Believe it or not the biggest barrier to adoption in those countries is not income per se as the middle class has been growing for over a decade, but trade barriers and import tariffs that make even the cheapest phone ridiculously expensive by western standards.
Compare the prices of some Chinese android phones in their home market with the prices in India. A Gionee model that went for around $230 in China sells for nearly $400 in India, almost twice the price. And is not as if the Chinese don't pay any taxes.
India is a strange place in regards to pricing! I have no idea how Apple manufactures iPhone in China, sells it for $650 in US but will sell same one for ~$900 here.
They are saving transportation costs as we are right next to China. Maybe I'm missing something important but I will never get the logic of this kind of pricing.
They are saving transportation costs as we are right next to China.
They may not be coming directly from China. I was surprised to find out that in the Philippines, Japanese cars were much more expensive than in the US. It turns out that many of the the right hand drive models sold in the Philippines come from the US, not Japan. This was in 2005, but Japanese auto makers have been looking to manufacture more in the Philippines in recent years.
Compare the prices of some Chinese android phones in their home market with the prices in India. A Gionee model that went for around $230 in China sells for nearly $400 in India, almost twice the price. And is not as if the Chinese don't pay any taxes.