The following article is based on my own interpretation of the said events. Any material borrowed from published and unpublished sources has been appropriately referenced. I will bear the sole responsibility for anything that is found to have been copied or misappropriated or misrepresented in the following post.
Aparjeet Kaushal, MBA 2015-17, Vinod Gupta School of Management, IIT Kharagpur
Apple Inc’s new iPhone SE smartphone will be available in India from early April for a price of Rs39,000 for a basic 16GB version.
The 4-inch screen sized iPhone SE comes with a matte-chamfered edge and in four metallic finish colours including one in rose gold. The handset runs on the 64-bit A9 chip, which also powers the iPhone 6s and iPhone 6s Plus, and also promises longer battery life, and a 12-megapixel camera.
With this phone, the Cupertino-based firm plans to enter the lower segment of the market. The device is offered at a price which is slightly more affordable. Slightly being the key word there. Before you start getting excited about the potential of a “cheap iPhone”, be warned that the iPhone 5C is no mid-range Android rival.
The launch of the iPhone 6s and iPhone 6s Plus has precipitated a price drop and an unexpected storage limitation. The older sibling i.e iPhone 6 and iPhone 6 Plus are available rather cheap in the market with average price about INR 35000. Talking about the iPhone 5/5s they can be easily bought at the market for about INR 18000.
With such options available and at a cheaper rate it is very probable that iPhone SE is also going the same course of action followed by the iPhone 5C where its pricing has led to the drastic failure of the product in the initial stages of the PLC. The pricing has a very strong effect on Indian mindset and with the available alternate, it can be said with pretty confidence that it is going to be a difficult time for this newcomer to survive in the Indian tides