Last month, Apple released 2 new iPhones, which sparks a buying spree again after the emergence of iPhone5. More specifically, to our surprise, a cheaper and colorful model named iPhone5C came out, which is targeted at less wealthy countries where people cannot afford for an expensive new iPhone.

It seems that Apple wants to express and expand its value proposition to those less wealthy countries. Obviously, with Apple’s profit growth slowing, and smartphone sales surging in countries like China, India and Russia, the cheaper iPhone is meant for what analysts call “aspirational consumers” in those countries — the top 10 to 20 percent who are slightly uncomfortable about spending more money on a fancy brand, but might be convinced at the right price.¹

What’s more, it especially wants to dominate China smartphone market where is now the largest cellphone market in the world. Because in China, the manufacture of smartphones running Google’s Android software system plays an incredible part of the market. Consequently, Apple utilizes the new cheaper iPhones to compete with those cheap Android cellphones.

However, the iPhone5C is not as cheap as it sounds. Because, Apple claims that iPhone5C contains the key parts of high technology, which keeps the same as iPhone5. Nevertheless, it cannot be denied that Apple’s share is steadily increasing in the world smartphone market.

reference:  CHEN, BRIAN X. Apple Unveils Faster IPhone, and a Cheaper One, Too. N.p., 10 Sept. 2013. Web. 01 Oct. 2013. <http://www.nytimes.com/2013/09/11/technology/apple-shows-off-2-new-iphones-one-a-lower-cost-model.html?pagewanted=all&_r=0>.