This is a growing problem for Apple and they can’t find a solution to it. They handle the manufacturing in a totally different way and often the results are disastrous. Japan is a country where earthquakes are natural and it happens more than once a year. Sony mainly handled this aspect and their factory is totally destroyed. They will require some time to normalize things, but Apple can’t wait too long. They have a specific launch date and that is not far away.
However, Sony has announced that deliveries will continue and they shouldn’t worry about that. Supply disruptions have happened before and the inventories are ready. The company professionally handled everything and said supply is perfectly alright. Sony always makes public announcements, if major problems emerge. The aftershocks continued for one full week and almost 40 people lost their lives. Many manufacturing companies were not ready for this disaster and it significantly hampers their growth plans. Mitsubishi also experienced hiccups and Japan’s industrial belt is annoyed with frequent earthquakes. Tech firms realized long ago, that in order to sustain their supply chain must be strong. So they tirelessly worked on building strong supply systems and as a result the damages are much less. For automobile companies, the margins are very low and they don’t have a good relationship with the suppliers.
In Japan, small areas handle production and as many activities take place there, disasters damage everything. In the year of 2011, Thailand faced the wrath of a devastating flood; the country’s economy was hit badly. After four long years, positive growth was experience. Hard disks are manufactured in Thailand and computer manufacturers were forced to increase the price. As the production stabilized, the price came down again. Digital camera makes the iPhone more powerful and without these sensors, it is simply not good enough.