Forbes on January 11th in the article "Apple May Need Cheaper Phones To Compete In China:":http://www.forbes.com/sites/greatspeculations/2012/01/11/apple-may-need-cheaper-phones-to-compete-in-china/
The Chinese telecom industry appears to be trending towards cheaper smartphones as opposed to the higher-priced ones from Apple, Samsung and Nokia.
You do realize Apple primarily cares about profits? There will always be a lower end market and different price points for a commodity item. I like how Forbes employs the weasle word 'may' in the article title.
Then a day later on the planned launch day of the iPhone 4S on January 12th, "Apple cancels the iPhone 4S launch in Beijing:":http://micgadget.com/20269/breaking-beijings-flagship-apple-store-not-selling-iphone-4s-after-fight-breaks-out-between-scalpers/
Lines outside the Apple store in Beijing’s Sanlitun district show no signs of shortening, causing frustration for the thousands of fans and scalpers desperate to get their hands on the iPhone 4S.
Someone needs to tell Forbes that China has a growing middle class and butt load of people.