As many other competitors have launched smaller tablets within past years, Apple has been forced to respond. They have recently launched the mini iPad at a price of $329 which is relatively expensive for a 7-inch tablet and $200 cheaper than the latest full-sized tablet. This mini version of iPad has a major flaw that it lacks Retina Display. It is clear that Apple could have easily installed Retina in this one as they have installed it in other gadgets with even smaller screen sizes such as iPhone 4.
However, people find it very easy to handle to iPad mini instead of the larger one because it’s super thin and light. Although, people who are used to Retina Display now might find it difficult to adjust with a non-retina display gadget as text looks blurry and photos and videos are not as sharp. It is assumed that Apple would soon launch a mini iPad with Retina and it will surely help Apple earn huge amount of profits.
Source: http://www.canadianbusiness.com/blog/tech/106441–apple-s-ipad-mini-dilemma
http://www.canadianbusiness.com/blog/tech/105999–ipad-mini-proves-steve-jobs-was-wrong