Apple attempts to maintain high margins.that’s the problem. How high of a margin do they need to maintain? They can’t continue to expect to maintain high margins. The consumer electronics market does rise and fall and you need to be willing to ride those waves. If you attempt to maintain those high margins even when the market falls you end up with cheap products at expensive prices and that is where Apple is now.
Overall, Kuo forecasts that iPhone shipment volume will drop year-over-year in the second quarter of 2017, sitting between 35 to 40 million, less than last year’s 40.4 million in the second quarter of 2016.