Why Phone Models Are Getting Cheaper

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Why Phone Models Are Getting Cheaper
Why Phone Models Are Getting Cheaper

Video: Why Phone Models Are Getting Cheaper

Video: Why Phone Models Are Getting Cheaper
Video: Is your Smartphone Overpriced? 2024, December
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The mobile phone has already ceased to be a luxury, an item indicating a high income of the owner. Now it is simply a means of communication, thanks to which you can talk with a loved one or business partner, wherever they are.

Why phone models are getting cheaper
Why phone models are getting cheaper

A mobile phone is a sophisticated electronic device with a special handheld transceiver that uses radio band and telephone switching to enable wireless calls within range of a cellular network.

The very first cell phone was created in the USSR back in 1957, it weighed almost three kilograms. Years passed, technologies changed, many countries conducted active scientific developments aimed at improving mobile communications, and already at the end of the 90s, a cell phone not only radically changed its appearance, but also began to firmly enter into human life, but its cost remained still quite high.

Why new phone models are expensive

It is no longer enough for mobile users that the phone allows you to contact an opponent or send him a message. New technologies also make it possible to access the Internet from a mobile device, send images and audio files. Demand creates supply, and mobile phone manufacturers offer their customers devices with more and more additional features and capabilities. But the introduction of new functions also requires changes in the production process, that is, the investment of additional financial resources into it. And, accordingly, the new improved model is more expensive than the previous one, less functional.

In addition, new items go on sale in small batches, for the first couple of months they are positioned in commercials as an exclusive and fashionable trend. But such a race for fashion often costs a lot, since you have to pay a lot of money for a newly released novelty.

And the manufacturer himself often artificially inflates the cost of a new item, for example, by slightly changing its design and adding minor improvements to the existing functionality. Of course, the name of the manufacturer, the so-called brand, which serves as a kind of guarantee of quality and a sign of the prestige of the phone, is of great importance in the formation of the cost of a mobile phone.

Why phone models are getting cheaper

As a rule, the price for new phones lasts a couple of months, and then gradually begins to decline. The main reason is the release of similar devices by other manufacturers.

Gradually, the novelty loses its relevance and is removed from production, and the goods that are still in the manufacturer's warehouses go on sale and cost slightly higher than its cost, sometimes no more than 50% of its original price.

Technological progress also plays a huge role in lowering prices for mobile devices. After the development and release of more advanced models, yesterday's novelties are no longer needed by anyone, but it is still necessary to sell them and the manufacturer is forced to reduce their price to a minimum.

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