Five years ago, the Iphone 3s was released at the price of $600. Now, the cheapest Iphone 6 plus retails for $860. As phones become increasingly expensive, inexpensive Chinese phones have become increasingly relevant. The OnePlus one, a phone which boasts of cutting edge technology, is priced at $300. Oneplus utilizes the cost leadership strategy, selling quality phones for a low price.

What is impressive about this company that it is able to offer such a high quality phone for over half the price of the cheapest Iphone 6.  In order to cut costs, The OnePlus One is only available online. To order it, one would have to be sent an invite, which one would have limited time in accepting it. By doing this, OnePlus avoids excess inventory. They would only create as much as demanded.

I feel the OnePlus One is a great product. Although the phone is inexpensive, it doesn’t compromise on quality. This market segment (inexpensive quality smartphones) is becoming exponentially larger and OnePlus is doing a good job in securing it.

Work Cited: Economist, The. “Chinese Phonemakers Are Preparing To Take On The World.” Business Insider. Business Insider, Inc, 26 Oct. 2014. Web. 27 Oct. 2014.

“OnePlus One Benchmarks.” Phone Arena. N.p., n.d. Web. 27 Oct. 2014.

Picture: OnePlus One. N.d. N.p.