Despite proving to be a success in most markets it has launched in, the iPhone 4S is failing to sell in South Korea, according to the Korea Times.

A report on the South Korean newspaper's website suggests that some retailers in the country are dropping prices by as much as 230,000 won (around £125) due to a lack of demand.

SK Telecom and KT are the only two South Korean networks offering the iPhone 4S and the companies claim to have sold 300,000 units since the device launched in the country on 3 November. However, they had initially expected to sell twice that number by Christmas, the report says.

One of the reasons for the lack of interest in the iPhone 4S, the report claims, is that 4G LTE (long-term evolution) handsets are grabbing all of the attention. South Korea's telecoms network - both wired and wireless - is envied worldwide as it offers some of the highest connection speeds available.

Sources quoted in the report said customers are able to buy the 16GB iPhone 4S at 580,000 won (£320), down from the suggested retail price of 814,000 won (£450). The 64GB model, which originally cost 1.07 million won (£595), is selling for 840,000 won (£465).

"We are still being asked to stick to the suggested retail price, however, we shouldn’t because it’s true the iPhone 4S is receiving a rather lacklustre greeting from local customers," said Kim Sang-min, who runs an outlet in the Myeong-dong district of Seoul.

However, the report must be taken with a pinch of salt, as the Korea Times' technology coverage tends to be dominated by reports favourable to Apple's rival Samsung, a South Korean company.