It appears that the Asian mobile phone manufacturer HTC is considering making deep price cuts in order to boost sales.

While this particular strategy will undoubtedly improve sales of many of its flagship devices such as the HTC Desire and the One series of phones, analysts are concerned that in the longer term it could backfire. Some experts believe it could damage the company’s reputation, which in turn will ultimately damage future sales.

HTC was a dominate force not that long ago; however, in recent times, Apple and Samsung have been battling it out for top spot leaving the likes of HTC and Nokia lagging a long way behind.

One of the major problems facing companies like HTC is the economic crisis that has gripped many of the traditional markets for the Asian manufacturer. While the same can be said for Apple and Samsung, in reality these particular companies are now dominating.

HTC also made the decision to reduce prices after it ditched another flagship item – Beats Audio headphones. Doing this effectively leaves the phone maker to concentrate on smartphone development. Time will tell whether this works, as will the price-cutting strategy.

In other news, it has been reported that Samsung, LG and Sony are working on developing a range of Google Nexus phones. A recently leaked report suggests that each of the three manufacturers was working on its own Nexus device, namely Samsung Galaxy Nexus II, LG Optimus Nexus, and Sony Xperia Nexus.

This is one to watch, it seems.