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WHAT SHOULD BE

APPLE’S STRATEGY
ON CHINA?
Group 1:
Abarquez
Amita
Banlaygas
Basoc
Bual
Calimbo
STRATEGY ON PRICING:
MAINTAIN PRODUCT QUALITY, PRESTIGE
AND SUPERIORITY WITH FOCUS ON
CUSTOMER LOYALTY THAN PRICE
ADVANTAGES:
1. Imported luxury goods are popular in China because they are
expensive; for a Chinese consumer, owning an iPhone confers a
status that a cheaper smart phone cannot.
2. Apple’s products enjoy a very high level of popularity despite
their premium prices that has helped build strong customer loyalty
DISADVANTAGES:
1. Even if Apple could successfully compete on price with domestic carriers,
many customers would still be reluctant to abandon Android for Apple’s
closed-source platform.
2. iPhones are subject to import tariffs that drive up prices and cannot match
what domestic manufacturers can change.

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