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How Xiaomi prices its phones lower than its competitors

2 pointsby flying_whaleover 10 years ago

1 comment

simonhover 10 years ago
The similarities here to Apple&#x27;s business model for it&#x27;s phones is striking, and I absolutely do not mean that in a derogatory way. Setting aside the controversial issue of product design and marketing, Xiaomi appears to be a very well run company that has drawn all the right conclusions from their analysis of Apple&#x27;s product strategy and is applying those lessons to good effect.<p>It makes me wonder what it is about the other handset manufacturers that prevents them adopting a model like this. Is it internal politics that drives a short product life cycle? Is it carrier relationships that pushes them to constantly be releasing new devices for marketing reasons?<p>Presumably the direct sales model also alows Xiaomi to avoid the carrier bloatware issue, or do they load up their devices with paid crapware anyway? That&#x27;s not addressed in the article, but I&#x27;d be interested to know what their take is on that issue as well.