eventually make the product less available in
western countries. Its work with the Indonesian Govt to work upon many new tstandards better than RSPO will
eventually act in their favour.The conciliatory approach might or might not work everytime as many groups
like RSPO has already highy standards.Just showing its take on protecting the environmanet might mot help for
a consice future. As environment is very prominent and thus it cannot be compromised on any grounds.
Sustainability is considered an integral part of their business. Because GAR understand that being a sustainable
palm oil company requires a consistent and holistic approach, in 2015 they had combined their Forest
Conservation, Social and Community Engagement and Yield Improvement policies into a single GAR Social
and Environmental Policy known as GSEP. The GSEP being a roadmap guiding them on their sustainability
journey. It is a journey they equally share with employees, smallholders, suppliers, and customers as eventually
work together to realise Golden Agri-Resources’ (GAR) vision of a sustainable palm oil industry.