Apple v/s Samsung – Apple Gets Set to Beat Samsung Market in China
China is known to be one of the biggest cellular markets that are under Samsung’s influence. Samsung had provided the products to the Chinese consumers that not only fits their budget but also allow them to enjoy good quality smart phones, but it seems that Apple is all set to beat Samsung market in China.
Chinese have always been moved towards low priced phones, and in order to come up with that iPhone needs to bring in low priced phones if it really wants to grab the market and beat Samsung. Chinese have been known to love iPhone but most of them are not going with it due to price.
In order to bring cheaper phones, Apple have to use cheaper LCD screens and they might also need to reduce their profit margins per piece in order to grab the market, but in one of the recent interviews of Tim Cook (CEO of Apple Inc.) denied all that by saying “It is not in Apple’s Religion to produce low quality phones.”. We all know how much expensive iPhone is, and these high quality (Expensive) phones are not going to do well in Chinese market, especially when they have to compete against Samsung, the current industry giant.
Steps Taken By China to Increase Its Odds
Tim Cook is surely working real hard to increase Apple’s Odd in China and for that they are in-talks with China Mobile, which is known to be the biggest carrier in China with around 740 Million Subscribers. However nothing is final now or at least none has been disclosed so far. But the fact is, even if Apple cuts out some deal with China Mobile, they still won’t be able to beat Samsung, but at least they would be in a better position as of now. The only thing that they can do in order to beat Samsung is to introduce cheaper phones, but that’s not going to happen as per Tim Cook.
Reasons For These Steps
These steps are mainly taken because recently Apple lost good market shares in China, and this deal is surely the Apple’s need in order to strengthen their position in this market, so that they won’t be driven out of the market completely.
Currently Apple is in Partnership with China Telecom and China Unicom, and this might be the only reason why they have their current shares in Chinese market.
Current Status of Samsung and iPhone in China
Samsung has recently shipped more than 72.4 Million Smart phones while Apple has only shipped a little more than 31 Million. One of the reasons is that Samsung is introducing cheaper but good quality smart phones, they are even using cheaper LCD screens in their Smart phones in order to gather the market, and they are found to be quite successful in all that!
