The same thing had occurred to me. Even Gatorguy, the least offensive supporter of the underbelly of tech we have, is very quiet these days. We do still have a hard core few but they end to just be obnoxious for the sake of it and probably feed off being disliked for some mental disorder reason.
I think GG will be back in full force once he finishes his chemo/radiation treatments. That stuff saps the fight out of anyone.
One minute we're saying market share doesn't matter and the next we're saying it does. Which is it?
Why must people answer such a simple question in this forum meant for adults?
There are 2 different circumstances.
Circumstance 1:
If you are selling phones at a price that could not cover your cost or at a loss, is market shares meaningful?
The Android phone makers were probably hoping for higher sales volume in future to turn a profit.
But other than Samsung, all other big Android makers have been bleeding money for the past 2 years. (Motorola, LG, Sony, HTC)
Circumstance 2:
If you can sell your phone at 40% gross margin and maintain the profit margin even at higher sales volume, what does it mean if you can sell more phones?
I mean, seriously, do you need someone to explain such things?
Is there just one person posting a defense of, well not Samsung, but some hand wavy defense of allegedly "not so bad" nonspecific "high end" Android phones?
I remember when flame bait articles about Samsung marketshare would end 200 posts later. Maybe if DED wrote it.
After one of his articles there is no need to respond.
Market share means nothing without profits. We all saw that with android. People exploded when android (many vendors) overtook iOS (one vendor). But when the numbers actually came out Apple was just raking in the profits. That's all that matters when talking about market [/quote]
Market share means nothing without profits. We all saw that with android. People exploded when android (many vendors) overtook iOS (one vendor). But when the numbers actually came out Apple was just raking in the profits. That's all that matters when talking about market
[/quote]
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer
So the iPhone is going to get even more expensive?
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer[/quote]
So the iPhone is going to get even more expensive?
No what makes you suggest that except some need to be antagonistic and argue , apple sets its prices on the basis of a 40% margin or something like that
No what makes you suggest that except some need to be antagonistic and argue , apple sets its prices on the basis of a 40% margin or something like that
Why would this statement exclude Apple?
At which point the producer can start increasing prices to increase margin, thus create much higher profits.
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer
Apple just had their best quarter ever... selling a record 75 million smartphones... and they still only had 20% quarterly market share.
Here's why:
The "market" is huge. Over 375 million total smartphones were shipped last quarter. Apple represented just 75 million of that... for a 20% "share"
Apple will never be able to "eliminate" the other 80% or 300 million smartphones no matter how hard they try. But they don't need to... as they already make tons of money while never having a lot of market share.
I really can't see Apple jacking up the price of the iPhone since they hit a whopping 20% market share.
That may be how it works in other industries... but I don't see Apple changing their pricing structure because of some market share milestone.
Comments
I wouldn't be surprised if AI gets a letter from the lawyers of FU (Flounders United)
I think GG will be back in full force once he finishes his chemo/radiation treatments. That stuff saps the fight out of anyone.
One minute we're saying market share doesn't matter and the next we're saying it does. Which is it?
Why must people answer such a simple question in this forum meant for adults?
There are 2 different circumstances.
Circumstance 1:
If you are selling phones at a price that could not cover your cost or at a loss, is market shares meaningful?
The Android phone makers were probably hoping for higher sales volume in future to turn a profit.
But other than Samsung, all other big Android makers have been bleeding money for the past 2 years. (Motorola, LG, Sony, HTC)
Circumstance 2:
If you can sell your phone at 40% gross margin and maintain the profit margin even at higher sales volume, what does it mean if you can sell more phones?
I mean, seriously, do you need someone to explain such things?
Market share means nothing without profits. We all saw that with android. People exploded when android (many vendors) overtook iOS (one vendor). But when the numbers actually came out Apple was just raking in the profits. That's all that matters when talking about market [/quote]
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer
So the iPhone is going to get even more expensive?
I beg to differ a more correct statement is "market share doesn't matter until later"
At which point the producer can start increasing prices to increase margin, thus create much higher profits. It's the typical model of most companies to gain market share eliminate competition and then make tons of money. Trouble it failed for Samsung and it looks like it's failing for everyone except apple. Most startups are like this looks at Amazon now - it is at the point where it must create higher margins or the share price will suffer[/quote]
No what makes you suggest that except some need to be antagonistic and argue , apple sets its prices on the basis of a 40% margin or something like that
Why would this statement exclude Apple?
Why stop at 40%? Why not go higher?
Apple just had their best quarter ever... selling a record 75 million smartphones... and they still only had 20% quarterly market share.
Here's why:
The "market" is huge. Over 375 million total smartphones were shipped last quarter. Apple represented just 75 million of that... for a 20% "share"
Apple will never be able to "eliminate" the other 80% or 300 million smartphones no matter how hard they try. But they don't need to... as they already make tons of money while never having a lot of market share.
I really can't see Apple jacking up the price of the iPhone since they hit a whopping 20% market share.
That may be how it works in other industries... but I don't see Apple changing their pricing structure because of some market share milestone.