GTrusted

Israeli engineers have contributed a lot of the technology found in today's electronics and Israel is still a hotbed of R&D for many US companies.  Unfortunately for the average Israeli consumer, it's really difficult to reap the benefits of such contribution.  Israeli personal income, social security, and sales tax rates are one of the highest in the world.  That doesn't leave a lot in the coffers for discretionary spending on electronics.

Unfortunately, the Israeli consumer is hit by a double whammy when it comes to buying electronics.  Import duties for electronics ranging from 17-70% are yet another blow to the retail market.

Going into the Grand Canyon Mall in Haifa, Israel, the largest mall in northern Israel, the impact of these high taxes and duties are pronounced.  In the entire mall, there is only iDigital (a reseller of Apple products at ridiculously high prices), a dedicated iRobot (of Roomba fame) store, and small store by Dynamica (an Israeli electronics retail chain).

The most active place for electronics shopping in Israel must be in Ben Gurion Airport.  Here, many flights land and takeoff between midnight and 7am, creating a large pool of waiting passengers walking around shopping at 3am in the morning.

In Israel "Duty Free" has a big impact on the bottom line, and this can be seen with the crowds of people inside A.L.M. Duty Free at the airport.  Going there between 2-4am, the throngs of people shopping there could rival Black Friday shopping in the US.

Once inside A.L.M. Duty Free, the selection of electronics from all the major brands were in full force.

The store also promoted Chinese phone brands like OnePlus, Meizu, and ZTE also had heavy presence in the store.

If the Middle East ever clams down, and the Israeli government spends less on security, maybe someday the taxes and duties will go down creating a more vibrant electronics shopping sector.  Until then, companies like A.L.M. Duty Free will continue to do well exploiting the current situation.

Unlike in other technology hubs like US, Taiwan, Japan, Korea, and China where electronics are very affordable, don't waste your money buying any electronics in Israel.  Enjoy the Mediterranean-like lifestyle and great food instead in places like Fattoush, an excellent local restaurant located in the beautiful German Colony district of Haifa.