3 new reasons Apple will scorch its rivals this year

“Now that the new iPad is here and everyone and his brother is salivating to buy one, there is much talk about how Apple dominates the tablet market,” Amanda Alix writes for The Motley Fool. “A recent survey by InMobi showed that almost 30% of those responding were planning to buy the new iPad, and that more than half of those people didn’t already own a tablet. That’s pretty impressive loyalty to a brand that these consumers haven’t even owned yet.”
Alix writes, “New iPads aside, there have been a few developments in the computer and gadget world that could very well increase Apple’s market share over the next several months.”

• Component costs for computers are rising: Forward-thinking bunch that they are, R&D teams at Apple replaced hard drives long ago in favor of flash, regardless of cost. Now, they will reap the rewards.

• Labor costs in China are rising: Apple, with its much plumper profit margins, could actually choose to absorb the cost. Of course, since it seems that zealous customers will pay just about any price to have the latest and greatest from Apple, that may not be necessary.

• Reduced price on iPad 2 will upset the tablet market: There is now a mere $200 between the Kindle Fire and an iPad. An iPad.


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