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NO, Chinese smartphones are just more competitive with a lower price point.

Correct answer!

iPhone XR costs the same as Huawei Mate 20 Pro.

The Mate 20 Pro has:
  • 6.4" OLED
  • Face ID
  • Under-display fingerprint sensor
  • 3 rear cameras from Leica
  • 4,200mAh battery
  • 128GB of storage
  • 40W fast charging
  • Much better baseband/modem from HiSilicon

You'd have to be an Apple Store employee or a crazy Apple fan to buy an iPhone XR. In the past, the gap wasn't this wide in terms of features. But in 2019, you'd have to use a lot of cognitive dissonance to convince yourself to buy iPhone in China.
 
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Tim Cook stated there was no boycott on January 2. I believe he said that the day he cut guidance by 4 billion bucks. He said it was due to trade tensions, strong dollar (basically price) and not a boycott. I agree lets not handpick comments because Tim said exactly that. Is there a boycott now? I have no idea but the phone sales in China were dire well before any indication of a boycott according to Cook. If they have plummeted additionaly because of a subsequent boycott that's bad news.

Not sure how this got sidetracked to boycotts anyway, I was referring to trade tensions in my original post :). And I stand by those effecting sales, only to counter balance all the 'its only because its over priced' comments. Its a combination of factors, and I even agree Price is one of them. But yes, lets not rule out Politics or 'trade tensions.'
 
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I’m very interested to see how Apple prices their 2019 products after all of this.
Hopefully lower with a few tears streaming down Tim’s cheeks.
[doublepost=1547837671][/doublepost]
Correct answer!

iPhone XR costs the same as Huawei Mate 20 Pro.

The Mate 20 Pro has:
  • 6.4" OLED
  • Face ID
  • Under-display fingerprint sensor
  • 3 rear cameras from Leica
  • 4,200mAh battery
  • 128GB of storage
  • 40W fast charging
  • Much better baseband/modem from HiSilicon

You'd have to be an Apple Store employee or a crazy Apple fan to buy an iPhone XR. In the past, the gap wasn't this wide in terms of features. But in 2019, you'd have to use a lot of cognitive dissonance to convince yourself to buy iPhone in China.
If I was a Chinese consumer with the choices I have over there and still chose an Xr which costed a lot more and offered less, I would deserve to be “checked in” somewhere to see if the elevator reached the top floor because it clearly wouldn’t look that way. That would still apply even if I was a rich Chinese consumer with money to burn.
 
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Correct answer!

iPhone XR costs the same as Huawei Mate 20 Pro.

The Mate 20 Pro has:
  • 6.4" OLED
  • Face ID
  • Under-display fingerprint sensor
  • 3 rear cameras from Leica
  • 4,200mAh battery
  • 128GB of storage
  • 40W fast charging
  • Much better baseband/modem from HiSilicon

You'd have to be an Apple Store employee or a crazy Apple fan to buy an iPhone XR. In the past, the gap wasn't this wide in terms of features. But in 2019, you'd have to use a lot of cognitive dissonance to convince yourself to buy iPhone in China.
Same for Europe. Cook & co have made only incremental updates on Apple’s whole range of offering. When I see interviews on the news channels with him I can’t help to have a feeling that he’s total lost any connection with the real world. For the price of an ancient iPhone 8 you can buy almost two Samsung Galaxy S9 phones. But, but... I can hear fanboys saying that Apple is making the most profits. At the cost of what? Their whole offering is shameful priced and even the newly introduced iPhone XR uses 5 years old screen tech. A total embarrassment for a brand who thinks it’s premium.
[doublepost=1547838174][/doublepost]
I’m very interested to see how Apple prices their 2019 products after all of this.
Probably same products with same old tech and a meager $ 50 discount while Cook is blaming the economy or Brexit or bad currency :rolleyes:
 
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Wonderful insight! Thanks for sharing. You answered a question I had regarding Apple’s content services. This forum has never pondered the existence of those services when discussing China.

Have you visited an Apple store there? I’m curious if they sell Macs and MacBooks. I get the impression that they only sell phones, tablets, and the AppleTV.

lol, I am from Hong Kong, we do have Apple Store there with Macs, but I am not sure about mainland China...
Still, don't compare it with their American counterpart. It's way worse.
Remember the battery replacement program? In Hong Kong, you have to be lucky to get it.
They can just refuse you. Without reason, No rescheduling, just no we are not doing it.
(But it was later revealed after much complain, it was due to no battery in stock, but really? Hong Kong is right next to mainland China where iPhones are manufactured... doesn't look good)

*I have always considered Apple pricing are okay, considering that they do provide exceptional after sales service, at least that what I have experienced from the past in Canada.
But if I am not getting that service in another region like HK China... why should I pay for that premium?
 
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Nope, the ones that grow double digits are the ones that deliver the same or better as Apple or Samsung for less money. Huawei, Oppo, OnePlus do and they’re seeing double digit growth in Europe as well.

If Apple can’t out innovate them, which has been proven they can’t, they should lower their prices accordingly. At the moment even the ancient iPhone 8 is more as twice as expensive as a Samsung Galaxy S9, Huawei Mate 20 Pro. Doesn’t take a genius to understand Apple is pricing itself out of the market. But as investors are more important than customers for Cook & Co, I’m curious what the plans are at Apple. Like an ostrich Tim Cook doesn’t want to face reality and still thinks he can sell years old tech at premium prices. Once all the lemmings have fallen from the cliff, he definitely has to find a whole new target group to milk.

Something in your famous pipeline mr Cook?

You are right and countered yourself. What I missed to mention is that all Premium Brands are declining and yes the cheaper guys are growing well because well their devices are cheap and that is a volume game. Apple has always wanted volume but, at a premium price point where the margins are way higher.

Tim likes to sell 1 iPhone at the price of several cheap phones, that way he keeps higher margins and pushes growth of the business and enough headroom to innovate beyond phones such as the watch and connected services without borrowing too much capital. Thats the rational they bank on and its working for them I believe.

The only move I believe Apple needs to make right now is to continue to progress the development of iPhones but, build a cheaper segment for developing nations only. They have done this in the past with the iPod Shuffle to compete with cheap mp3 players, it was a great way to hook customers at a cheaper price point but, the biggest difference was the shuffle was a product unlike the bigger pricier iPod without compromising the function. It looked different and felt different so much so that people who had the bigger iPods purchased the shuffle as well because it was THAT cool.

The customer did not feel cheap about owning the shuffle or its image as the style and function of the shuffle was way premium than other cheaper ones - I think this was where steve's brilliance shined.

The iPhone needs a cheap (high margin) shuffle to take on the volume game at the low end market.
 
For the iPhone to stagnate somewhat might eventually convince apple to redirect more of their attention to other things

Do you follow Apple? Because based on this comment, I don’t think you do very closely. They _have_ been focusing on the things just besides the iPhone, the Apple Watch has been a massive success, what about the AirPods? One of the most popular accessories to the iPhone. They revamped the Mac and Mini, so you insinuating that they should ‘redirect their attention’ is short citing the fact that they have been in other areas that are have expanded, and even entering the smart speaker market with the HomePod. Any other thing that you failed to mention, is there services has been on the rise for years, and that should be a focus for Apple continually moving forward, because that’s just as important in their net growth.
 
Which regulations is he not following when it comes to the shareholders? Please list them and link to so we can all have a closer look.
How about when he refused to tell how many units sold during last year quarter conference?
 
How about when he refused to tell how many units sold during last year quarter conference?

How about you link to a country where that is a requirement for a publicly traded company? Dislike somebody’s action is very different from breaking any law.

The slowdown of the smartphone market was expected to come for some time. Hardly a shock to anybody. Companies tend to provide the minimum amount of negative information if they are publicly traded. Units sold is not something that every tech company communicates. And if they do, they will do it when it makes them look good.
 
How about you link to a country where that is a requirement for a publicly traded company? Dislike somebody’s action is very different from breaking any law.

The slowdown of the smartphone market was expected to come for some time. Hardly a shock to anybody. Companies tend to provide the minimum amount of negative information if they are publicly traded. Units sold is not something that every tech company communicates. And if they do, they will do it when it makes them look good.
How about you do your own finding?
 
How about when he refused to tell how many units sold during last year quarter conference?


that is not a regulatory requirement.

volumes of sales is not financial data and is not a requirement for reporting. I recommend a read through of an audited financial statement to get an idea of what is required for release.

I'm not trying to judge the nature of Tim Cook refusing to release volume numbers. And I thoroughly understand that without those numbers, Investors are going to be hesitant in this modern world.

But there's no requirement. So far Apple has not run afoul of the regulators for financial reporting. if Apple on the other hand refused to release publicly audited financial results, as a publicly traded company, there are actions the regulators could do. I believe going as far as removing the executives and dissolving the board, if not actual criminal proceedings
 
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