The combination of very high standards for all Apple products combined with the pressure it puts on suppliers for low prices are the two main reasons why it is called "Apple Poison" in Asia.
This report came to Reuters today in conversations it had with Apple suppliers in Asia who are now struggling financially as iPhone 5 sales have dropped significantly, especially as we await the iPhone 5S.
For many years, suppliers have been making huge profits as each new iPhone has reportedly sold more than the previous one. But many fear that this phenomenon will soon stop. Wall Street's murmuring about Apple, its falling stock price, and the fact that Samsung has come closer than ever, capturing a larger share of the market each year, have worried suppliers to a great extent.
Added to this negative climate is the quality that Apple wants to offer in its products by setting strict specifications for all its suppliers, with specific delivery dates but also with little money for them.
So the nickname "Apple poison" was soon coined to describe the relationship between Asian suppliers and Apple.
Apple is set to report its second-quarter 2013 results tomorrow, with many analysts expecting earnings growth of just 8%, the lowest since Steve Jobs returned to the company. These forecasts are sure to further fuel concerns among the company's suppliers.
Dimitrios Georgoulas @ GreekAppleNews
