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I live in the country with the most expensive Apple products on the planet

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Re: I live in the country with the most expensive Apple products on the planet

#71
post #8

Even before I clicked the link, I was sure the answer was Brazil. It's not so much the taxes that raise the prices as the tariffs (which are kind of invisible taxes in that they are paid through higher prices rather than directly—which is part of what made a former president's boasting about raising tariffs somewhat absurd. It seemed he believed that the exporting country paid the price of the tariffs and not domesti…

Isn't it referred to as Brazil Cost by economists. The only way to reduce the tariff is to manufacture locally. NOKIA did this and gained significant market share as a result 20+ years ago

I would say that the "Brazil cost" referred by the economists most probably means bribe.

Re: I live in the country with the most expensive Apple products on the planet

#72
post #71

Earlier quoted context omitted.

Isn't it referred to as Brazil Cost by economists. The only way to reduce the tariff is to manufacture locally. NOKIA did this and gained significant market share as a result 20+ years ago

I would say that the "Brazil cost" referred by the economists most probably means bribe.

I think it's more likely the huge margins applied to products here.

Re: I live in the country with the most expensive Apple products on the planet

#73
My Brazilian friend asked me to recommend her a laptop given her budget. It was certainly an interesting experience. Not only the laptops were much more expensive than they would be in other parts of the world, but also they were older models, with HDDs and 4GB of RAM instead of more up to date models going with SSDs and 8GB of RAM (or more).

Re: I live in the country with the most expensive Apple products on the planet

#74

Earlier quoted context omitted.

Yes Apppe basically doesnt bother trying to be competitive in countries outside the US. I guess they don't mind since their products still sell and they're raking in huge profits.

I'm guessing they don't want a situation where a $200 iPhone sold in India doesn't end up back in the US undercutting their $400 model.

I would be ecstatic if I could buy a "$400 iPhone" for only $400.

Apple prices tend to be higher, not only in absolute terms, but also relative to their competitors. A Samsung phone that sells for $800 in the US might cost $900, while an Apple phone that sells for $800 in the US will cost over $1000.

Re: I live in the country with the most expensive Apple products on the planet

#75
post #71

Earlier quoted context omitted.

Isn't it referred to as Brazil Cost by economists. The only way to reduce the tariff is to manufacture locally. NOKIA did this and gained significant market share as a result 20+ years ago

I would say that the "Brazil cost" referred by the economists most probably means bribe.

It’s because it’s harder to do business in Brazil. Reasons listed on the Brazil Cost Wikipedia page:

https://en.m.wikipedia.org/wiki/Brazil_cost

Re: I live in the country with the most expensive Apple products on the planet

#76
post #44

Earlier quoted context omitted.

Depending on the product and the competition on the market of that product, the merchant might also take the extra fees from their margins rather than raise prices.

Yeah, this argument doesn't always hold water. If a seller could increase their price without affecting their sales volume, why wouldn't they have done so already to generate more profit? The price product of most major companies is at what the company assumes will provide them the most profit in the demand curve. So by increasing the cost for the company with a tax, it doesn't necessarily follow that the maximum pro…

It’s not, but presumably all substitution products would see a similar tax, so you’re just shifting the supply curve up across the board.

It really comes down to the market dynamics for that particular product and its competitors.

Re: I live in the country with the most expensive Apple products on the planet

#78
post #75
post #71

Earlier quoted context omitted.

I would say that the "Brazil cost" referred by the economists most probably means bribe.

It’s because it’s harder to do business in Brazil. Reasons listed on the Brazil Cost Wikipedia page: https://en.m.wikipedia.org/wiki/Brazil_cost

Corruption is one of the items listed.

Re: I live in the country with the most expensive Apple products on the planet

#79
post #13

A few comments on this from an Indian perspective. Apple products are quite expensive here too, when compared against U.S. prices (plus sales tax). It may seem as if this is because of customs duties, but that’s not the entire story. Many companies tend to have geographically differentiated pricing to expand their market and make more money. Even if the prices aren’t completely matching the local currency equivalent…

cost from apple.com/uk/in/us store macbook air

US - $999

India - ₹92,900 ≅ $1,213

India(without GST) = ₹78,728 ≅ $1027

UK - £999 ≅ $1316

UK(without VAT) - £832.5 ≅ $1,096

iPhone 13

US - $799

India - ₹79,900 ≅ $1,043

India(without GST) - ₹67,711 ≅ $884

UK - £779 ≅ $1,025

UK(without VAT) - £649 ≅ $854

Re: I live in the country with the most expensive Apple products on the planet

#80
post #8

Even before I clicked the link, I was sure the answer was Brazil. It's not so much the taxes that raise the prices as the tariffs (which are kind of invisible taxes in that they are paid through higher prices rather than directly—which is part of what made a former president's boasting about raising tariffs somewhat absurd. It seemed he believed that the exporting country paid the price of the tariffs and not domesti…

I was sure it would be Turkey, looks like we are the close second. Congrats on your first place Brazil!

Is being 1st or 2nd place in this matter to celebrate? I live in Brazil and this is something that really sucks.
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