All of the scalpers I've encountered here in Beijing are scum. It's not equivalent to someone buying and reselling something on ebay in the US. It IS true that the scalpers here have FEW (if any) morals. They will lie to, cheat, and mislead you without blinking an eye, so long as they can earn a buck. And the supply of iphones in China IS limited. Right now it's not possible to buy an iphone 4 from a legit shop for the normal price. You can only buy them these lowlifes for an inflated price. Good for the consumer? Hell no.