That means if the dollar was very strong at release, the machines get very expensive in foreign currency.
They are just not realizing they are self sabotaging in terms of opportunity costs.
If they adjust prices to purchasing power, with at least 30% profit marge, windows laptops and chromebooks would be having crisis talks right about now.
People would prefer the Apple stuff, but not at that price. Even if you can easily afford it, if you are from a protestant nation, you couldn't live with yourself spending your money so irresponsibly. The value deal isn't there, unless you are using it professionally. But for leisure? No way.
People delaying purchases, or buying lower spec models or alternatives now may well want to upgrade sooner when their financial situation improves. If Apple sacrifices margins they risk losing out on those high margin sales return in a few years time. In the long term it may be better to take the temporary hit to revenue now in order to preserve their margin structure long term.
What they might do is introduce down market models, or more likely keep older models around in the lineup longer than they otherwise would at a slightly reduced price. That would still mean taking a hit on sales at the top end, as here with M2.
Changing the official price is not the only way to go. Apple is one of very few places which doesn't regularly run sales and promotions to adjust the sales of their products. They could easily run an Easter sale that takes a month, then something else again. This wouldn't change their margins long term.
It seems pretty likely that most of their supply contracts are using USD as the currency, even if the production is not happening in the US.
Apple states its quarterly results in USD, which is all their investors/media care about, so of course Apple cares enormously about profit/revenue in USD. in addition, much of their design/engineering/management/etc costs are in or coupled to USD.
They quite demonstrably don't. They care about profit-share, and about making what they see as the best computers they can.
As others note, Apple already takes either a plurality or a majority of the profit in computer sales. What incentive is there for them to reduce their average margins, take on a lot more support responsibility, and have to ramp up production significantly, just to capture a notoriously fickle and unrewarding segment of the market?
>What ruined Apple was not growth … They got very greedy … Instead of following the original trajectory of the original vision, which was to make the thing an appliance and get this out there to as many people as possible … they went for profits. They made outlandish profits for about four years. What this cost them was their future. What they should have been doing is making rational profits and going for market share.”
Just look at the BOM cost of MacBook Air and an iPad Pro. There is not reason why MacBook Air cant be $799.
There can't be a grey market if you charge the same price globally.
I don't see why this wouldn't work. It's not like Apple users are going to rebel and refuse to buy Apple products because of something like this.
Here in Mexico Apple products are around 20-25% more expensive than in the US which is way higher than simply adding the 16% VAT.
Not only that, in the US it's common to have Apple sales in multiple retailers like BH etc. These are almost non existent here in Mexico. The best we get is some meager discount at Costco for the models nobody wants.