Everybody is aware of Apple’s slick designs and classic phones. They were known for pushing the market and being the first to create a sleek, simple, easy-to-use smartphone. Billions of dollars have gone into making Apple the technological powerhouse it is today, and they are a prime example of how image can prevail over innovation in the short run.

After every new iPhone release, Apple’s stock prices experienced a rise; however, after the 5S and 5C release Apple’s stock prices took an unexpected drop. Obviously, this came as a surprise to the public and to Apple as well. However, this should have been slightly anticipated as the 5C and 5S are hardly worth the upgrade from the regular 5, let alone the 4S. It is true that the 5 series of iPhones are better, but are they worth up to another $920?

At this point Apple is producing new phones at almost the same rate that Call of Dutys come out. But just like Call of Duty (it’s a video game), Apple products seem to be bought almost as a status symbol and because they are new, rather than because it is a major improvement. I guess the question is, is how long can a company get away with using their image to sell incrementally better products?

Sources:

http://www.imore.com/would-you-want-gold-colored-iphone-5s-poll

http://store.apple.com/ca/buy-iphone/iphone5s

http://ca.ign.com/articles/2013/09/11/apples-stock-prices-fall-after-iphone-5s-announcement