Consumers often ask why are there different prices for the same product in different countries. This is the case with the newly released iPhone 6, which was released earlier this month and made a huge buzz globally. iPhone 6 prices range from$649 to $849 in the US, According to this article
http://www.evad3rs.net/2014/07/iphone-6-price-worldwide-international.html the following list shows different prices for the iPhone internationally.
Hong Kong $720
what factors made these different prices, is it taxation? cost? shipping ? or is it just simple currency exchange rates?
In the case of apple, the cost is the same because it is manufactured in China, what could be causing this difference is mostly shipping and taxation costs.
The price of a 16g iPhone 6 in the US is around $649 where in the UK it costs around $822. Consumers often ask, is it cheaper to buy an iPhone from the US or UK? As it appears its is cheaper from the US market, however the consumer might end up paying the same price. This is because of VAT and tax customs that increase the price. However, Apple has its own pricing scheme that almost no one understands as this following video discusses.
So, let us ask the question again, Why do Apple have different prices internationally for the same product. Where most companies set their prices the same for all markets and if there was a price variation, it is not as big as the iPhone’s.