How will Apple’s false advertisement affect consumer’s views?

245761 new ipad How will Apples false advertisement affect consumers views?

Despite Apple’s strict quality standard in all aspects of their products, the company has agreed to a $2.25 million settlement in Australian court because of false advertisement on their latest iPad product.  The penalty incurred by Apple may be a small fee for misleading customers, but how will it influence consumer's view of Apple in the future?

245761 new ipad(1) How will Apples false advertisement affect consumers views?

Despite Apple’s strict quality standard in all aspects of their products, the company has agreed to a $2.25 million settlement in Australian court because of false advertisement on their latest iPad product.  The penalty incurred by Apple may be a small fee for misleading customers, but how will it influence consumer's view of Apple in the future?

The Australian Competition and Consumer Commission claimed that the third generation iPad did not support true 4G LTE as advertised.  Although Apple has agreed to settle, the presiding Australian judge has yet to give his approval on the settlement.  Apple has since changed its iPad product from “iPad WiFi + 4G” to “iPad WiFi + Cellular.”

Two million dollars is a small loss for the multibillion dollar company, but losing a false advertisement lawsuit makes one thinks that Apple cares more about making money than delivering quality product.  Of course the prior statement is an oxymoron since every companies want to rake in the cash, but how does Apple intend to keep its image of “quality” and “consumers come first” if—by chance—Apple gets accused of more false advertisement in the future?

Source: theaustralian.com.au

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