iPad Index 2013: How much does the iPad costs in 46 countries
The UAE is among one of the cheapest countries to buy the fabled Apple iPad, a new report has revealed.
The iPad Index 2013 ranks 46 nations on a unique parameter - the price of the 16GB iPad with retina display, and the UAE features among the top 15 cheapest countries in that ranking.
CommSec, or Commonwealth Securities, is an Australia discount stockbroking firm operated by the Commonwealth Bank of Australia.
Its latest research, the iPad Index 2013, released last week, compares the price of the 16GB WiFi-enabled iPad in 46 countries across the world and tracks the impact of currency changes on consumer spending, globalisation and retailer margins.
CommSec economists Craig James and Savanth Sebastian maintained in their presentation of the findings that such a price comparison identifies countries with currencies that are either overpriced or underpriced, and could be a good gauge for forex and other investors.
This ranking isn't too different in principle from the Big Mac Index, which is published by The Economist, and is an informal way of measuring the purchasing power parity (PPP) between two currencies and provides a test of the extent to which market exchange rates result in goods costing the same in different countries.
The Economist says the index "seeks to make exchange-rate theory a bit more digestible". By that logic, the iPad Index should be seeking to make the exchange-rate theory a bit more, well, digital.
In any case, in the UAE, Apple's latest wifi-only 16GB iPad with retina display now costs Dh1,999 ($544.24), making it the 12th cheapest in the world at the fixed-peg exchange rate of Dh3.673 to $1.
The same unit will cost $499 (pre-tax) in the US. Incidentally, the index also compares the post-tax price of the iPad in the US (California) and the price you'll pay there ($546.91) will be more than what you'll shell out right here in Dubai (or elsewhere in the UAE).
Based on that day's (September 23, 2013) exchange rates and pricing, CommSec ranked Malaysia ($473.77), Hong Kong ($501.52), and Japan ($501.56) as the cheapest countries in which to buy an iPad.
On the other end of the spectrum is Argentina, where an iPad would set you back by a massive $1,094.11 (Dh4,018.66). Unlike the Big Mac, which is cooked in every country, the iPad is the exact same in any place, and the performance of an iPad in Argentina is the same as the iPad in Dubai, UAE. But in Argentina, you'll have to shell out twice the amount that you'll have to pay in Dubai.
For the budding entrepreneurs, perhaps there is an arbitrage opportunity here - buy the iPad (and why not the iPhone, iPod and other devices too) right here in Dubai and sell them at more than double the price in Argentina?
Unlike the McDonald's Big Mac, the iPad isn't perishable so we're assuming that large quantities can be shipped without the worry of them getting 'spoilt' by delays although lord help you if Apple launches a new one while your million-iPad shipment is in transit! Additionally, there might be Customs duties and taxation to grapple with, but why not give it an explore, eh?
Nevertheless, there are still other countries where the ubiquitous iPad remains a luxury to afford: the official retail price in Brazil is $791.40 (Dh2,907); in Denmark, you can't buy it any cheaper than $725.32 (Dh2,664); or even Greece, where you can buy it for nothing less than $715.54 (Dh2,628).
Here's the complete list:
Emirates 24|7 2013
