Whenever a new model is about to release , price of previous models always tend to come down as marketing policy to stash out the remaining stock , and on da other hand giving ppl a chance to own something which they can use without spending more money !!!
The Easy understand that, Gen 2nd price cut down to prepare for Gen launch. That a reason to many user can buy Gen 2nd.India is a big market, I think almost smart phone maker wahrn incresas market share here..
India is sending tons of money to China as cheap mobile phones. China mobile business men are pleased.