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Subject :Marketing Management

Name :Khushbu Shah

Hewlett-Packard Company

Type Traded as Industry

Public company NYSE: HPQ Dow Jones Industrial Average Component Computer hardware Computer software IT consulting IT services Palo Alto, California (1939) Bill Hewlett David Packard Palo Alto, California, US Worldwide Raymond Lane (Chairman) Lo Apotheker (President & CEO) Computer Monitors Digital Cameras Enterprise Software Indigo Digital Press Mobile Phones Networking Personal Computers and Laptops Personal Digital Assistants Calculators Printers Scanners Servers Storage

Founded Founder(s) Headquarters Area served Key people Products

Hewlett-Packard Company (NYSE: HPQ), commonly referred to as HP, is an American multinational information technology corporation headquartered in Palo Alto, California, USA. The company was founded in Palo Alto byBill Hewlett and Dave Packard. Now it is one of the world's largest information technology companies, operating in nearly every country. HP specializes in developing and manufacturing computing, data storage, and networking hardware, designing software and delivering services. . Major product lines include personal computing devices, enterprise, networking products, software and a diverse range of printers, and other imaging product. HP-Markets its products to households, small- to medium-sized businesses and enterprises directly as well as via online distribution, consumer-electronics and office-supply retailers, software partners and major technology vendors. HP's posted net revenue in 2010 was $126.3 billion, in 2009 net revenue was $115 billion, with approximately $40 billion coming from services. In 2007, HP's revenue was $104 billion, making HP the first IT company in history to report revenues exceeding $100 billion. In 2008 HP retained its global leadership Also HP position in inkjet, laser, large format and multi-function printers market, and its leadership position in the hardware industry. became No.2 globally in IT services as reported by IDC & Gartner.

Apple Company

Type Traded as

Public NASDAQ: AAPL NYSE: AAPL NASDAQ-100 Component S&P 500 Component Computer hardware Computer software Consumer electronics Digital distribution April 1, 1976 Steve Jobs Steve Wozniak Ronald Wayne[1] Apple Campus 1 Infinite Loop Cupertino, California, U.S. 317 retail stores(as of October 2010)[2]


Founded Founder(s)

Headquarter s

Number of locations Area served Key people

Worldwide Steve Jobs (Chairman and CEO) Tim Cook (COO and Acting CEO)


Products list[hide] Mac iPod iPhone iPad Apple TV Mac OS X iLife iWork


iOS Services list[hide] Apple Store Apple Store online App Store iTunes Store iBooks MobileMe

Revenue Operating income Profit Total assets Total equity Employees Website

US$ 65.23 billion (FY 2010)[2] US$ 18.39 billion (FY 2010)[2] US$ 14.01 billion (FY 2010)[2] US$ 75.18 billion (FY 2010)[2] US$ 47.79 billion (FY 2010)[2] 49,400 (2010)[2]

Apple Computer, Inc. is an American computer technology corporation headquartered in Cupertino, California. Apple Inc; previously Apple Computer, Inc.) is an American multinational corporation that designs and markets consumer electronics, computer software, and personal computers. The company's best-known hardware products include theMacintosh line of computers, the iPod, the iPhone and the iPad. As of October 2010, the company operates 317 retail stores in ten countries, and an online store where hardware and software products are sold. As of August 2011, Apple is one of the largest companies in the world by market capitalization and the most valuable technology company in the world, ahead of Microsoft. Established on April 1, 1976 in Cupertino, California, and incorporated January 3, 1977, the company was previously named Apple Computer, Inc., for its first 30 years, but removed the word "Computer" on January 9, 2007, to reflect the company's ongoing expansion into the consumer electronics market in addition to its traditional focus on personal computers. The company has also received widespread criticism for its contractors' labour, environmental, and business practices.

HP Company
Bill Hewlett and Dave Packard graduated in electrical engineering from Stanford University in 1935. The company originated in a garage in nearby Palo Alto during a fellowship they had with a past professor, Frederick Terman at Stanford during the Great Depression. Terman was considered a mentor to them in forming Hewlett-Packard.

"The new Hewlett-Packard 9100A personal computer is ready, willing, and able ... to relieve you of waiting to get on the big computer."

HP incorporated on August 18, 1947, and went public on November 6, 1957. From the 1940s until well into the 1990s the company concentrated on making electronic test equipment: signal generators, voltmeters, oscilloscopes, frequency counters, thermometers, time standards, wave analyzers, and many other instruments. HP partnered in the 1960s with Sony and the Yokogawa Electric companies in Japan to develop several high-quality products. In 1984, HP introduced both inkjet and laser printers for the desktop. Along with its scanner product line, these have later been developed into successful multifunction products, the most significant being single-unit printer/scanner/copier/fax machines.

In the 1990s, HP expanded their computer product line, which initially had been targeted at university, research, and business users, to reach consumers. On September 3, 2001, HP announced that an agreement had been reached with Compaq to merge the two companies. HP has successful lines of printers, scanners, digital cameras, calculators, PDAs, servers, workstation computers, and computers for home and small business use; many of the computers came from the 2002 merger with Compaq. HP today promotes itself as supplying not just hardware and software, but also a full range of services to design, implement, and support IT infrastructure.

Apple was established on April 1, 1976 by Steve Jobs, Steve Wozniak, and Ronald Wayne,[1] to sell the Apple I personal computer kit.
The Apple I, Apple's first product, was sold as an assembled such as circuit a board and lacked basic features keyboard, monitor, and case.

By the end of the 1970s, Apple had a staff of computer designers and a production line. The company introduced the ill-fated Apple III in May 1980 in an attempt to compete with IBM and Microsoft in the business and corporate computing market. In 1984, Apple next launched the Macintosh. Its debut was announced by the now famous $1.5 million television commercial "1984". Having learned several painful lessons after introducing the bulky Macintosh Portable in 1989, Apple introduced the PowerBook in 1991, which established the modern form factor and ergonomic layout of the laptop computer.

The Macintosh Portable was Apple's first "portable" Macintosh computer, released in 1989. At the 1997 Macworld Expo, Steve Jobs announced that Apple would join Microsoft to release new versions of Microsoft Office for the Macintosh, and that Microsoft made a $150 million investment in non-voting Apple stock. In 19982005: Return to profitability. The Intel transition At the Worldwide Developers Conference keynote address on June 6, 2005, Steve Jobs announced that Apple would begin producing Intel-based Mac computers in 2006. 20052007:

2007present: iPhone and iPad

The current iPod family, featuring the iPod Shuffle, iPod Nano, iPod Classic, and iPod Touch. After Apple Inc. surpassed Microsoft in market capitalization in 2010, it also become the most valuable consumer-facing brand in the world with an 84 percent increase to $19.1 billion.



Apple I
The original logo with Isaac Newton under an apple tree.

Apple II
The rainbow "bitten" logo, used from late 1976 to 1998.

Apple III
The monochrome logo, used since 1998.
It develops, sells, and supports a variety of electronic products including personal computers, portable media players, computer software, and computer hardware accessories. The company's most well known products include the Macintosh line of personal computers, the Mac OS X operating system, the iPod portable music player, and the iTunes Music Store. Apple Computer's desktop and laptop computers include its Mac mini, iMac, and MacBook for the consumer and education markets, and more powerful Power Mac and MacBook Pro for high-end consumers and professionals involved in design and publishing. Although computers make up the largest share of total sales (45 %), music-related goods have increasingly become important part of Apples total revenue. The main reason for this has been the world wide popularity of the iPod.

In 2005 Apple employed 14,800 people. In the same year its total sales were almost 14 billion and net income 1.4 billion.

Comparison Of Companies (HP Vs. APPLE)

Apple Vs Hewlett-Packard


HP: Bill Hewlett and Dave Packard found HP Jan. 1, 1939 in a garage in Palo Alto, Calif. APPLE: Steve Jobs and Steve Wozniak incorporate Apple on April Fool's Day, 1976. Although the company's first computers were tested and debugged in Wozniak's Cupertino, Calif., apartment and his cubicle at HP in Cupertino, Calif., the final assembly and testing took place in Jobs' garage in Los Altos, Calif.


HP: Both Bill Hewlett and Dave Packard essentially remained with HP their entire working lives. APPLE: Steve Jobs left Apple in 1985 but made a triumphant return in 1996. Contrary to popular belief, Steve Wozniak has never officially left Apple and, according to his Web site, he plans on "keeping my small salary forever as a loyal employee."


HP: The Walt Disney Co. orders oscillators from HP to test recording equipment and speaker systems in theaters that show Fantasia in 1940. APPLE: Steve Jobs' Pixar partners with Disney for the distribution of animated films such as Finding Nemo and most recently The Incredibles.


HP: Dec. 31, 2003 close: $22.53* Dec. 31, 2004 close: $20.89* -7.28% APPLE: Apple: Dec. 31, 2003 close: $10.69* Dec. 31, 2004 close: $32.20* +201.22% * adjusted for dividends and stock splits.

Marketing Strartegy of Apple company of electronic product . Apples companys marketing strategy includes :1.Product
MacBook Air, Mac Mini, Xserve


Portable Computers including Mac products such as Mac Book Pro, iMac,

Servers including Xserve, Xsan, MacOS X Ser, MobleMe. Accessories including MagicMouse, Keyboard, Led Cinema Display. iPod including iPod Shuffle, iPod Nano, ipod Classic. iPhone including iPhone3GS, iPhone3G, iPad. iTunes including movies, TV shows, audio books, games. Periphal products including Printers, Storage devices, digital videos and cameras

2. Price
Apple is a premium brand computer that does not attempt to compete on price. The company has reduced prices after some initial product launches. It uses skimming and preimuim pricing strategies. The AppleiPad is priced at a minimum of $499. The Apple iPhone costs begin at $99. The Apple iPod Classic is priced starting at $249. The Apple iPod Nano costs $149. The Apple Mac Book costs $999.

In 2009 Apple announced a reduced cost pricing structure for iTunes - songs will cost 69 cents, 99 cents or $1.29. He said the "vast majority" of the songs will cost 69 cents. Changes are said to be a response to a slower pace of music downloads.



Apple, Inc Headquarters are located at is located at 1 Infinite Loop, Cupertino, California. Apple service providers are certified technicians, who complete regular Apple training and assessments, and offer repair services, and exclusive access to genuine Apple parts. Apple has over 200 retail stores worldwide including the US, UK and Canada. Apple recently opened a new retail store in Shanghai China. 4.Promotion 1.Apple, Inc offers special discounts on refurbished MacIntosh computers, iPod Nanos, and the 8GB iPod Touch. In each case a 1 year warranty is included on the all products. 2.Apple, Inc authorized Training Centers are located throughout the U.S. each provides instruction in Mac systems, Mac OS X, and Apples professional applications. 3. The Apple Consultants Network website provides a search tool allowing visitors to locate nearby certified Mac product consultants in the U.S, Canada, and a number of international locations.

Marketing strategy of HP Company

We can organize the many marketing mix decisions (review Exhibit 28) in terms of the four Ps :-Product, Place, Promotion, and Price. Thus, the nal strategy decisions are represented by the target market surrounded by the four Ps. However, the idea isnt just to come up with some strategy. After all, there are hundreds or even thousands of combinations of marketing mix decisions and target markets (i.e., strategies) that a rm might try. Rather, the challenge is to zero in on the best strategy. Process narrows down from broad opportunities to specicstrategy. The process starts with a broad look at a marketpaying special attention to customer needs, the rms objectives and resources, and competitors. This helps to identify new and unique opportunities that might be overlooked if the focus is narrowed too quickly. Segmentation helps pinpoint the target :-







In other words, segmentation helps a manager decide to serve some segment(s)subgroups of customersand not others. A marketing mix must meet the needs of target customers, but a firm isnt likely to get a competitive advantage if it just meets needs in the same way as some other firm. So, in evaluating possible strategies the marketing manager should think about whether there is a way to differentiate the marketing mix. Differentiation means that the marketing mix is distinct from and better than what is available from a competitor. As suggested above, differentiation often requires that the firm fine-tune all of the elements of its marketing mix to the specific needs of a distinctive target market. Sometimes the difference is based mainly on one important element of the marketing mix say, an improved product or faster delivery. Differentiation is more obvious to target customers, though, when there is a consistent theme integrated across the four Ps decision areas. That emphasizes the difference so target customers will think of the firm as being in a unique position to meet their needs. In this chapter, well introduce concepts relevant to this sort of positioning.

Supply Chain Of HP Company of Electronic Product In Market

According to HPs website, the company operates the IT industry's largest and most complex supply chain. More importantly, over the last 5 years HP has gone through a massive consolidation and rationalization of its supply base reducing the total number of suppliers from thousands to hundreds of which only a small portion. The figure below shows major locations of HP product materials, components and services suppliers. HP buys roughly $53B of electronics products. Comment HP: HP historically manufactured its own products into the early 1990s when it began outsourcing to major North American based Contract Manufacturers . HP sells more than 60% of its products to markets outside the United States making it a truly global company that addresses markets where time to market is increasingly crucial. After the year 2000, much of the personal computing marketplace began to rely to a large extent on several Taiwanese based suppliers with factories in China, including Foxconn (one of the largest contract manufacturers worldwide) . offset some of the potential disadvantages of the concentrated sourcing approach, HP initiated the supplier diversity program to ensure that under-represented businesses, such as small, minority-owned, women-owned, and veteran-owned businesses, have equal opportunities to become HP suppliers and resellers. COMPETITION The Personal Systems Group competes with Apple company for the supremacy in the global PC market and uses many of the same suppliers. Following HPs acquisition of Compaq Computers in 2002, the company sells both HP and Compaq-branded products

A significant part of the growth is attributable to HPs merger with Compaq in May 2002. In 2001,Compaq's annual revenues were roughly $40 billion. HP employs about 150,000 people at more than 940 sites in more than 170 countries.

Supply Chain Of Apple Company

Most of the Apples products are manufactured in whole or in part by third-party manufacturers. In addition, the company has outsourced much of its transportation and logistics management. Final assembly of products sold by the company is currently performed in the companys manufacturing facility in Cork, Ireland, and by external vendors in Fremont, California, Fullerton, California, Taiwan, Korea, the Peoples Republic of China, and the Czech Republic. Currently, manufacturing of many of the components used in the companys products is performed by third-party vendors in :- Taiwan, China, Japan, Korea, and Singapore. In its annual report, Apple indicades that the following suppliers are essential for its business: Agere Systems, Inc., IBM Corporation, Intel Corporation, International Display
Technology, Inventec Appliances Corporation, LG. Phillips Co., Ltd., Matsushita, Mitsubishi Electric Corporation .

Although computers make up the largest share of total sales (45 %), music-related goods have increasingly become important part of Apples total revenue. The main reason for this has been the world wide popularity of the iPod.

Corporate social responsibility (CSR) is also often referred to as business responsibility and an organisation's action on environmental, ethical, social and economic issues.
CSR can be described as an approach by which a company does the following: Recognises that its activities have a wider impact on the society in which it operates, and that developments in society in turn impact on its ability to pursue its business sustainably. Actively manages the economic, social, environmental and human rights impact of its activities both locally and across the world, basing these on principles which reflect both international values and the organisations own values (ethics), reaping benefits for both its own operations and reputation as well as the communities in which it operates. Seeks to achieve these benefits by working closely with other groups and organisations local communities, civil society groups, other businesses and home and host governments.

As CSR is all about values and accountability then it is also about the behaviour of your people and the behaviour of your suppliers. In this sense virtually everything that is found within the HR remit - from training, recruitment, staff retention, policies, procedures and strategy - involves CSR.


Apple does not publish a separate CSR report. It also does not provide a glossy annual report for its shareholders. Instead one can download a copy of the Form 10-K, the annual report required by the U.S. Securities and Exchange Commission. The 10-K includes information such as company history, organizational structure, executive compensation, equity, subsidiaries, and audited financial statements, among other information. However, in the case of Apple, it does not contain information on CSR issues. In this respect two documents are relevant: (1) Ethics, Apples company code of conduct, which deals, among others with corporate governance, information disclosure, environmental health and safety, and procurement; (2) The Apple Supplier Code of Conduct, which in particular deals with working conditions of suppliers. Also the Apples website contains CSR information. Apple is committed to ensuring the working conditions in Apples supply chain are safe, that workers are treated with respect and dignity, and that manufacturing processes are environmentally responsible. Apples suppliers are obligated in all their activities, to operate in full compliance with laws, rules and regulations of the countries in which they operate.11 Human and Labour Rights Policies With respect to social policies, the Apple Supplier Code of Conduct contains the following parts. Only where the code substantially differs from the EICC further explanation is given. Labour and Human Rights _ Discrimination: The EICC includes a sentence which argues that workers should not be subjected to medical tests that could be used in a discriminatory way. The Apple Code of Conduct includes a similar sentence but is more specific by mentioning that suppliers may not require pregnancy tests. _ Harsh treatment and harassment _ Involuntary labour _ Child labour _ Working hours: it seems that the Apple Supplier Code of Conduct is more

elaborate than Environmental Policies

The Apple Supplier Code of Conduct includes the following parts on environmental policies:
_ Wastewater and solid waste emissions: the Apple Code specifically states

that wastewater and solid waste should be treated as required by applicable laws. The EICC is more general on this issue;
_ Air emissions: the Apple Code specifically states that air emissions should

be treated as required by applicable laws. The EICC is more general on this issue;
_ Environmental permits and reporting; _ Pollution prevention and resource reduction. _ Hazardous Substance Management and Restrictions: apart from a general

part similar to the EICC, the Apple Code states that suppliers have to comply with Apples Regulated Substances Specification. Compliance with CSR standards

4.3.1 Responsibility
Apple recognizes the companys responsibility to ensure proper working conditions in its supplier factories. In the Apple Supplier Code of Conduct, it states Apple is committed to ensuring that working conditions in Apples supply chain are safe, that workers are treated with respect and dignity, and that manufacturing processes are environmentally responsible.

4.3.2 Stake holder involvement

Apple does not provide information on whether it involves stakeholders on issues of corporate and social responsibility. In their response to the profile Apple claims that they are an active member of the EICC, which provides forums to encourage dialogue with stakeholders. EICC stakeholders include customers, non-governmental organizations (NGOs), socially responsible investors (SRI), government representatives, industry associations, universities, worker groups, and communities.
Working Conditions


Employment is Freely Chosen

2.Child Labour- not found. 3. Discrimination and Unequal Treatment of Contract Workers - Two

cases of discriminatory practices were found. At PIMES workers pointed out that in some cases relatives of high-positioned employees were promoted first. At Delta Electronics it was reported that contract workers received less wage than regular workers. 4. Freedom of Association and the Right to Collective Bargaining. Health and Safety
_ Protective measures _ Industrial hygiene _ Emergency prevention, preparedness and response _ Occupational injury and illness _ Physically demanding work _ Dormitory and canteen _ Communication: this clause calls for suppliers to provide information on

health and safety to workers. It is not part of the EICC

_ Work health and safety committees: this part states that suppliers are

encouraged to form health and safety committees. It is not part of the CSR.
The csr includes a section on machine safeguarding which is not part of the

Apple Supplier

Manufacturing Total production





Our Environmental Focus = We know that the most important thing we can do to reduce our impact on the environment is to improve our products. Thats why we design them to use less material, ship with smaller packaging, be free of many toxic substances, and be as energy efficient and recyclable as possible. About 97 percent of Apples carbon footprint is directly related to our products from manufacturing to customer use to recycling. The remaining 3 percent is related to our facilities. 1. ResPONSIBLE

Apple is committed to ensuring that working conditions in our supply chain are safe, workers are treated with respect and dignity, and manufacturing processes are environmentally responsible . 2.ENERGY

The majority of greenhouse gas emissions Apple accounts for are produced when you plug in our products and start using them. Thats why we design our products to be as energy efficient as possible. Because we design both the hardware and the operating system, were able to make sure they work together to conserve power. The use of our products generates 46 percent of Apples total greenhouse gas emissions. 3.P RODUCT

Apples approach to recycling begins in the design stage, when we create compact, efficient products that require less material to produce. One percent of Apples total greenhouse gas emissions are related to recycling. 4.FACILITIES

Companies such as Dell and HP primarily report on their facilities as a gauge of their environmental impact. But switching off lights and recycling office waste arent enough. The products we make represent the biggest impact on our environment. Thats why Apple focuses on product design and innovation.


Corporate social responsibility

In July 2007, the company announced that it had met its target, set in 2004, to recycle one billion pounds of electronics, toner and ink cartridges. It has set a new goal of recycling a further two billion pounds of hardware by the end of 2010 . ]In

September 2009,ranked HP No.1 on its 2009 Green Rankings of America's 500 largest corporations. At the site, there are six CSR-related policies: 1.Environment, 2.Health and Safety Policy; 3.Hardware Recycling Standards; 4.Printing Supplies Recycling Policy; 5.HP Global Citizenship Policy; 6. HP Human Rights and Labour Policy

"Hewlett-Packard earned its number one position due to its greenhouse gas (GHG) emission reduction programs, and was the first major IT company to report GHG emissions associated with its supply chain, according to the ranking. In addition, HP has made an effort to remove toxic substances from its products, though Greenpeace has targeted the company for not doing better
In 2009, HP was ranked fifthFortune magazine named HP one of the Worlds Most Admired Companies in 2010, placing it No. 2 - in the computer industry and No. 32 - overall in its list of the top 50. This year in the computer industry . HP was ranked No. 1 in social responsibility, long-term investment, global competitiveness, and use of corporate assets.




Community Technology for Community HP is committed to assisting making technology accessible to all people. Through grants of HP technology to not for profit organisations, especially in communities where HP has a presence, HP seeks to promote and strengthen non profit organisations addressing long term societal needs. HP's community projects in Asia Pacific and Japan: Cambodia HP opens up IT opportunities for students Hong Kong HP caring for the community Singapore Presidents V Challenge India HP helps remote villagers in southern India access IT India Kuppam community

Environment :

HP is committed to providing customers with inventive, high quality products and services that are environmentally sound and to conduct our operations in an environmentally responsible manner. HP meets this commitment with a comprehensive environmental, health & safety policy, strict environmental management of our operations and worldwide environmental programs . It is from this history and these values that HP has become a leader in delivery of environmentally sustainable solutions for the common good. HP's environmental projects in Asia Pacific and Japan: 'Cartridges for Dragon Recycling' Programme Enters the Schools Global first for HP Asia-Pacific with launch of HP Asset Recovery Services. . HP is listed in Greenpeaces Guide to Greener Electronics that ranks electronics manufacturers according to their policies on toxic chemicals, recycling and climate change. Greenpeace gives HP credit for having many PVC and BFR-free products on the market, including a desktop PC with PVC-free power supply, several series of notebooks, another desktop and two LCD monitors. It has also recently launched the first PVC free printer.] After winning nine straight annual Most Respected Company in China awards from the Economic Observer and Peking University, HP China has added the 10 Year Contribution award to its list of prestigious accolades. The award aims to identify companies doing business in China with outstanding and sustained performance in business operations, development and corporate social responsibility.

COMPARING HP & Apple which one is leading company on Basis Of CSR ? Without Hewlett-Packard, there might not have been an Apple Computer. The company that Bill Hewlett and Dave Packard founded in 1939 provided Steve Jobs and Steve Wozniak with jobs before the two founded Apple (nasdaq:AAPL - news - people ); Jobs was on an assembly line while Wozniak designed calculator chips. Apple and HP (nyse: HPQ - news -people ) over the years have partnered on a number of projects. In fact Wozniak used parts from an HP lab to work on what would become Apple's first computers. (HP turned down Wozniak's design but gave him a legal

release.) Years later, HP was one of the manufacturers of the Stylewriter printers that were sold under the Apple brand. Today HP sells the Apple iPod. Both companies have had their ups and downs, but clearly the market now favors Apple. Earlier this month Goldman Sachs noted that HP may be the "odd man out" on the success of the iPod, because of its inability to bring out new iPod models in a timely manner. Morgan Stanley noted that among iPod owners who were going to purchase a PC this year only 3% ranked HP and HP's Compaq brand as their first choice--compared with HP's current 20% market share in the U.S. Meanwhile, Apple's fiscal first quarter showed record revenue and earnings for the company. A note of comparison the latest figures from HP and Dell are each around 10% per year, and neither company has yet disclosed plans to grow this percentage in the future .

By 2010, Apple may be recycling significantly more than either

Dell or HP as a percentage of past sales weight. All the e-waste we collect in

North America is processed in the U.S., and nothing is shipped overseas for disposal. Apple products are designed using high quality materials that are in high demand from recyclers.


A note of comparison the latest figures from HP and Dell are each around 10% per year, and neither company has yet disclosed plans to grow this percentage in the future .

By 2010, Apple may be recycling significantly more than either

Dell or HP as a percentage of past sales weight.

All the e-waste we collect in North America is processed in the U.S., and nothing is shipped overseas for disposal. Apple products are designed using high quality materials that are in high demand from recyclers.

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