This has always been an interesting question about Apple products in general. Part of the reason, I think, is that Apple has never had anywhere near the share of the PC market that has been held by Intel-based processor PCs (and their clones) for decades now. Part of the reason for this is that at a fairly early point (and at other points along the way) Apple chose to target certain "niche" markets that it felt were more "compatible with" its designs, goals, and production capabilities. They have always held their sights firmly on the education market and, partly as a consequence, basically abandoned the business market to others. But this has not been a bad idea for them since the competition in the business PC market pretty quickly became a cutthroat, mass volume, low cost and profit margin kind of affair. In that market you differentiate yourself primarily (nowadays at least) on grounds of price, reliability, and service/support. Apple differentiates itself primarily on grounds of reliability, superior design, and superior useability. But if you're a VP in IT purchasing, which way do you think you're going to go?elimia wrote:jonesmj wrote:And therein is my question regarding the cost of Macs - why are they still so d----ed expensive if they are now made in China? They would seriously open up their own market by pricing their products more reasonably. Are they not pricing them on the notion of 'Made in America'? Please clarify.bloke wrote: Chinese tubas...American computers...
SOMEONE has their priorities all screwed up.
So after that, I think it's elementary supply/demand/scale issues in economics.
Apple has always been very strong in the educational and some other markets (graphic design, for example). They're all over the universities (especially among the faculty), and despite their significantly higher cost. A lot of students buy them, partly because the faculty do, partly because Macs are much "cooler" than MS PCs, etc. And Apple has always had a very powerful cult following. So they're doing well with this approach.
You also have to remember that the total cost of a product like a personal computer includes much more than the hardware. It includes the operating system and the applications as well -- and its the OS and the better-designed and implemented apps that Apple is really selling. These are what you're paying the premium for. These are not being cranked out in China, and reduced costs for materials and assembly do not affect them. Same with the iPhone, etc.
It is a good question concerning how much Apple would open its market by lowering the cost of their systems. While more individuals MIGHT buy them, this would in no way affect where the really big bucks are: in the business market. MS, and the whole suite of MS tools, is so firmly entrenched there now that I don't think Apple would make even a small dent through price changes. And my completely unsupported guess would be that even if they lowered the price to increase individual and education sales, the result would be at best a wash in terms of revenues. But that's just speculation.