Russia also has low taxes (at least for personal income, I am not sure about the taxes on businesses).Russia wasn’t the target of any tariffs, which makes them an attractive destination for manufacturers… /s 🙄
Russia also has low taxes (at least for personal income, I am not sure about the taxes on businesses).Russia wasn’t the target of any tariffs, which makes them an attractive destination for manufacturers… /s 🙄
because that's not how capitalism works. They literally can't. It's illegal. They have a fiduciary responsibility to their stockholders. And any CEO that doesn't take actions to maximize their profits will not last long as CEO.I don't see any "Apple can reduce their profit and greed". 😁
I suppose you must be correct that when a business faces things that endure additional costs then obviously what will happen is they pay it & it comes out of their profits so then the company makes less profit & doesn’t attempt to make up that short fall in profitsObviously this is an opinion as you have no insight into the tariff control strategy of thousands of businesses.
Whose prices are going up? Can you name names?
Seems fair since they voted for itEverything will be passed off to the consumer.
That's because those in charge think that it's best to outsource stuff to other countries instead of focusing more on improving things at home. America relies on countries like China and India for a lot of things. If those two ever decide to turn their backs on America, then America is gonna have a huge problem on its hands.I love that none of the suggestions are Trumps vision of what will happen: move production to the USA
What I’m right about and the only thing I’m right about is that nobody knows how this all will play out.I suppose you must be correct that when a business faces things that endure additional costs then obviously what will happen is they pay it & it comes out of their profits so then the company makes less profit & doesn’t attempt to make up that short fall in profits
Because it’s capitalism and they squeeze every bit of money out of the customer as they can
So now we have prescient people? Maybe the tariff cost of maple syrup will be absorbed in the revenue?That maple syrup is going to become more expensive. And that's a direct price increase that households will face," said Thomas Sampson from the London School of Economics.
There are elastic products and inelastic products. We’ll see."If I buy goods that are domestically produced in the US, but [which use] inputs from Canada, the price of those goods is also going to go up," he added.
DJGamble: Apple could diversify and aim to increase its international sales as there will be limited scope for domestic price increases, given the broader inflationary impact of these tariffs.Apple will absolutely never give up margin.
why not. The prices in the US currently are less than other western countries after sales tax is allowed for. I am unsure why the domestic prices cannot raise to be at least aligned. Just look at the price of the base MBP - US$2095 in the UK vs US$1599 in the US. So that is a 30% margin difference. If you allow for US average sales tax of 7.25% you still have 23% price increase to have parity with UK prices.DJGamble: Apple could diversify and aim to increase its international sales as there will be limited scope for domestic price increases, given the broader inflationary impact of these tariffs.
And 22995 Sek = $2353 (today)Just look at the price of the base MBP - US$2095 in the UK vs US$1599 in the US.
So an economic professor that does this for a living has said as a consequence of this then prices will go upWhat I’m right about and the only thing I’m right about is that nobody knows how this all will play out.
So now we have prescient people? Maybe the tariff cost of maple syrup will be absorbed in the revenue?
There are elastic products and inelastic products. We’ll see.
They might also deport us to El Salvador. 😢If you live near the Canadian border you can take a trip up to Canada and buy your iPhone tariff free and your buck goes further up there. Just don’t let border officers find out or you may be incarcerated for weeks - always that! On second thought, don’t chance it!
well they need to increase the US price by 23% approximately for parity and then align pricing internationally. I dont think price increases for consumers in countries that already pay a lot more and have nothing to do with the US tariffs, is such a great idea.So an economic professor that does this for a living has said as a consequence of this then prices will go up
Analysts from Rosenblatt Securities said in a note Thursday that Apple would need to increase prices for several products to offset an estimated $39.5 billion in costs from tariffs as the company relies heavily on China-based manufacturing, including a 43% price increase for iPhones and Apple Watches, a 42% increase ...
Yeah because Apple are going to absorb that cost & not pass it on to customers worldwide
The price of the iPhone 16 PM £1.199 in the UKwhy not. The prices in the US currently are less than other western countries after sales tax is allowed for. I am unsure why the domestic prices cannot raise to be at least aligned. Just look at the price of the base MBP - US$2095 in the UK vs US$1599 in the US. So that is a 30% margin difference. If you allow for US average sales tax of 7.25% you still have 23% price increase to have parity with UK prices.
If Apple decides not to create parity in the pricing [as taxes are a big reason there currently isnt parity] and treat their international customers unfairly then it will get very interesting. Tariffs are a tax like everything else - US consumers will need to suck it up [for the main part], although they may not want to hear this.The price of the iPhone 16 PM £1.199 in the UK
And it’s $1.199 in the US then add tax
It’s 1.305.41 that’s a wee bit of a difference so if the price goes up bloody hell
I suspect what will happen is this rather than have their US customers feel the full increase then they will probably raise the prices worldwide so they don’t have to raise it that much in the US & it’s spread out everywhereIf Apple decides not to create parity in the pricing [as taxes are a big reason there currently isnt parity] and treat their international customers unfairly then it will get very interesting. Tariffs are a tax like everything else - US consumers will need to suck it up [for the main part], although they may not want to hear this.
"high-end consumers are relatively more accepting of price increases." -Kuo
4 of the 5 options are "screw over you customers" and the 1 option that isn't they have no control over.
You can bookmark the post for posterity and we’ll see how right and wrong everyone gets to be as things roll along.So an economic professor that does this for a living has said as a consequence of this then prices will go up
Analysts from Rosenblatt Securities said in a note Thursday that Apple would need to increase prices for several products to offset an estimated $39.5 billion in costs from tariffs as the company relies heavily on China-based manufacturing, including a 43% price increase for iPhones and Apple Watches, a 42% increase ...
Yeah because Apple are going to absorb that cost & not pass it on to customers worldwide
How did the Biden administration cause or not try to solve the worldwide economic downturn that occurred during that period? If anything, any improvements you will see will be a result of their actions, moreso than the ridiculousness happening now.Well I would have to less than the preceding 4 years. But okay. What’s done is done.
Why would they? And where would they go, China? Taiwan? Vietnam? Saudi Arabia? Iran? Russia?What about this: Apple could leave U.S.?
He said this about liberals. George Carlin was never a conservative, but neither was he a liberal.George Carlin
--"They call it the American dream because you have to be asleep to believe it."
This is a reasonable expectation.This is day 1 after the announcement.
kuo has some ideas, and the supply chain folks at Apple and the other companies have some ideas.
We’ll have to see what really happens, time will tell, everything else is just speculation…
We almost couldn't bring two astronauts back from space. Oh wait, Elon Musk did that.Is this where America is now? We CAN’T do big things anymore? We have to farm everything out to overseas? That’s a real shame.
You just gave up like that? "He'll take away elections" is always the sign of somebody who has given up.I wouldn't at all be susprised if there either are no ellections in 2028, or if he re-elects himself Putin style for a third term. He's got the supreme court in the pocket anyway.
Name calling right up front. At least we know where you stand.Agent Orange...
The same one that allows young people to graduate without having achieved any reading or writing capability at all, and without having achieved any functional understanding of how our country's government works....He has blown away our education system...
If you have observed that many people don't trust government vaccinations, well good on you. But what you have incorrectly assessed is the REASON for the distrust. And that reason is government. Surprise!(something-something about) ... vaccinations.
This comment is so convoluted that it doesn't make any sense.Walmart and their ilk have been buying cheap stuff from China that they have made tremendous profits from but at least the poorer folks had access to food, basic services, clothing etc. Add 45% to these cheap goods and the poorer folks are not getting a pay raise so their ability to afford even the Walmart class stuff will be strained.
This has been happening since President Stumblefeet was in office. You're only just now noticing this?The billionaire are lining up to buy the repossessed homes as families can no longer afford the mortgage payments. The rents will be even higher.....
Khrushchev said a lot of things. "We will bury you."Nikita Kruschev said the USA will destroy itself from within in the 1950s. With help and guidance from Putin, Agent orange will get the job done
OMG, thank you thank you thank you for saying the quiet part out loud. This is so important for people to hear.This is fundamentally a good thing, nobody against it has a compelling argument I've read so far of why they're against it, from the American perspective of course. If the only reason you can buy goods is because of slave labor, so that Nike can sell a shoe for $500 that is made for $1 in BOM, then I don't care their profits are going down.
Thank you again.If your argument is that iPhones can only be made in China or else it'd cost $10,000 for one, okay explain to me why? Oh it's because of slave labor and that 90% of manufacturing has been moved to China since the 90s, and ramped up even more in the 2000s so that companies can juice out even more profit. So with tariffs there are two things that will happen, either they get a maybe ~20% price increase as they're tariffed coming in (Apple isn't going to add the entire tariff cost immediately), or they get a hypothetical doubling in cost if they're made in the USA. Ok, now imagine what the cost would be if the manufacturing line was in the US 10 years after establishment? Or even 50% of the line? You think someone in 1950 was lamenting about how expensive their toaster (an old technology at this point) was because it wasn't manufactured by slave labor? Of course not, because the manufacturing was probably done the next town over.
I actually buy things in hobbies that are USA made, like pocket knives (Spyderco, Benchmade) and guitars (Gibson, Fender). Not only is there a perception that USA made items are higher in quality (which of course isn't true, Chinese manufacturing is of course state of the art nowadays), but the argument is that the hypothetical higher price on items will stop people from buying them, even if they're luxury goods, is wrong. This doesn't stop people AT ALL. These things still sell hand over fist even compared to their secondary foreign manufactured lines within the same company, that are made in China, Mexico, Indonesia, Japan simply BECAUSE they are made in the US.
If the argument is that people will experience layoffs after this when companies say they'll be less profitable which will definitely happen, they're STILL doing that despite having record profits and having to squeeze out even more profit. Only 50% of people even own stock, and only maybe 1% own enough that makes it even life changing enough if it goes up and down, and they're all institutional players. Again, if someone is saying the decrease in stock prices gives them less capital to hire people and there will be layoffs, they're still doing that despite having record profits and all time highs in any given period. IBM and Amazon are laying off and outsourcing to India still today, even though they're richer than ever, and so is every single company.
This doesn't even take into account the actual geopolitics of a kinetic war. China makes like what 90% of all steel on earth now? You know how screwed the entire western hemisphere would be if the next week Xi Jinping just decides to invade Taiwan? It would be COVID level depression x10 or even x50. Forcing companies to ramp up domestic manufacturing in literally every country is a good idea.
I haven't read a good argument other than the repeated slop "my iPhone will be $200 to $500 more expensive". Good news Bob, the iphone actually only changes maybe every 5 years so you don't have to buy one this year, and now you won't be abusing Chinese, Vietnamese, and Bangladeshi slaves now either.
I get you, and I mostly agree with you. But here's the facts of the stock market. Your stock gets PUNISHED HARD if you don't exponentially grow earnings quarter after quarter and year after year.And all because companies that make BILLIONS a year REFUSE to cut PROFIT MARGINS.
But why not try? If China declared war right now on the US, then the only way to win it would be to strike hard and (ahem) "hot", if you know what I mean. And that's because the US does not have the manufacturing base to be able to build replacement planes, tanks, ships, or ordinance. China already has a bigger navy.There is nothing wrong with wanting manufacturing to come back, I want that too. There is everything wrong on how the president is going about it.
All empires come and go. Its Chinas turn now, whether you like it or not, and are the 'exceptional' country this century.Why would they? And where would they go, China? Taiwan? Vietnam? Saudi Arabia? Iran? Russia?
Anyplace else they go would be a step down. Make no mistake also that many countries have laws against some of the social policies and practices that Apple likes to tout. And no constitutional rights to free speech.
Not to mention legal or religious restrictions against PERSONAL lifestyle choices of some of the Apple senior leadership team and many of their engineers.
It would be a severe hit to their security, and that foolishness would result in a complete loss of confidence in the US stock market. Hey, maybe they'll go to Greenland! 😏
He said this about liberals. George Carlin was never a conservative, but neither was he a liberal.
This is a reasonable expectation.
We almost couldn't bring two astronauts back from space. Oh wait, Elon Musk did that.
You just gave up like that? "He'll take away elections" is always the sign of somebody who has given up.
Name calling right up front. At least we know where you stand.
The same one that allows young people to graduate without having achieved any reading or writing capability at all, and without having achieved any functional understanding of how our country's government works.
If you have observed that many people don't trust government vaccinations, well good on you. But what you have incorrectly assessed is the REASON for the distrust. And that reason is government. Surprise!
This comment is so convoluted that it doesn't make any sense.
This has been happening since President Stumblefeet was in office. You're only just now noticing this?
Khrushchev said a lot of things. "We will bury you."
His reference to destroying the US from within was toward misinformation. Another soviet famously said, “Give me just one generation of youth, and I'll transform the whole world.”
That was Vladimir Lenin in 1958. And the US schools were co-opted only a couple decades later with Jimmy Carter's Department of Education.
I'm not alone in my belief that the DOE needs to go, and fast. Our youth can't be successful for as long as there is a breath of life left in the DOE.
OMG, thank you thank you thank you for saying the quiet part out loud. This is so important for people to hear.
Thank you again.
I get you, and I mostly agree with you. But here's the facts of the stock market. Your stock gets PUNISHED HARD if you don't exponentially grow earnings quarter after quarter and year after year.
Sure, there are deviations from this in the short term. But over the long term, companies who don't grow earnings will just see lower and lower stock prices until it gets to a point where the company gets de-listed. And then can't fund major projects. And eventually goes away like the dodo-bird.
But why not try? If China declared war right now on the US, then the only way to win it would be to strike hard and (ahem) "hot", if you know what I mean. And that's because the US does not have the manufacturing base to be able to build replacement planes, tanks, ships, or ordinance. China already has a bigger navy.
The US won WW-II because we had the manufacturing base and know-how to make tanks in a car factory. Or planes in a factory that just weeks before was making sewing machines. And so forth. You can't do that if you don't have factories at all.
This is a terribly high-risk state for our country. Rebuilding our manufacturing base must be done just for security reasons alone (although all the other reasons are good ones too), and it must be done quickly. Whining and complaining about how the president is "going about it" is your right, but it's way off track.