To succeed in a diverse market like India, a manufacturer needs a strong brand, extensive reach, quality products and above all a presence across multiple price bands. While Apple has the brands and quality products, it lacks the reach and broader portfolio, both of which can squeeze the margins. Apple’s India profit for fiscal year 2013 plunged to Rs 112.66 crore from Rs 311.5 crore a year ago as it aggressively chased volumes by unleashing a marketing blitz and promotional campaigns such as zero EMIs and smartphone buybacks to lure more Indians. 

Apple is trying to make a presence in india and it may pay rich dividends over a term of 5-8 years as iphone is not affordable to all in price sensitive indian market.