Question: Buzz surrounds Apples iPhone. Can you explain: Why doesnt Apple manufacture the iPhone at its own factory in the United States? Why doesnt

Buzz surrounds Apple’s iPhone. Can you explain:

• Why doesn’t Apple manufacture the iPhone at its own factory in the United States?

• Why doesn’t Apple offer a cheaper version of the iPhone with no camera?

• In view of the cost of producing an iPhone (in the table on p. 41), why do you think the price of an iPhone is so high? What other costs must be incurred to bring the iPhone to market other than the cost of manufacturing it?

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