World News Science & Technology

Posted by admin on 2023-10-03 | Last Updated by admin on 2025-05-22 06:57:07

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Since the launch of iPhone 15 pro Max in India, the excitement around it has been striking, just as it always is. But still there are many who would be curious to know why this epitome of a gadget comes with a hefty price tag even after being manufactured in Indian factories, this time.

As of now India manufactures iPhone 15 and iPhone 15 PLUS models and the price range for the same is starting from 79,900(iPhone 15) to 89,900(iPhone 15 Plus).

Whereas the price range for the same in Dubai is comparatively lesser For iPhone 15- ?76,700

For iPhone 15 Plus- ?85,700

The reason behind this price disparity could be cited for the

•   Importation of high value components that cause additional duties.

•   Another reason that the Pro models are not assembled in India

•   Due to which 22% customs duty is levied.

Now that's just the numerical data but what about the aspects of Globalization, Brand value, Market reach and the most important angle Man Labour.

These are few of the important factors that contribute to the pricing value of any electronic gadget in India, especially those owned by a reputed brand.

Globalization and Luxury pricing- Due to India’s increasing stride in the manufacturing sector, companies like Apple started investing in local manufacturing facilities. This localization benefits consumers in the form of reduced production costs, which can lead to more competitive pricing for iPhones compared to imported models.

The globalization of markets has made luxury brands more accessible, but pricing strategies still vary from country to country due to-

Taxes

Import duties, and Exchange Rates.

India has an opportunity to align pricing with the iPhone market's economic conditions, making iPhones more affordable while maintaining their luxury appeal.

By taking following measures into consideration

•  Introducing or adjusting national charges on debit and credit card transactions can encourage people to buy iPhones in India rather than abroad.

•  Giving financial incentives for domestic purchases.

•  The Indian government can promote the growth of the local luxury market.

 

Encouraging Luxury Brands: By promoting domestic iPhone sales, India can demonstrate its potential as a lucrative market for luxury brands. This can attract more

premium manufacturers to invest in the country, further expanding the availability of high-end products and creating jobs in the process. 

Price Disparity in Developing Countries: Recognizing the economic disparities among developing countries like India, Vietnam, and South Korea, Apple can adopt a dynamic pricing strategy. This approach would tailor iPhone prices to each country's economic conditions, ensuring accessibility while maintaining profitability.

Lithium-Ion Batteries: The iPhone 15 is to feature built-in rechargeable lithium-ion batteries that are significantly more long-lasting than traditional ones. They are capable of up to 50% charge in around 30 minutes. This technological advancement makes investing in an iPhone 15 in India a particularly attractive proposition, as users can have extended device lifespan, reducing the long-term cost of ownership.

Apart from that, Lithium being discovered in India in huge amounts can also contribute as a major factor for reducing the cost of manufacturing.

 After Jammu and Kashmir, Lithium reserves that are found in Rajasthan’s Nagaur District, on Revant Hill can meet almost 80% of India's demand according to the Geological Survey Of India (GSI). This is a huge plus point for India as Lithium is a pivotal component for making long lasting batteries for mobile phones to portable electronic devices and power tools.

In the long run this will also reduce India’s Import-dependency on foreign countries.

 

In Conclusion

• Promoting the shopping of iPhone 15 in India over foreign countries aligns with the globalized world's dynamics.

• Leveraging India's manufacturing capabilities, adjusting pricing strategies to suit the local market, and incentivizing domestic purchases can create a win-win situation for both consumers and luxury brands like Apple.

• With next-generation battery technology and a commitment to providing premium products, the iPhone 15 could be a catalyst for further growth in India's luxury electronics market.