But those economic realities do not play in the mind of Daniel Pan, 22, a Web site designer in Shanghai who says a friend recently bought an iPhone for him in the US.
He and other people here often pay $450 to $600 to get a phone that sells for $400 in the US. But they are happy.
Pan is among the new breed of young professionals in China who can afford to buy the latest gadgets and the coolest Western brands. IPhones are widely available at electronic stores in big cities, and many stores offer unlocking services for imported phones.
Chinese sellers of iPhones say they typically get the phones from suppliers who buy them in the US, then have them shipped or brought to China by airline passengers.
Often, they say, the phones are given to members of Chinese tourist groups or Chinese airline flight attendants, who are typically paid a commission of about $30 for every phone they deliver.
Though unlocking the phone violates Apple’s purchase agreement, it doesn’t seem to violate any laws here, though many stores may be avoiding import duties.