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Apple was able to capture 58.5 percent of the value of the iPhone, despite the fact that the manufacture of the product is entirely outsourced. Particularly notable is that labor costs in China account for the smallest share: 1.8 percent, or nearly US$10, of the US$549 retail price.
Powerful suppliers (e.g. labour suppliers) can influence profitability of an industry though charging higher prices, limiting service quality or by shifting costs to the industry participants. A supplier group is powerful if: It is more concentrated than the industry it is selling to; It doesn't heavily rely on the industry to gain revenue
This was evident with the launch of the iPhone 4, where international grey market traders bought large quantities at Apple's retail price then shipped to countries where the product was not available, adding a substantial margin to the resale price. The launch of the iPhone 14, which removed the SIM card slot in the United States and was ...
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On 23 November 2023, YouTuber Zack Nelson, known online as JerryRigEverything, uploaded a video where he announced [29] [30] that he and case manufacturer dbrand had filed a multi-million dollar federal lawsuit against Casetify for plagiarizing product designs relating to their "Teardown" line of items. The video claimed that Casetify had ...
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