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Cupertino’s bet on Latin America

Yesterday we knew the news that Apple was planning to open its first Apple Store in Argentina by 2018. If confirmed, we would be facing the continuation of Apple’s slow deployment plan throughout Latin America after starting in the continent with Brazil in 2014 . Everything indicates that Cupertino’s company is beginning to take its official presence in the region more seriously, so it is worth asking what has changed to choose Argentina as the next candidate country to open an official Apple store.

The key is in the new legislation of Argentina

Argentina passed a new law last Monday that promises to change the marketing of electronic products completely in the country. Mauricio Macri’s executive will eliminate the import tariff on “goods considered to be IT and Telecommunications”, according to the newspaper ElPaís.cr.

Cupertino’s bet on Latin America
Cupertino’s bet on Latin America

This tariff charged 35% on imports of products into the country . With the exception of electronic products, it opens the door for the citizens of Argentina to acquire electronic devices at a more reasonable price. The 12% tax on imports of components for the manufacture of electronic products in the country will also disappear. Both exceptions will enter into force on March 31st.

Import tariffs on electronic products were pushing many users to purchase them in other countries

Until now, Apple’s products have suffered from a very high price due to this import tax and other macroeconomic factors. As a rough example, we have that a 12.9-inch iPad Pro with 32GB of storage costs 1,671 euros at the exchange rate in Argentina, while in Spain the price is 899 euros. 86% more.

Everything indicates that Apple is launching a new phase in the expansion of its physical presence in countries where it had never been officially. A few weeks ago, we learned that Apple had received the green light to manufacture the iPhone in India as a prelude to the opening of the Apple Store in the country . And we also see how since Cupertino they are not satisfied with just manufacturing and opening stores but also boosting the economy of countries with development centers like Indonesia.

Why does the Apple Store matter?

The Apple Store is a key part of the Bite Apple strategy. Initially, experts claimed that Steve Jobs had lost his mind when he tried to get into such a competitive sector as retail. One in which the margins of the manufacturers of technological products end up bleeding in abundance.

What the experts didn’t understand then was that Apple wanted to take back control of the sale of its products. Until then, they had been at the expense of department store employees. However, since they worked on a commission basis, and since Apple did not offer much in the way of wide sleeves, they preferred to sell other products with higher commissions.

La primera Apple Store oficial de Argentina abriría sus puertas en 2018.

The Apple Store turned the problem around. With them, Apple would control the message and the layout of its products, putting them in value . Although apparently their main function is to sell, the truth is that Apple stores act as “embassies” of the brand, placing themselves in very relevant places for the public.

With the lack of confirmation of the Apple Store in Granada, the last one to open in Spain was in Puerta del Sol in Madrid

And often using culturally important locations such as the Apple Store in Puerta del Sol and Paseo de Gracia. At the same time, and very importantly for the user, the Apple Store serves as a technical support and learning center for the operation of the products on the block.

The rumored opening of an Apple Store in Argentina opens the doors for the California company to establish itself in other countries in Latin America. Appleinsider sources reported last summer that Apple was interested in Argentina as well as Chile and Peru. Little by little, it seems that this is becoming a reality. In Spain, we are still waiting for confirmation from the alleged Apple Store in Granada.

At Apple

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