Since we don't know what contracts Staples signs with their suppliers, we don't know what their loss leaders are. But - most stores with low markups sell a few products at a lost to drive people in the door. I agree that Apple products are not likely a loss leader, but I doubt they are getting a large mark up on them. Apple does not need Staples in order to sell their products, so Staples would have had to accept Apple's terms - not the other way 'round.
I agree with lots of that, I bet Staples had the chip on the table, people who buy Apple products, most likely are not the kind of people who shop at staples, ( Not ALL, but most of the people who buy Apple are consumers, not power or business users ), so I bet Apple took a hit with this, Staples has never showed any interest in Selling Apple gear, but they have almost 3000 stores, so I bet its a chain Apple wanted in.
Which I feel is silly, the retailer already paid for the product, if the retailer wants to sell it for less, why not?
.... because Apple's brand based on quality, not customers thinking it is cheap junk. Since we don't know what Staples wholesale price is, we don't know their profit. But like I said above, Apple doesn't need Staples, so Apple is likely not giving them a lot of markup.
Exactly, I own Apple products btw, and I think its the same cheap junk that everyone else sells you, it just happens to look cooler. They sell on the impression of quality, its the same built by chinese slave labor that everything else is, with an Apple on it. Apple doesn't need Staple, but staples does NOT need Apple, their growth and increased profits prove that, Apple went to staples or vice visa because they both knew there is a chance for profit here.
Loss leaders are designed to drive customers to your profitable products, and therefore build profits.
Indeed, but Staples isn't wal mart, I highly doubt they are selling iToys at a loss to bring people in, they already are growing and have inreased profits, they have little reason to sell iToys at a loss.
