an article talks about how apple is selling things for less money in china. this is because there is a lot of competition from other companies. because of this, the money that apple makes from selling things in china is not as much as before. however, apple is still making lots of money from its services like the app store and cloud. Read from source...

1. The article title focuses on Apple's margins hit near decade-low in China, yet in the article, it discusses how Apple's services segment in China witnessed a strong growth. There is a lack of balance in the reportage.

2. The use of Morgan Stanley's report as the primary source of information gives the article a slanted perspective. Other sources of information should have been considered for credibility.

3. The article presents a competitive pressure narrative for the discounting, but does not thoroughly analyze the potential impact of Apple's deliberate strategic plan. The narrative seems more like a presumption than a well-researched inference.

4. The article does not explore the potential impact of geopolitical factors on Apple's business in China, which is an important contextual detail.

5. The article does not delve into the potential impact of Apple's recent shift to expand its production capacity in India, which might have strategic implications for its business in China.

6. The language used in the article is at times alarmist, using phrases such as 'Apple's Achilles heel', creating a sense of urgency where none may be necessary.

7. The article does not explore other factors that might have contributed to Apple's margin decline in China, such as changes in consumer preferences, fluctuations in demand, and other macroeconomic factors.

8. The article seems to downplay the significance of Apple's advertising, App Store, and cloud businesses in China, which could have a significant impact on its future growth in the region.

9. The article seems to overlook Apple's role in creating jobs and boosting economic growth in China, a fact that might have been relevant to the discussion.

10. The article does not present a balanced view of the opportunities and challenges that Apple faces in China, giving the reader an incomplete picture of the situation.

Overall, the article appears to suffer from a lack of objectivity, credibility, and depth in its analysis of Apple's business in China. It does not effectively present a balanced view of the situation, potentially misleading the reader.

Neutral

Analysis: Apple's margins in China hit near decade-low due to discounting and a weaker yuan, says Morgan Stanley. Greater China's operating margin for Apple was at 37.8%, a 310 basis-point sequential decline, and 160 basis-point year-over-year decline. This can be attributed to the competitive market and possible iPhone discounting. However, the Services business, which includes advertising, App Store, and Cloud, saw growth, accounting for 70% of the segment's revenue.

1. Apple (AAPL) - Despite the recent dip in the company's margins in China, Apple is still an excellent long-term investment. The company's success in the Services segment, particularly in advertising, the App Store, and cloud services, compensates for the decline in Greater China's operating margin. For a more aggressive portfolio, investors can consider buying Apple shares as the company is poised for growth in the upcoming quarters. However, investors should be aware of the risks associated with a decline in China's margins and potential competitive pressures in the market.

2. Xiaomi Corporation (XIACF) - As a rapidly growing Chinese smartphone manufacturer, Xiaomi is an attractive investment option. The company has reported double-digit growth rates, indicating its ability to navigate the competitive landscape in China. Additionally, the company's market share has been steadily increasing, indicating its potential for future growth. Investing in Xiaomi is not without risks, as the company operates in a highly competitive industry. However, for those willing to take on the risk, Xiaomi is an excellent long-term investment option.

3. Morgan Stanley (MS) - Morgan Stanley's recent analysis of Apple's decline in Greater China's operating margin provides valuable insight into the company's performance. The bank's research suggests that the decline is due to factors such as iPhone discounting and a weaker yuan, indicating potential risks associated with investing in Apple. However, the bank's analysis also suggests that Apple's management has the flexibility to optimize for gross profit dollar growth in China, offering a potential upside for investors. Given the bank's reputation and expertise in the industry, investing in Morgan Stanley is a sound option for those looking to capitalize on the information presented in its analysis of Apple.