Want an iPhone 4? Better line up
http://www.thestar.com/business/companies/apple/article/849001--want-an-iphone-4-better-line-up


SUMMARY

The demand for iPhone 4 has been increasing day by day, while supplies are still yet to come. Everywhere across the globe, there has been huge line ups in front of stores and even around the block. Some line ups are formed even as early as 5 am in the morning. In every country, and city, stories are the same; the demand of iPhone 4 has outstripped supply. Apple doesn't have enough supply of the phone to match the number of customers that line up outside the stores. Majority of wireless companies are sold out of have limited quantities of the phone. There companies include Rogers Communications, Bell Canada and Telus are advising customers to call the stores or go to the company websites to find out the more information about the phone. Rogers was sold out of iPhones and sent updates on Twitter, as well as their blog regarding the phone. There were many complaints building up about the shortage of iPhone. Bell Canada and Telus are also limited in quantities but Bell is accepting $50 deposits. Apple has no explanation as to why there is shortage on iPhones and suggest customers call local stores to find out more information about stock. It could possibly take days, if not weeks, before Apple is able to mange equilibrium between supply and demand.


CONNECTION

Apple's latest and most impressive smart phone iPhone 4 has reached a increasingly high demand. However, many wireless company's as well as Apple stores are short in supply. It's not that apple is unable to establish equilibrium between the supply and demand of the phone. The reason why Apple is creating a shortage in supply; they want to keep the price constant. For that reason, Apple will still be gaining profit without having to decrease their prices. As more and more people purchase iPhone 4, fewer amounts of this phone will be available in the market. The price range for this phone is high but consumers continue to have strong demand for this product. The increase in demand caused by the decrease in supply resulted in increase in prices and increase in quantity exchanged.

REFLECTION

Surprisingly, I use was one of those people who lined up in front of an Apple store for hours. It took me approximately 5 attempts to finally get my phone. After reading this article it made me realize how annoying it is to many other people as well. I was frustrated when i had to wait for my phone and finding out they were out of stock. I think they should at least provide some sort of information about the iPhone stock in advance. Other than that, I can still relate to the reason as to why they choose to have a shortage in supply. This increases their demand and still allows them to maintain a high price on the iPhone. I think the iPhone will continue remain very popular for a while because the white version will soon be available in stores as well.