Apple is the biggest publicly traded company in the world. While they might not be the biggest smart phone or computer maker, they’ve recently sold a record number of devices worldwide to customers who are more than willing to pay a premium. Heck, the company even sold an iPhone without a headphone jack and hit an iPhone sales record, proving people will pretty much buy Apple-branded anything.
In China, however, Apple’s popularity is waning. The company’s sales in the major Asian market actually decreased in the last quarter as Chinese competitors continue to capture part of the market share.
But why are Chinese consumers turning away from the American tech giant, and how is it affecting the company’s bottom line? The Wall Street Journal recently investigated the issue, and what they found could cause the company investors to worry about the company’s future.
China and Chinese customers tend to favor Chinese-owned businesses more than American ones, making it incredibly difficult for companies like Apple to get an edge on their competition in the region. Yet if the company continues to release innovative products, play ball with China and their device-buying public, and release China-only features in the future, they could see a resurgence in the world’s most populous country.