Earlier quoted context omitted.
But surely Apple and Samsung pay the same VAT, so a Samsung phone that costs $900 should sell for more than an iPhone that costs $800 if it was only VAT. Except that doesn't happen. The $800 iPhone costs the same (or more) as the $900 Samsung in Europe. Apple's relative markup compared to Samsung is much higher in Europe than in the US.
Something I've noticed a lot with tech products is that they "cost the same" (in number value) in USD as well as Euros or GBP, which actually makes them cheaper in the US. Take for example, the Awair Element air quality meter: - Ordering in the US: USD$299[0] (~£224) - Ordering in the UK: GBP£299[1] (~$360 USD at the time of writing) Even including 20% VAT in UK it should only cost around £270 by my calculations. Is…
1. Change $ sign to €
2. Add VAT
3. Round up to nearest x49/x99 marketing price.
Apple at times have been guilty of this method in my country at least