Tim Cook called the price of the iPhone too high
Apple CEO on Indian national television told what exactly the company is going to take to stop the drop in iPhone sales. In almost all countries of the world, the iPhone gradually reduces the market share, yielding to the position of Android phones.
Whether such a price is justified by a small gadget, the host of the NDTV channel asked a rhetorical question. After all, almost everywhere the phone from Apple is more expensive than in the US? With the American price of $ 598 in China, the phone costs $ 693 (the average estimate for 2016, according to Deutsche Bank statistics ), in Russia - $ 695, in India - $ 784, in Brazil - $ 931. And you can’t say that these countries are richer than the USA.
Tim Cook agreed that the cost of the iPhone in other countries is too high.He recommended citizens from other countries to make purchases of the iPhone in the USA, where draconian duties on import of electronics, such as in Brazil, do not apply. Brazilian national authorities impose prohibitive duties to encourage foreign corporations to locate production in the country, encourage import substitution, and support domestic producers.
“I admit that prices are too high,” said Tim Cook. “We are working to reduce them as much as possible after some time.” Ultimately, Tim Cook said, the cost of an iPhone in the same Indian market should drop to the American level.
Apple understands that, without lowering prices, the iPhone’s market share cannot be maintained. De facto, this decrease is already occurring, as can be seen from the table compiled by Deutsche Bank specialists.
In an interview, Tim Cook again repeated the old argument that, historically, Apple puts quality first and therefore is not going to compete in the lower price range.