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Apple Priced Itself Out of Shrinking Chinese Smartphone Market

bloomberg.com

21–30 of 161 posts

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#21
post #9

Is Android the only alternative in China? Can Google monetize the Chinese users at all? Must very frustrating to have 1/4 of the worlds population using your OS behind a firewall.

In China the OS almost doesn't matter as everything is WeChat. Apple certainly makes money, but everything Google would want to earn goes to Tencent, I assume Android in China is AOSP…

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#22

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

I really don't understand why anyone is paying $300+ for a t-shirt when you can get really amazing t-shirts for $10.

Status symbols. That's why people are also eager to buy knock-off products of those with loud, visible branding (e.g. Supreme).

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#24

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

In China, or elsewhere? What in the US is as good as iPhone (including the screen size and storage size at that price point) for under $800?

A lot of phone have roughly comparable specs, but the camera and overall software behavior is not comparable on lower-tier phones.

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#25

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

I really don't understand why anyone is paying $300+ for a t-shirt when you can get really amazing t-shirts for $10.

Market for $300 T-shirts is very small. Niche, not really consumer.

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#26
post #10

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

You could apply the same question to pretty much every consumer product on Earth. The answer is a critical function of marketing.

I've been buying/using iPhones since 2009. The last iPhone I bought was a 7+. Right after that I had sensed that Apple is messing around with us on the CPU thing, and it finally came out that they did. I now have a Honor X8, I am super content about this, it cost me 229 pounds, takes 2 SIM cards and a 128GB SD card.

I can also have a firewall NoRoot Firewall), more granular privacy controls, I can root and and replace my hosts file, and some other nifty security/privacy things for paranoids like me.

Is it as polished as an iPhone? No Does it cover all my needs fully (and them some)? Yes Did I pay 1/6 of the price? Yes (trust me I can affort any smartphone) Do I think Apple is milking it and offers nothing new? HELL YES

I am happy that their stock is getting slapped, Apple put themselves in that position.

As for the Chinese economy, at some point many countries will reduce imports from China for a variety of reasons, and the slowing dowin is inevitable. Apple messed it up on many domains. Now they are paying for it.

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#27

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

I don't understand why people are paying 50%+ marginal tax rates when there are plenty of countries with lower rates

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#28
post #2

The tone of articles like this is always the same. As if it's a stupid mistake made on the fly. As if Tim Cook was heading out to dinner and someone yelled 'before you leave how much should we charge Tim???' and he shot back with the answer. Apple made a mistake and priced incorrectly but that was not after consideration, thought and strategy. A writer for Bloomberg or an analyst for Loup Ventures is in a different l…

Isn't this a general problem with long manufacturing pipelines? Car manufacturers get smacked by economic turns all the time.

I bought a new car in '10 because the manufacturer gutted the feature set on the '11 model, once they figured out that the '08 recession was real. I much preferred the original feature set, so I had to buy at a way inconvenient time, about 6 months early, before the dealers ran out of stock.

We groused in the 80's about Sony for selling us cheaper, outdated versions of consumer electronics that they sold domestically. You can't recoup R&D costs when the exchange rate is as lopsided as the Yen was at the time.

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#29

I really don't understand why anyone is paying $1000+ for a phone when you can get really amazing phones for $300.

The price is often reduced by your carrier or obscured by no interest payments included in your cell bill.

And those $300 phones don't have a mind-blowing camera, but the latest gen flagships phones finally do. That, plus the fact that phones become obsolete much more slowly now, makes those $1k phones a worthwhile investment to me.

Re: Apple Priced Itself Out of Shrinking Chinese Smartphone Market

#30
post #2

The tone of articles like this is always the same. As if it's a stupid mistake made on the fly. As if Tim Cook was heading out to dinner and someone yelled 'before you leave how much should we charge Tim???' and he shot back with the answer. Apple made a mistake and priced incorrectly but that was not after consideration, thought and strategy. A writer for Bloomberg or an analyst for Loup Ventures is in a different l…

I thought it was definitely a big mistake when I first saw the price announced. After thinking about it for quite a while, this may have served a singular purpose - keep the price high enough that Apple doesn't have to worry about antitrust regulators. There is such a thing as too much market share.
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