In China's bustling city of Shenzhen over 30 fake Apple stores are accepting pre-orders for the iPhone 6S and iPhone 6S Plus smartphones, the new versions of devices that have become a status symbol among wealthy Chinese. The stores look like the authentic versions in the company's second-largest market, where staff members wearing blue T-shirts with the company's iconic white fruit logo sell iPad tablets and Watch wearables.
Interestingly, Apple only has one official store in Shenzhen, and just five authorized dealers in the region. In the 1-kilometer shopping district most of the stores are themselves fake Apple retailers. However, they are selling genuine products.
China's sales of Apple laptops, tablets, smartphones, and wearables have surged recently. In the third quarter (Q3) its revenue doubled from one year ago to $13 billion.
Apple's new iPhone versions will only be available in China to customers who pre-ordered them online. The tech giant announced that demand is greater than supply.
Shenzhen's phony Apple stores are exploiting the situation. They are buying units through authorized channels in countries such as Hong Kong and the United States, and then selling them for up to twice the original retail price, according to Reuters.
The unauthorized stores are also accepting pre-orders. The phones will hit the market on September 25, Friday.
Some tech analysts say that the fake Apple stores could boost the company's brand awareness. It had only 22 official stores in Q3.
However, the U.S. has urged China to protect American brands' copyrights in the country. This has resulted in raids on unauthorized Apple stores.
Besides China's fake Apple stores, knock-off iPhones are also available. They have a price point of $91 (one-tenth the cost of the genuine handset) and run on an Android platform, according to International Business Times.
This video is a tour of a fake Apple store in China: