Contents page 1 — The crisis is not only in China, page 2 — Apple’s dependence on the iPhone On a page
read a few months ago, Apple reached a peak in the company’s history. The US group was in August of 2018, a trillion dollars worth, as much as before, not a private company. Half a year later, the stock broke in the course of more than a third. And the new year begins with a further setback: Apple had to revise its Sales forecast for the just ended quarter, down significantly.
Actually, the technology company, from October, wanted to sell until December in the world of Goods and services to the value of 89 to 93 billion dollars, now it expects only $ 84 billion. The price fell in the meantime to around nine percent. Otherwise, Apple was always known to exceed expectations rather – it is the first Time since the introduction of the iPhone in more than a decade ago, that Apple missed its own forecast.
The group’s leadership sees the main cause of this in China: “We have underestimated the strength of the economic downturn, especially in China,” writes Apple CEO Tim Cook on his shareholders. The company makes according to CNN, 15 percent of its sales in the people’s Republic.
When the economy is growing more slowly, wages will rise slower and the Chinese people Worry about the future, they buy less-expensive Apple products, so the adoption. For this explanation, is that Apple has made in the USA and Germany record revenue.
Bought the Chinese out of Patriotism less iPhones?
The Chinese economic growth is losing already since 2010, momentum in the past year, the weakness, however, was particularly significant: a 6.5 percent growth in the gross domestic product last, which is for Chinese standards very little. 2018 could be the year with the weakest economic growth since 1990.
the trade is likely to have a dispute with the US. The conflict could have led to Chinese and Chinese directly to buy less iPhones, speculates Apple CEO Cook: you have made a conscious decision against U.S. products. In other words: from solidarity to your home country.
Cook, in his letter, further explanations in order to explain the decline in sales, without the need of his strategy: mobile service provider, the customer bought subsidized new phones less often than before, therefore less. It, however, is that the Chinese competitor, Huawei was able to increase its sales.
