Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Apple Inc. (AAPL) Stymied by “Political Craziness” in China

Apple Inc. (NASDAQ:AAPL) is coming up against the implacable might of the Chinese government in their efforts to get their newest iPhone models sold in the country, and it’s a fight that could prove very costly to their bottom line for the rest of this year. As Gerber Kawasaki CEO Ross Gerber told Fox Business News today, the delays are not of Apple Inc. (NASDAQ:AAPL)’s choosing, but are the unfortunate reality of doing business in the communist country at times.

Apple AAPL Google GOOGL Smartphone Girl

“Yeah, I mean it’s a totally unfair business practice. For the iPhone to be sold it has to be approved by the Chinese government, and obviously this has been going on for some time, and then they just don’t approve it. You know, the politics behind this is ridiculous. So we are giving 24 billion U.S dollars to Alibaba in an IPO, but we can’t even get an iPhone sold in China without the political craziness of doing business there,” Gerber said.

The delay is apparently the result of an impasse between China’s Ministry of Industry and Information Technology, and Apple Inc. (NASDAQ:AAPL), over details relating to the launch or the phones themselves. As a result, the phones have not yet been certified for sale in the country.

Gerber said that Chinese consumers would now be forced to buy the new iPhones on the black market or in Hong Kong, where pre-orders there reportedly sold out in two hours leading up to its September 19 release there. Part of that was due to the lack of a Chinese release date and the resulting black market that will develop for the phones as a result. It’s expected that iPhone 6’s smuggled into China by “mules” could fetch as much as four times their HK sale price.

For Apple Inc. (NASDAQ:AAPL), the China delays mean global sales of the new phones will be greatly impacted over the holiday season, and it’s still unclear when they will have access to China’s nearly 1 billion strong smartphone market. China Mobile, the country’s largest carrier with 800 million of those consumers still has no idea, and it may not be until next year.

Apple Inc. (NASDAQ:AAPL) is trading at $100.75 in afternoon trading, and are up 2.69% since their iPhone 6 and Apple Watch unveilings on September 9.


Warren Buffett and BillionairesFree Report: Warren Buffett and 12 Billionaires Are Crazy About These 7 Stocks

Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW for all the details.

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!