Somehow, that didn't happen when Google effectively withdrew from China.
If Apple were to pull out, even if the board didn’t fire Cook for that... would they be able to make phones? Is ANYWHERE on Earth capable of that other than China? I suppose you could buy all the parts from China and have them shipped somewhere else to be assembled but what would that do to the cost of the devices?
Would anyone buy an iPhone that starts at $1500 or $2000?
Probably, yeah. It doesn't seem like people mind paying $1000. It would just make it even more of a status symbol.
Are iPhones a Veblen good?
That would indeed take courage and principles on Cook's part. If the board had courage & principles they wouldn't fire him. And if they did — they'd demonstrate what sort of men they are.
> And no one would be better off.
Tim Cook would have his self-respect.
> Tim Cook would have his self-respect.
I agree. And I hope he’d hold the line.
But I think the people of China would be worse off. Stockholders would be worse off. Apple would be worse off, which means as an American buying heir products it might make them slightly worse for me.
Cook would immediately be fired by the board. They’d put someone new in, and that someone new would comply with China’s demand.
And no one would be better off. As Cook says at least Apple does the best they can and holds the line on other things like encrypting iMessage.