Why are iPhones so expensive?

Why are iPhones so expensive?

Unlike other Android smartphones made of plastic components, Apple uses premium materials like glass and aluminum. Combination of strong hardware and software, along with other complementary services makes iPhones pricey. However, Apple users are willing to pay the premium price, as they know they are treated with enviable luxury.

Why do Retailers follow Apple’s orders on pricing?

This faith is the same reason retailers follow Apple’s orders on pricing. They believe that by stocking the iPhone and obeying Apple’s orders that they will benefit in the long run (which they typically do on the high profit margin accessories front).

Why doesn’t Apple make a profit by discounting the iPhone?

Rather than allow retailers to make a profit out of discounting the iPhone, Apple essentially pays them not to. By maintaining high prices in the market place, Apple itself doesn’t have to compete with retailers offering its products for lower prices.

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How has the iPhone changed over the years?

From the first iPhone released in 2007 to the latest iPhone Xs Max, Apple has introduced many hardware advancements. Some of the milestones achieved by Apple are iPhone 6 Plus (first large screen 5.5″ diagonal), iPhone 6s (3D Touch), iPhone 7 Plus (dual camera), iPhone X (OLED display, wireless charging), and iPhone Xs Max (6.5-inch OLED display).

So why are iPhones expensive? iPhones are expensive because they are built with components and software that replace premium technologies that were once needed and separate from the phone. These technologies include camcorders, cameras, computers, home phones, tapes/DVDs/CDs, and hard drives.

Do most Americans use iPhones?

Most Americans do not use iPhones ( About Apple’s 40\% Smartphone Market Share) and other Apple products. Most Americans use an Android-based phones and Windows. Most Americans are not motivated to purchase based on whether or not it is an American company.

Why do Americans use Apple products?

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Americans use Apple products for the same reasons that people all over the world use Apple products: because they like them. That nationalistic attitude permeated the US in the 1970’s when Japanese and German cars became very competitive against American cars, yet many patriotic Americans continued to buy American.

Why don’t Apple phones ever go on sale?

They tend to remain at fixed prices throughout their lifetime and are rarely discounted. When a phone is discounted at apple.com it will see a similar price drop at all retailers and carriers. Apple doesn’t offer significant wholesale discounts, so there is less potential for retailers to undercut Apple itself.