Interesting Look at How Apple Keeps Prices Up

MacBook Air

One thing you may notice about Apple products, be it computer or iOS device, is that prices are rarely much lower than the suggested retail price. For instance, an iPad is going to start at $499. A MacBook Air will cost $999 for a base model. That doesn’t seem to change much aside from Black Friday or Walmart sometimes selling things for a dollar or two lower than the Apple retail price.

Apple is in a somewhat unusual position. They are very popular right now, and their devices sell like crazy. They simply don’t sell them to retailers for much lower than the price they sell to consumers for. An example MacWorld uses is a laptop that sells for $500 in the store. The maker may sell it to stores for around half that much. The store will then mark it up as they see fit. Because Apple narrows that margin, stores can’t afford to lower it much more than they already do.

Their report explains it better, but it’s an interesting read. Check it out here: MacWorld.

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