Why Nobody Can Beat The IPads Price

Why nobody can beat the iPad’s Price

After years of rumors, Apple finally presented its expected iPad tablet on January 2010. It is physically very thin, about 1,32 cm. thick, with the edges rounded for a better hold, and a size of 24.28x17.87 cm. Its weight is 680 grams for the standard version, and 730 grams for the 3G version. The battery can last up to 10 hours navigating on the Internet, and almost a month on hold.

The mentioned before 3G version will be sold including contracts with companies such as AT & T in the United States. However, if you are outside the USA, the iPad will be sold unlocked worldwide.

The iPad’s price has been acclaimed “unbeatable” since its competitors, such as the Motorola’s Xoom Tablet and the Samsung Galaxy Tab, hasn’t been able to hit the iPad’s $500 price. This is one of the main reasons why the iPad is still first, best-selling product of its kind.

Since the iPad has been on the market, everybody has wondered how has Apple been able to get to that price. Jason Hiner of Tech Republic suggests that it is mainly because of Apple’s retail strategy since this company owns 300 retail stores worldwide that sell products directly to costumers. That gives them great advantages over other companies like Samsung, HP or Motorola who sell their products to retail chains like Best Buy, Wal-Mart or Target who keep a big part of profits. Also, in Apple stores, Apple products don’t have to compete with devices sold by rivals on the shelf beside.

On the other hand, we should also consider the high costs that Apple pays for each of its stores, and the sum of all parts, not just this retail subject.

Besides having its own retail chains, Apple designs its own hardware and software, which means that the company doesn’t have to pay licensing fees to others. Competitors mentioned before have to pay companies such as Microsoft or Google to use this intellectual property.

Otherwise, Apple runs its own digital content stores, where it gains money for each sale made through any of its digital stores, including App Store, iBooks and iTunes.

This article affects society positively because it is helping technology improve and education can be much easier. The iPad is a new way of researching, reading, writing, music and even education.

However, it affects negatively because, even though its price is very low for the product that Apple offers, it is still not affordable for every part of society, and will keep growing year after year.

At the end of the day, the iPad has a big advantage over its competitors, who are struggling to match the $500 price, in which Apple has dominance thanks to its retail strategy, digital market, and hardware and software.

Bibliography

http://www.applesfera.com/apple/ipad-el-eslabon-perdido-de-apple

http://edition.cnn.com/2011/TECH/gaming.gadgets/02/21/ipad.price.wired/index.html

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