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Apple revs up forage into China market

APPLE Inc announced today to open two stores in Beijing and Shanghai on Saturday to double its number of stores in China, the world's biggest mobile phone market.

The two new stores, with another coming soon in Hong Kong, mark Apple's latest move to open 25 stores in China "as soon as possible" from the current four, said Ron Johnson, Apple's senior vice president of retail.

The US-based firm will release the long-awaited iPhone4 tagged at 4,999 yuan (US$735) and above in China, as well as new iPod Nano and iPod Shuffle next week and new iPod Touch in October, Johnson said.

"We need great big stores here to meet consumers' demand. Our Pudong store, opened in July, is one of the busiest Apple retail stores in the world now," Johnson said during a media tour to the newly opened Huaihai Road store today.

The two-level store inside the Hong Kong Plaza has 800 square meters of space and sells Apple's products from iPod, iPad to iPhone. Different from resellers, Apple Stores provide customers free product setup services.

Globally, Apple Stores contributed US$6.6 billion last year, one-sixth of the company's total revenue of US$36.5 billion in 2009. The average turnover of an Apple Store was US$26 million a year but the volume of stores in "big cities" was higher than that, according to Apple.

Apple will start selling iPhone 4 in the two local stores from 8am on Saturday at a price of 4,999 yuan for 16 GB model and 5,999 yuan for 32 GB, without mobile service contract.
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