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Why Apple’s New iPhone 5C Fails?

Oct 21 2013, 8:46am CDT | by , in News | Apple

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Why Apple’s New iPhone 5C Fails?
Image Credit: Getty Images

Apple is caught up in somewhat of a dilemma. Its new iPhone 5C is facing marketing hurdles that threaten to undo some of the progress Apple has made so far. iPhone 5S is allegedly killing iPhone 5C.

In a way, the problems faced by Apple are not real problems. The market segmentation issues for the iPhones 5S and 5C can be resolved provided Apple acts in unison with what lies in its long-time interests. It all amounts to consumer choice which is a very tenacious thing. The flagship iPhone 5S is selling like crazy while the plastic version (5C) is facing dwindling sales. So it is a tragicomic harvest that Apple seems to have gotten in its share. 

The steps taken by it to offset this mismatch in sales include decreasing 5C production by 35%. And manufacturing of the iPhone 5S has been stepped up by 75%. The fact of the matter is that some consumers want to pay more for one device while others choose to pay less for the other gadget.

Apple has a reputation to maintain. And its products are among the best in today’s global scenario. Apple originally wanted the 5S and 5C experiences to cater to different markets. One was high end while the other one was for those strapped for cash. 

Apple seems to have miscalculated a little regarding its products especially as far as supply and demand were concerned. What is getting harder and harder for a company like Apple to swallow is the failure of the iPhone 5C. In fact, the flop nature of this iPhone resembles the dismal career of Microsoft’s RT Surface Tablet.

Source: Stratechery

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