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Apple called to testify in Australian price gouging probe

post #1 of 41
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Tech heavyweights Apple, Microsoft and Adobe have been subpoenaed to a public hearing by the Australian government to address allegations of unfair pricing practices in that country.

Australia ParliamentAustralian Parliament house. | Source: Parliament of Australia


Australia's House Committee on Infrastructure and Communications on Monday officially summoned the three U.S. companies to explain why Australian market products seemingly carry higher premiums than identical wares sold internationally, reports CNET Australia. The summons (PDF link) is part of an ongoing probe investigating possible digital content and computer hardware price gouging.

"Adobe, Apple and Microsoft are just a few firms that have continually defied the public?s call for answers and refused to appear before the IT Pricing Inquiry," Member of Parliament and inquiry head Ed Husic told Kotaku Australia. "It?ll be interesting to hear specifically how all three companies defend their practices ? particularly with regards to the pricing of digital products. Considering the amount of publishers that artificially raise prices on services like Steam for Australian consumers, hopefully these summons represent a very real attempt by the Australian government to take IT companies to task on unfair pricing policies."

From the summons:
The Committee is looking at the impacts of prices charged to Australian consumers for IT products ? Australian consumers often pay much higher prices for hardware and software than people in other countries.
The probe over IT hardware and software first launched in April 2012, with the Australian Parliament investigating pricing discrepancies between Australia and other countries. As an example, earlier reports cited the cost of Adobe's Creative Suite 6, which launched last year in the U.S. for $1,299, compared to nearly $2,700 in Australia.

According to the publication, Apple and Adobe previously attended a public hearings regarding the matter, while Microsoft submitted claims to the committee.

The three tech firms are scheduled to convene at the hearing on March 22 in Canberra.
post #2 of 41

Obviously Australia has the idea they are getting shafted.  Digital software shouldn't cost more in comparison to the US or EU.

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post #3 of 41
Quote:
Originally Posted by tylerk36 View Post

Obviously Australia has the idea they are getting shafted.  Digital software shouldn't cost more in comparison to the US or EU.


It has always been that way. Electronics, movies, and music have always been priced quite high there. It likely carried on in purely digital formats. Stated prices include sales tax there. They refer to it as GST, so you do have to figure that 10% sales tax is factored into the price you see. Even then it's often considerably more expensive.

post #4 of 41

They have more rich people there?

post #5 of 41
It took them so long to realize that they're getting shafted? Not likely. I think it was more of a convenience to charge more where there was not much of a repercussion.. I hope these guys don't come up with a 'convincing' reason to charge more for Australian markets..
post #6 of 41
Nothing will happen, if will blow over and we will still be cheated as we have been for decades.
These large companies are all guilty, although it would be nice for Apple to come clean, but this would be an admission of guilt.
post #7 of 41
Quote:
Originally Posted by bro2ma View Post

They have more rich people there?
No, we have a very high proportion of "Bogons", equivalent to Rednecks or Trailer Park Trash, as you would say in the US.
post #8 of 41
Ridiculous. The problem is not pricing. It's the fact you get different prices based on the country you sell in. There should not be an "Australian App Store", an "American App Store" and so on. It's the same bloody software.
I could understand the price being different based on software being localized, but I'm prevented from playing the US version, since it's an artificial limit.
And give me a break on "it's due to legal requirements". This, here, is the "legal requirement"-makers questioning the prices instead if the structure.

I haven't forgotten that DVD are artificially zoned (which is a scandal that DVD-makers never accounted for) and every time I switch countries, I'm annoyed by iTunes being country based (but iTunes bills curiously all come from Ireland for me.. how remarkable, that this is possible but not making my life simple with fair pricing).

Note: I'm not bashing Apple here, but the whole Entertainement Industry, with the incredible weight of the RIAA behind those not-so-absurd-since-they-make-artificial-millions rules.

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post #9 of 41
Quote:
Originally Posted by tylerk36 View Post

Obviously Australia has the idea they are getting shafted.  Digital software shouldn't cost more in comparison to the US or EU.


Digital software should be buyable in the US from Australia directly on Internet. End of story.

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post #10 of 41
Quote:
Originally Posted by lightknight View Post

Digital software should be buyable in the US from Australia directly on Internet. End of story.

It should be, but often isn't.

The selling web sites often verify the buyers location and sell from the buyers local web site,

  often at a much higher price.

post #11 of 41

I think a lot of the price gouging Australia experiences comes down to the well entrenched practice of local distributorships gouging heavily due to being handed a de-facto monopoly by the manufacturers that sign with them.  These deals for exclusive distribution are the legal reasons often used as an excuse, I believe.

 

Now obviously in the case of large companies that have their own operations, distributorships are not involved, but i think those distributorships set a very profitable trend for the market which the larger companies are more than happy to cash in on.

 

Here's a rather brutal example of how Australians are gouged.  A pair of B&W 802D speakers retails in the US for us$12,000.  In Australia, they retailed for us$24,610 in early 2012.  Lovely.
 

post #12 of 41
Apple hardware isn't too bad these days once you allow for an exchange rate risk of about 10% (or ten cents if you will) and then factor in the 10% GST which by law is included in the retail price.

Apps in the appstore are pretty close too.
But music and video on itunes is despicably expensive. No doubt becuase the local rightsholders expect the poor aussie consumer to pay for their value adding lifestyles. And apple just adds its margin on top.

There is no reason why we can't get this stuff on the US itunes store except for historic import and regional copyright restrictions. And they wonder why piracy is so rampant in this country.
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post #13 of 41
Companies should be able to charge what thy want to. Don't like Apple, buy HP. Figure it out. Secondly, I pay more for everything in NY. It sure is annoying but that's my fault for living here. This trying to control commerce and the markets is ridiculous. No one in any country is entitled or Photoshop and an iPad as a God given right.
post #14 of 41

Apple happily rips off anyone who does not buy from the US. Anywhere from 10-20% premium for the same equipment, quick and easy examples are:

 

Apple TV UK Price is £99 or $155.24, now to be fair the UK includes VAT at 20% so how does it compare to the US? Well $99 + 20% = $118.80 so us Brits pay an extra $36.44

 

Entry level 13" MacBook Pro, UK Price is £999 or $1566.78 US price is $1199, so $1199 + 20% = $1438.80 so us Brits pay another $127.98

 

Never fear Australians, Apple screws everyone who is not an American and they can get away with it too because only Apple sells MacBook's and Apple TV's and iMac's. Sure, you could buy a Dell or an HP or any other manufacturer and pretty much pay the same as the American general public, but you wont, because you want that MacBook because it's better than the virus invested pieces of shit that everyone else makes.

 

Sure it hurts that Apple screws you over because you're not an American, it would be nice if they treated all of their customers fairly but they are a business and as long as they can continue to bend you over and take the money from your wallet they will do so.

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post #15 of 41
Australia continually gets ripped off! I can understand some small differences due to import taxes, GST, logistics... but not the extra amounts they continually charge us!

I will keep buying as many products as I can internationally, and hopefully prices will get fairer. Or perhaps a boycott will be in order 1smile.gif
post #16 of 41
Australians shouldn't be required to pay more--we like them!
post #17 of 41
There is no reason why we can't get this stuff on the US itunes store except for historic import and regional copyright restrictions. And they wonder why piracy is so rampant in this country.[/quote]

As you point out, copyright laws are difference (as well as other laws). If Apple ignored the copyright laws and instead chose to sell US products in Australia, everyone would be complaining just as loudly.

You make the laws there, you get to deal with the consequences.
Quote:
Originally Posted by saarek View Post

Apple happily rips off anyone who does not buy from the US. Anywhere from 10-20% premium for the same equipment, quick and easy examples are:

Apple TV UK Price is £99 or $155.24, now to be fair the UK includes VAT at 20% so how does it compare to the US? Well $99 + 20% = $118.80 so us Brits pay an extra $36.44

Entry level 13" MacBook Pro, UK Price is £999 or $1566.78 US price is $1199, so $1199 + 20% = $1438.80 so us Brits pay another $127.98

It costs more to do business in Europe. Work weeks are shorter (which means more employees to do a job). Benefits are much higher. Transportation costs are higher. I don't know if those added costs make up for the difference, but it's a moot point, anyway.

Pricing is set by what the market will pay. If you think it's too expensive, don't buy it. If enough people think it's too expensive and stop buying, they'll lower the price. Unless someone has repealed the law of supply and demand, Apple doesn't arbitrarily set the prices. They set the prices based on market conditions.

So all the complaining about Apple's prices should be targeted at your countrymen. Apple charges more because you're willing to pay it. That's the way a free market business works.


Oh, and btw, AI, please hire some writers with a clue. You can't subpoena a company. Rather, you subpoena executives from the company.
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post #18 of 41

They are singling out well known companies to make a point. The whole exercise is pointless. 

 

I am currently in Australia for work and just purchased an iPad mini for the same price as I would have gotten it for in the US. If you compensate for tax (I get a refund on GST when I leave the country) it was actually cheaper in Australia. Assuming AUD and USD are equal, and they more or less are, Australian Apple products are marginally more expensive, if at all. Some end up being exactly the same price. If we were looking at this many years ago when the US dollar was double its value to the Aussie dollar, then ok. But it hasn't been that way is a while. And besides, you can't constantly change the price of your products based on global exchange rates. 

 

Most everything cost an exorbitant amount of money here. Everything from fast food to clothing. $10 for small value meal at McDonalds or $200 for a pair of jeans at a department store. At this point, Apple is the worst example for ripping of Aussie customers.

 

If the government wants to question price scams, look at the auto industry. $46k for the cheapest Chrysler 300C, or $68k for the cheapest Audi TT. Car premiums here are upwards of 50%-100% over US prices, or even greater for some super luxury cars. 

 

Where there is a difference in Apple's offerings is iTunes content. Movies and music do cost a lot more there, double or more. However, this is not Apple's problem to fix. Media is expensive here, via iTunes or not. 

 

Another thing to keep in mind is that Aussies get paid a lot more compared to places like the US. Their national minimum wage is $15.95/hour, more than double that in the US. Also, taxes here aren't as exorbitant as you would expect. So where does it all go? The high cost of stuff. Its inflation out of control. Things are expensive just because they can be. 

post #19 of 41

The silly court will get a lesson in international pricing. They'll learn that it's is a function of:

 

1) Allowing a buffer for exchange rate uncertainty;

2) Local taxes such as GST, VAT, corporate taxes (esp. if regulations require your posting a price that includes those taxes);

3) Local regulations on warranties, take-back, end-of-product-life obligations of the manufacturer;

4) Local costs of doing business that vary from country to country (labor costs, physical distribution, costs of carrying inventory; costs of advertising/promoting);

5) Pricing-to-market (which, in turn, is a function of local competitive conditions, demand, perceived buyer value for the product, etc.).

 

There are probably others.

 

Australia can solve this problem in one stroke if they moved closer to the US, adopted the USD as their currency, adopted our minimum wage laws, and developed a Texan accent! lol.gif

post #20 of 41
Quote:
Originally Posted by jragosta View Post


Oh, and btw, AI, please hire some writers with a clue. You can't subpoena a company. Rather, you subpoena executives from the company.

http://www.americanbar.org/newsletter/publications/gp_solo_magazine_home/gp_solo_magazine_index/civilprocedure.html

 

If I read it right, in the US a corporation can be ordered to respond under rule Rule 30(b)(6). It's not necessary to name a specific individual is it, much less an executive? The "corporation" may determine the person to respond to the order if it's not addressed to a named individual.

 

 

Considerations in crafting the Rule 30(b)(6) notice...  the obligation of the responding corporation is to present a witness able to testify as to matters "known or reasonably available to the organization."

 

The identity of the Rule 30(b)(6) witness. A critical consideration is who to designate as the corporate representative. As noted above, the rule does not require the person designated be the individual "most knowledgeable" about the subject matter, but there is nothing to prohibit the corporation from designating that person. Rule 30(b)(6) also does not require that the witness designated by the corporation be one of its employees. The rule indicates that a corporation may designate "other persons who consent to testify on its behalf." Sometimes the person most knowledgeable may not be available, or the corporation may decide that this person would not be the best witness to tell the corporation's story.

 

So I believe I'm correct that essentially Apple the corporation could be subpoenaed in the US, which would mean Apple the corporation would be left to determine the person best able to comply with the order. I'm no lawyer of course, just reading the rule.We have real lawyers as members here who may be able to confirm that understanding. 

 

That doesn't mean Australian law regarding depositions follows the same rules. They may not. AI may have been completely accurate in writing Apple was subpoenaed.


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post #21 of 41
Quote:
Originally Posted by Gatorguy View Post

http://www.americanbar.org/newsletter/publications/gp_solo_magazine_home/gp_solo_magazine_index/civilprocedure.html

 

If I read it right, in the US a corporation can be ordered to respond under rule Rule 30(b)(6). It's not necessary to name a specific individual is it, much less an executive? The "corporation" may determine the person to respond to the order if it's not addressed to a named individual.

 

 

Considerations in crafting the Rule 30(b)(6) notice...  the obligation of the responding corporation is to present a witness able to testify as to matters "known or reasonably available to the organization."

 

The identity of the Rule 30(b)(6) witness. A critical consideration is who to designate as the corporate representative. As noted above, the rule does not require the person designated be the individual "most knowledgeable" about the subject matter, but there is nothing to prohibit the corporation from designating that person. Rule 30(b)(6) also does not require that the witness designated by the corporation be one of its employees. The rule indicates that a corporation may designate "other persons who consent to testify on its behalf." Sometimes the person most knowledgeable may not be available, or the corporation may decide that this person would not be the best witness to tell the corporation's story.

 

So I believe I'm correct that essentially Apple the corporation could be subpoenaed in the US, which would mean Apple the corporation would be left to determine the person best able to comply with the order. I'm no lawyer of course, just reading the rule.We have real lawyers as members here who may be able to confirm that understanding. 

 

That doesn't mean Australian law regarding depositions follows the same rules. They may not. AI may have been completely accurate in writing Apple was subpoenaed.

 

Honestly I'm bewildered as to how you can cite American laws regarding an issue in AUSTRALIA. Yes both are common law countries but regarding corporations/ business laws one should not expect both jurisdictions to have the same legislation. 

 

"In a show of political bipartisanship in the House of Representatives today, both Labor and the Coalition joined forces to express their frustration with the refusal by global IT companies to voluntarily give public evidence as to why Australians pay significantly more than US consumers for hardware and software.


And both sides indicated the committee was on the verge of invoking subpoenas to force company officers to give open parliamentary evidence about their pricing policies.

 

Source: http://www.theaustralian.com.au/australian-it/it-firms-face-being-subpoenaed-to-inquiry-on-tech-pricing/story-e6frgakx-1226505251659

 

"The subpoena must be addressed to a person. If you wish to get documents from an organisation or a company you will need to address the subpoena to the 'Proper Officer' in that company or organisation. You should contact the organisation to make sure the address of their registered office is correct."

 

Source: http://www.lawlink.nsw.gov.au/lawlink/lawaccess/ll_lawassist.nsf/pages/lawassist_subpoenas_step_by_step_guide

post #22 of 41
lightknight View Post
Ridiculous. The problem is not pricing. It's the fact you get different prices based on the country you sell in. There should not be an "Australian App Store", an "American App Store" and so on. It's the same bloody software.
I could understand the price being different based on software being localized, but I'm prevented from playing the US version, since it's an artificial limit.
And give me a break on "it's due to legal requirements". This, here, is the "legal requirement"-makers questioning the prices instead if the structure.

It just costs more to ship those digital, er, goods... hmm. Fair enough. But some countries do have strict software restrictions, and others have tech export restrictions. That's why you couldn't legally send a PS2 to certain 'dangerous' countries, because the chips were powerful enough to guide missiles. China alone has so many rules about networked information that a curated worldwide app store is simply unfeasible. Stratification of the iOS App Store is a much easier way to deal with all those exceptions than (mis)handling them on a case-by-case basis. And I'm actually cool with not having a billion foreign language only apps in my search results...

As for the iTunes music store, it's per-country licensing and copyright. No getting the store around that.

 

jragosta View Post
It costs more to do business in Europe. Work weeks are shorter (which means more employees to do a job). Benefits are much higher. Transportation costs are higher. I don't know if those added costs make up for the difference, but it's a moot point, anyway. 

 

Absolutely. Every international company has to look at the total cost of doing business in each country. Consider that Walmart has the lowest (US) retail prices, but those are subsidized by the wage slave who is ringing your purchases.

 

You can't be jealous of US prices without taking the entire package. With low prices come low pay and atrocious-to-nonexistent benefits for the majority of workers. Low prices are essentially kept in place by an ineffectual Congress who doesn't let the minimum wage keep pace with cost of living.

 

Are you willing to give up all your government and employee benefits to save money on big retail purchases? Is it worth the trade-off?

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post #23 of 41
Quote:
Originally Posted by xtacee1990 View Post

 

Honestly I'm bewildered as to how you can cite American laws regarding an issue in AUSTRALIA. Yes both are common law countries but regarding corporations/ business laws one should not expect both jurisdictions to have the same legislation.

Ummmm... I think that's what I said isn't it? Yet you're bewildered?1rolleyes.gif The response was in reply to a comment from Jragosta who most certainly was depending on his understanding of US law and not Australian.

 

Anyway, thanks for finding a citation at a help page from New South Wales government, tho If you're claiming as a fact that a subpoena cannot be legally addressed to a corporation itself in Australia I'd rather see a cite from their bar association rather than a self-help webpage. No biggie in either case, particularly since the article doesn't specify whether the subpoena was served in the US or in Australia, and not even sure if that matters. 

 

Apologies for the distraction.

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post #24 of 41
Quote:
Originally Posted by hfts View Post

Nothing will happen, if will blow over and we will still be cheated as we have been for decades.
These large companies are all guilty, although it would be nice for Apple to come clean, but this would be an admission of guilt.


Guilty of what?  Selling their products for whatever price they choose?  I guess you could say they are "guilty" of being dicks, but that is about it.  You could always stop buying the products that are overpriced.

post #25 of 41
Quote:
Originally Posted by saarek View Post

Apple happily rips off anyone who does not buy from the US. Anywhere from 10-20% premium for the same equipment, quick and easy examples are:

 

Apple TV UK Price is £99 or $155.24, now to be fair the UK includes VAT at 20% so how does it compare to the US? Well $99 + 20% = $118.80 so us Brits pay an extra $36.44

 

Entry level 13" MacBook Pro, UK Price is £999 or $1566.78 US price is $1199, so $1199 + 20% = $1438.80 so us Brits pay another $127.98

 

Never fear Australians, Apple screws everyone who is not an American and they can get away with it too because only Apple sells MacBook's and Apple TV's and iMac's. Sure, you could buy a Dell or an HP or any other manufacturer and pretty much pay the same as the American general public, but you wont, because you want that MacBook because it's better than the virus invested pieces of shit that everyone else makes.

 

Sure it hurts that Apple screws you over because you're not an American, it would be nice if they treated all of their customers fairly but they are a business and as long as they can continue to bend you over and take the money from your wallet they will do so.


So the take away from your post is that even at the higher price you are still a buyer.  Why would they change if you don't stop buying.  It is like gasoline prices, Exxon et. al. charge whatever they think they can get away with, not what it actually costs.  Although I would have a harder time not buying gas to drive to work than I would not having my iPad.

post #26 of 41
Quote:
Originally Posted by jragosta View Post

There is no reason why we can't get this stuff on the US itunes store except for historic import and regional copyright restrictions. And they wonder why piracy is so rampant in this country.[/quote]

As you point out, copyright laws are difference (as well as other laws). If Apple ignored the copyright laws and instead chose to sell US products in Australia, everyone would be complaining just as loudly.

You make the laws there, you get to deal with the consequences.
It costs more to do business in Europe. Work weeks are shorter (which means more employees to do a job). Benefits are much higher. Transportation costs are higher. I don't know if those added costs make up for the difference, but it's a moot point, anyway.

Pricing is set by what the market will pay. If you think it's too expensive, don't buy it. If enough people think it's too expensive and stop buying, they'll lower the price. Unless someone has repealed the law of supply and demand, Apple doesn't arbitrarily set the prices. They set the prices based on market conditions.

So all the complaining about Apple's prices should be targeted at your countrymen. Apple charges more because you're willing to pay it. That's the way a free market business works.


Oh, and btw, AI, please hire some writers with a clue. You can't subpoena a company. Rather, you subpoena executives from the company.

Average minimum working week in the UK is 35 hours, although you'll find that 37.5 - 40 hours is what most people actually do. How many hours a week do Americans work on average? Genuinely interested.

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post #27 of 41
Quote:
Originally Posted by hfts View Post

These large companies are all guilty

 

Guilty of what crime? Setting an unpopular price is not a crime. Do you want your government to set the price on products? That's one way to force companies to stop selling into your country.

post #28 of 41
saarek View Post

Average minimum working week in the UK is 35 hours, although you'll find that 37.5 - 40 hours is what most people actually do. How many hours a week do Americans work on average? Genuinely interested.

 

Generally, if you regularly work something like 37-40 hours a week, your employer is required to offer certain benefits. Most professional careers offer this. But our largest growth sector is the service industry, where companies just hire more people and have everyone work 30 or fewer. With the eroding of our middle class (though not quite at Spain's level), we have more service workers but the same amount of professionals. Upward social mobility is becoming increasingly difficult.

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post #29 of 41
Quote:
Originally Posted by lightknight View Post

Ridiculous. The problem is not pricing. It's the fact you get different prices based on the country you sell in. There should not be an "Australian App Store", an "American App Store" and so on. It's the same bloody software.
 

 

I'd say it is hard to come to that conclusion unless you understand the companies thinkings for charging more in a particular country. In the US, we pay more for the same prescriptions that you can go to Canada and Mexico to get for much cheaper. In the US, the reason is clearly price gouging. However, it is a fact that different Countries have different taxes and fees associated with the sale of a product. Does Australia charge an import tax, what are local taxes like, are there fees, what is a retailers cut, for online software is the cost higher to deliver data in a particular country, etc.?

post #30 of 41
Lets break down the factors.

When they say $2700 are they talking US or Australian currency. If that's AU then what the currency rate.

Built in taxes? GST, VAT, whatever. What's the price without that amount.

Are there mandated taxes for imported goods? Do the laws allow passing that onto consumers.

Seems to me that the last is perhaps yes and thus could be a legal issue in that the laws this government made are hurting their people. They need to look at the issue and perhaps modify their laws. Such as a lower tax rate if the item is downloaded and not disc sold. Or limiting how much of said taxes can be past on to the cost.

Another item might be requiring companies to price adjust for currency on a more regular basis. It might be deemed prohibitive to constantly flux in a daily basis but adjusting prices for the current market every 3-4 months would be reasonable. Set dates for the pick of the rate like say 1 jan, 1 April etc and give them a deadline of like 7-10 days to implement.

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post #31 of 41
What is the tax and regulations in Australia as compared to other countries? Why would everyone want to single out Australia?
post #32 of 41
It's the poisonous snake premium.
post #33 of 41
Quote:
Originally Posted by charlituna View Post

Lets break down the factors.

When they say $2700 are they talking US or Australian currency. If that's AU then what the currency rate.

Built in taxes? GST, VAT, whatever. What's the price without that amount.

Are there mandated taxes for imported goods? Do the laws allow passing that onto consumers.

Seems to me that the last is perhaps yes and thus could be a legal issue in that the laws this government made are hurting their people. They need to look at the issue and perhaps modify their laws. Such as a lower tax rate if the item is downloaded and not disc sold. Or limiting how much of said taxes can be past on to the cost.

Another item might be requiring companies to price adjust for currency on a more regular basis. It might be deemed prohibitive to constantly flux in a daily basis but adjusting prices for the current market every 3-4 months would be reasonable. Set dates for the pick of the rate like say 1 jan, 1 April etc and give them a deadline of like 7-10 days to implement.


Like others here who have thought about the issues rather than taking things like our government, in very simplistic terms, you cover many of the complexities involved here.

 

The irony of this whole enquiry, is that this government, actually approved of the pricing differential that Australian's pay. They effectively banned the grey importing by retailers of books into our country, to protect the local distributors. Which is in the case of Apple where they are quoting the largest price differences from those being sold in the US.

 

And while many decry Apple in the media, hey it is a media sport thats been going on for years, they at least do "allow" work arounds, I have a US account which I use when a price differential is worth the effort. Most of the media here LEAD with the words Apple in the headlines when discussing price gouging, then straight away use Microsoft and Adobe's price margin differentials as examples. In essence Apple's gouging maybe at WORST be around 5-10% over the US price factoring in our GST, currency fluctuations etc. There is NO import duty like the UK as we have a free trade agreement with the US.

 

And the biggest differential is in electronic BOOKS, where no surprise, grey marketing is not allowed by the VERY government that is conducting the enquiry. Apple is in effect a licensed distributor by the owners of these products. The owner of the content, NOT Apple sets the price.

 

So when these idiots get Apple to talk, they may just have egg on their face, when they discover its they who have permitted any Apple price gouging. But then our current political masters have a great habit of shooting themselves in the foot with their own unthought out policies.

 

Also one other factor NOT accounted for by many is that in Australia you can often get iTunes cards at 30% discount off face value. These discounts are far and few between in the US.

 

Now Adobe and Microsoft have different cases to answer, as the prices they are gouging with are theirs entirely.

post #34 of 41

deleted


Edited by MacRulez - 7/5/13 at 3:22pm
post #35 of 41
Quote:
Originally Posted by saarek View Post

Apple happily rips off anyone who does not buy from the US. Anywhere from 10-20% premium for the same equipment, quick and easy examples are:

Apple TV UK Price is £99 or $155.24, now to be fair the UK includes VAT at 20% so how does it compare to the US? Well $99 + 20% = $118.80 so us Brits pay an extra $36.44

Entry level 13" MacBook Pro, UK Price is £999 or $1566.78 US price is $1199, so $1199 + 20% = $1438.80 so us Brits pay another $127.98


Never fear Australians, Apple screws everyone who is not an American and they can get away with it too because only Apple sells MacBook's and Apple TV's and iMac's. Sure, you could buy a Dell or an HP or any other manufacturer and pretty much pay the same as the American general public, but you wont, because you want that MacBook because it's better than the virus invested pieces of shit that everyone else makes.


Sure it hurts that Apple screws you over because you're not an American, it would be nice if they treated all of their customers fairly but they are a business and as long as they can continue to bend you over and take the money from your wallet they will do so.

Why don't you wait until Apple has has their say before crying foul. If they have a legitimate reason, then you will have your answer and can either continue to grab your ankles or try something different. I am not well versed in the fields of import tariffs and the like but their may be a good reason for the pricing. On the other hand their might not be we just need to wait and see.
post #36 of 41
Originally Posted by saarek View Post
Apple happily rips off anyone who does not buy from the US. Anywhere from 10-20% premium for the same equipment, quick and easy examples are:

 

Yes, that couldn't possibly be the price of international business. Nope. Certainly not having to deal with increased or different regulation, shipping and logistics, and the cost of building out support services for one hundred different countries. 

 

For crying out loud.

 

When I was in Ireland, I saw half pints of Ben & Jerry's. Seven euro. At the time, that was roughly $14. And Cadbury? It's more expensive in the US than there. I wonder why. 1rolleyes.gif

 

Enjoy your FUD.

Originally posted by Marvin

Even if [the 5.5” iPhone] exists, it doesn’t deserve to.
Reply

Originally posted by Marvin

Even if [the 5.5” iPhone] exists, it doesn’t deserve to.
Reply
post #37 of 41
Quote:
Originally Posted by MacRulez View Post


"Buy One, Get One" is effectively half-price, making them infinitely more expensive than Apple's iPhone 4 which sells for $0.

Do you imagine that iPhone 4 customers are "trailer park trash"?

Actually, both of those statements are wrong.

First, "Buy one, get one free" is not half price. Let's say the phone is $199 plus a two year contract (which will cost you something like $2,000. BOGO, means $199 plus TWO two year contracts, so it's $4199 vs $2199. Hardly half price.

And the iPhone 4 is not $0. It's $0 plus a 2 year contract - or something like $2,000.
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
"I'm way over my head when it comes to technical issues like this"
Gatorguy 5/31/13
Reply
post #38 of 41

deleted


Edited by MacRulez - 7/5/13 at 3:20pm
post #39 of 41
Quote:
Originally Posted by jragosta View Post

There is no reason why we can't get this stuff on the US itunes store except for historic import and regional copyright restrictions. And they wonder why piracy is so rampant in this country.

As you point out, copyright laws are difference (as well as other laws). If Apple ignored the copyright laws and instead chose to sell US products in Australia, everyone would be complaining just as loudly.

You make the laws there, you get to deal with the consequences.
It costs more to do business in Europe. Work weeks are shorter (which means more employees to do a job). Benefits are much higher. Transportation costs are higher. I don't know if those added costs make up for the difference, but it's a moot point, anyway.

Pricing is set by what the market will pay. If you think it's too expensive, don't buy it. If enough people think it's too expensive and stop buying, they'll lower the price. Unless someone has repealed the law of supply and demand, Apple doesn't arbitrarily set the prices. They set the prices based on market conditions.

So all the complaining about Apple's prices should be targeted at your countrymen. Apple charges more because you're willing to pay it. That's the way a free market business works.


Oh, and btw, AI, please hire some writers with a clue. You can't subpoena a company. Rather, you subpoena executives from the company.[/quote]

You're very pretentious and self-righteous for someone who doesn't actually know Apples inner workings.
I suggest you wait until after Apple have answered to the Australian body before you go off spouting your theories as flawless fact.
post #40 of 41
Quote:
Originally Posted by MacRulez View Post


"Buy One, Get One" is effectively half-price, making them infinitely more expensive than Apple's iPhone 4 which sells for $0.

 

Do you imagine that iPhone 4 customers are "trailer park trash"?

Your appropriate acro is "OTL": the word 'bogan' (note the spelling) is in fact an Aussie expression and has no relation with 'BOGO", as you have facilely presumed. Rednecks and 'trailer trash' can oft be significantly better informed, and less puerile.

 

Cheers

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