QNT 351 Discussion Chart Data

Apple sold only 17 million of 607 million mobile handsets sold from January to June of 2010 (this is equal to 2.8% of all sold.) Nokia, Samsung and LG combined sold 400 million (65.9% of total sold) handsets, with other brands selling 190 million (31.3%.) Apple generated 39% of profits from the sale of mobile handsets during the time period; Nokia, Samsung, and LG, 32%; others, 29%. While Apple sold about 1/24th of handsets sold by Nokia, Samsung, and LG combined; the company generated significantly more profit (39% vs. 32% of total.) The data leads to the conclusion that for each device sold, Apple generates 24 times the profit of the average of each Samsung, Nokia, and LG handset. Compared to other companies, Apple generates an average of 14 times the profit of each sale (achieved by dividing percent of profit by percent of total sold.) Since profit equals total revenue minus total expenditure, Apple’s production cost to retail value ratio was more efficient than any other company from January to June 2010.

Sources:

Pie chart: Apple’s outrageous share of the mobile industry’s profits. (2010, September 21). Retrieved July 11, 2015.

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