Following investor concerns over Apple's (NASDAQ:AAPL) iPhone 5c in China, there are reports that the device isn't selling well and that third-party retailers have begun to heavily discount the plastic model just a week after launch. That's not a good sign for the iPhone 5c's prospects in the Middle Kingdom. The good news is that the flagship iPhone 5s is selling quite well.
Before the iPhone 5c was made official, investors were hoping Apple would release a device at a lower price point to target the emerging markets like China. In hindsight, this expectation may have been misplaced, and the iPhone 5c is still positioned near the top of the market's pricing spectrum.
That's not necessarily a bad thing, though, since Apple's pricing strategy is largely why the Mac maker grabs more than 70% of the smartphone industry's operating profits. In today's episode of Tech Teardown, Erin Kennedy discusses the iPhone 5c's prospects in China with Evan Niu, CFA, and Jamal Carnette.