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It’s not just VAT. There are also import duties, taxes on salaries and land (there’s at least a warehouse, maybe also a physical store as well as a few pair of
by wodenokoto 4y ago
It’s not just VAT. There are also import duties, taxes on salaries and land (there’s at least a warehouse, maybe also a physical store as well as a few pair of hands in play along the value chain of selling an iPhone in Sweden)
Maybe salaries in Sweden are higher than us as well.
- Yizahi 4y agoApple tech sold in USA is also manufactured overseas, and should be subject to shipping, imports, salaries and so on.
- wodenokoto 4y agoYes and the difference of those adds to the difference of the end price.
- larsnystrom 4y agoI don’t think those things matter much on the whole, and I also think Swedish (tech) salaries are actually lower than what they’re paying in the US. But the Swedish krona has lost ~22% against the USD in a year. So a 10% margin seems pretty reasonable given they haven’t raised prices during that year and nobody knows how the currency will fluctuate the upcoming year.