G?Five has reduced product prices by 10 per cent-30 per cent, say news reports.

According to Arshit Pathak, managing director, Kingtech Electronics, a G?Five group company, ?G?Five is one of the biggest manufactures of mobile handsets in China. Unlike other companies, we do not need to buy from a third party. By slashing product prices, we are looking at large volume business.?

He added that the company has reduced the prices of each handset, ranging from the lowest priced handset (below Rs 1,000) to the highest-end model (priced at Rs 4,500).

Explaining the rationale behind the price reduction, Pathak said that the company feels that that it should decrease prices when other companies are increasing their prices to increase the price gap with them. Also, the company expects a decline in the number of new mobile users being added every month.

?The number of new subscribers being added every month has fallen drastically. This means that all of the addressable market is connected but the low-end market has been impacted by various economic conditions.?