| Table 6-B |
| Value chain of Apple iPad, by location and activity: 2010 |
| (Percent) |
| |
| Characteristic |
|
Activity |
|
Location |
Amount/cost (dollars) |
Share of retail price (%) |
| |
| Distribution and retail |
|
Manufacturer's suggested retail price |
|
Worldwide |
499 |
100.0 |
| |
Distribution |
|
Worldwide |
75 |
15.0 |
| |
Wholesale price (received by Apple) |
|
United States |
424 |
85.0 |
| Value capture |
|
Total value capture |
|
|
238 |
47.7 |
| |
U.S. total |
|
United States |
162 |
32.5 |
| |
Design/marketing |
|
Apple |
150 |
30.1 |
| |
Manufacturing of components |
|
U.S. suppliers |
12 |
2.4 |
| |
Manufacturing of components |
|
Japan |
7 |
1.4 |
| |
Manufacturing of components |
|
South Korea |
34 |
6.8 |
| |
Manufacturing of components |
|
Taiwan |
7 |
1.4 |
| |
Manufacturing of components |
|
EU |
1 |
0.2 |
| |
Manufacturing of components |
|
Unidentified |
27 |
5.4 |
| Direct labor |
|
Total direct labor |
|
|
33 |
6.6 |
| |
Labor to manufacture components |
|
Unidentified |
25 |
5.0 |
| |
Labor for final assembly |
|
China |
8 |
1.6 |
| Inputs |
|
Nonlabor costs |
|
Worldwide |
154 |
30.9 |
| |
EU = European Union
NOTES: iPad is configured with 16GB of memory and no cellular access. Value added is amount contributed by country, firm, or other entity to value of good or service and excludes purchases of domestic and imported materials and inputs. Value capture is value added excluding the cost of direct labor, which is the same as gross profit. Detail may not add to total due to rounding.
SOURCE: Linden G, Kraemer KL, Dedrick J. Who profits from innovation in global value chains? Estimates for the iPhone and iPad, Personal Computing Center, University of California–Irvine (2011), unpublished manuscript dated June 15.
Science and Engineering Indicators 2012 |
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