oppn parties Apple: Will SE Spoil the Party?

News Snippets

  • In a first, the Supreme Court recognizes marital rape, although for the limited purpose of allowing married women the right of abortion up to 24 weeks if they conceived as a result of forced sex by their husbands
  • Air India cuts discounts on base fare to students and senior citizens from 50% to 25%
  • Mallikarjun Kharge and Digvijay Singh are being touted as frontrunners to take on Shashi Tharoor in the elections for the post of Congress president
  • Sonia Gandhi will decide who will be Rajasthan CM if she feels there is a need to change guard after the near-rebellion by MLAs in the state
  • Ashok Gehlot bowed out of the race for being Congress president after meeting Sonia Gandhi
  • India has moved to the 40th spot in the innovation index, up 6 spots from last year
  • DGGI has alleged that top insurance companies, banks and NBFCs has committed a fraud of Rs 800cr by claiming input tax credit without underlying supplies
  • The Centre will borrow Rs 10000cr less than planned earlier due to good revenue collections
  • At $23.9bn, India's current account deficit widened to 2.8% in Q1, the worst in four years
  • Stocks continue to flounder on Thursday: Sensex sheds 188 points to 56409 and Nifty 40 points to 16818
  • The 36th National Games were declared open on Thusrday by PM Modi in front of a record crowd in Motera near Ahmedabad
  • Jasprit Bumrah most likely to miss T20 World Cup due to recurrence of back injury
  • PFI's political wing, the SDPI is on EC radar and action will follow soon if discrepancies are detected
  • Ashok Gehlot to meet Sonia Gandhi today, says all issues will be sorted out soon
  • Referring to the PFI ban, most Muslim organizations ask the government to take similar action against right wings organizations like the RSS, Bajrang Dal, VHP and the like
In a landmark order, Supreme Court rules that all women, married or unmarried, are entitled to safe and legal abortion up to 24 weeks of pregnancy as per the MTP Act
oppn parties
Apple: Will SE Spoil the Party?

By Ashwini Agarwal
First publised on 2016-04-26 16:44:21

Apple launched a new device, iphone SE, sometime back. It got a very negative response from buyers, due mainly to its high price tag. Faced with such a situation, most companies would have gone for a price correction. But trust Apple to be different.

It has gone ahead and raised prices of all its other devices by up to 29 percent. The company has said that this was to push up the sales of the SE as it found that devices bigger than SE, like iphone 6 and 6S, were priced at lower rates. The company thought this was hampering SE sales.

This kind of inverted pricing logic is not going to work. The latest price revision will take all its devices out of reach of a large majority. Even those who buy Apple just to flaunt will think twice before dishing out a fortune as better products at lower prices are available in the market. "But an iphone is an iphone” will cease to matter if it is priced beyond a certain level.

Already, Apple’s market is shrinking across the world, including India. KGI Securities’ analyst Ming-Chi Kuo has predicted that with no pathbreaking innovation, users are going to shrink further and Apple will be one of the top 5 underperforming smartphone brands in 2016.

This illogical price rise will dampen buyer mood in India. As it is, people were not converting to iphone 6 or 6S as prices were high and resale value of old device was low. A major rethink is necessary at Apple regarding pricing policy and features innovation.