How Xiaomi, OnePlus like companies sell their product at very Low Price?

How Xiaomi, OnePlus like companies sell their product at very low price? but Samsung like company fails to offer. 

Many companies were born, acquiring some strategy for the ultimate goal and success. New challenges makes new innovation to give more productivity and functionality for the best results. We think that their are two types of manufacturing companies in the technology field.

C-1 = Company type-A like Samsung, Apple
C-2 = Company type-B like Xiaomi, OnePlus 

C-1 selling their products(specs type-A which is average/good) on higher rates but the company is trusted brand. On the other hand another C-2  (Type-B)  is selling their own products with low price (specs type-B which is amazing), this company is also a trusted brand.

But the questions arises here, Why C-1 selling product on higher rate? Why C-2 offering lower rate? How much profits they earn? There are many questions which supposed to be arise! Here we will discuss all fundamentals of both types of companies.

At the core both companies profits are almost same then why their is such type of price differences occurs? C-1, C-2 both offers almost same build quality (vary sometimes) and varying best design in their own construction. Both companies holds valid certificates like FCC, CE.

Well the Answer is Simple (as per our research based), let's see the answer...

C-1 Strategy: Giving so much ads on TV, YouTube. Google Adwords, facebook, twitter, etc. for their product. This Ads makes a huge price difference in their product. They giving ads because for more sales of their product. The cost of ads is included in the product. So, that's why the product is much costly.


C-2 Strategy: They manufacture the product (eg. mobile) in limited models and limited stocks. They doesn't gives ads on any of the platform (eg. TV, Adwords). The cost of ads will effect on final product so they planned to invest this cost in manufacturing and giving the best results. So, the companies like Xiaomi, OnePlus will offers more specs and build quality in mobile devices at very low cost and flagship device at midrange.

So, this type of strategy benefits consumers as well as company (like C-2 did). Apart from all C-2 uses recyclable boxes and packaging is very simple and cost cutting

After this you might think that what C-2 do for selling their products? Well this is also a simple in sense.. here it is....

C-2's products have great specs at very low prices that becomes a news and it might get popular and other reviewers on technology on YouTube they suggest and people might follow their suggestion, if user feels this is very amazing at the price point they may suggest to their friends, family, etc.

On the other hand C-2 Sell their product on online store and might registration windows they do include on online store for selling their product. Now, registration windows strategy becomes very much popular and effective also.

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