[dennisw]

Apple’s business strategy of not making entry-level/bargain-basement models is actually proven and sound.

IOW they skim off the cream and say screw you to the peasants

[Spktyr]

Not quite. That would be true if they only produced Mac Pros and MacBook Pros (i.e., the Peerless Motor business plan.)

No, they do everything BUT entry-level/bargain-basement. They have low-midrange, midrange, and high end.

Note that Sony and Pioneer don’t compete in the bargain basement arena any more either - doing so is a great way to lose your brand equity. Colt also discovered that the bargain basement pistol idea wasn’t so great for their brand. Jaguar went into the entry-level luxury market, and it’s dragged down their entire brand.