According to the information on the production possibilities curve, the iPhone 5s marginal cost is about $198.70 yet retails for $699 while its trade off with the iPhone 5c marginal cost is about $173.45 yet retails for $549. The iPhone 5c although, will sell the phone for $99 with a two year wireless contract also technically cost about $30 less to produce. With money running scarce, Apple Inc. decided to rebuild their iPhone 5 but with cheaper materials, like a reinforced polycarbonate solution instead of their all-aluminum unibody. Thus, gives consumers the incentive that the new iPhone 5c is going to be less expensive than the iPhone 5s. The iPhone 5s has more luxurious features like a l.e.d light, touch i.d, and a new a7 processor. On the other hand, you have to consider the opportunity cost of where Apple Inc. will sell these phones.
In conclusion, with the iPhone 5c I believe it would be most lucrative in foreign nations since this was the intention of Apple Inc. The cost of the phone will be more affordable for those people in less profiting countries then more economic stable countries like America. Quite so ever, I believe that Apple Inc. in America, will economize the iPhone 5s and will be most lucrative due to the simple fact that American’s have money and are willing to spend it for top quality needs.