Theyre determined by shareholders desire for more profit. Lost profit from fines means they have to make up the revenue somewhere else. I doubt they have any avenue for decreasing manufacturing costs without also decreasing revenue itself… which means they would increase revenue directly, which means increased costs (in one form or another) for consumers.
If Apple could make up the cost by raising the price, why aren’t they raising the price right now? Are shareholders saying “please stop at the current profit margin”?
Or is it more likely that Apple is already charging the highest price they can without losing sales and revenue?
You think Apple’s prices are primarily determined by cost, or demand?
Theyre determined by shareholders desire for more profit. Lost profit from fines means they have to make up the revenue somewhere else. I doubt they have any avenue for decreasing manufacturing costs without also decreasing revenue itself… which means they would increase revenue directly, which means increased costs (in one form or another) for consumers.
If Apple could make up the cost by raising the price, why aren’t they raising the price right now? Are shareholders saying “please stop at the current profit margin”?
Or is it more likely that Apple is already charging the highest price they can without losing sales and revenue?
This. You’d be silly to think that Apple didn’t already spend a lot of time and money figuring out the highest price they can charge for devices.