It's a luxury brand. You don't sell cheap and risk losing the people that are happy to pay $1400 for a new iPhone.
"luxury" is more of a marketing and product positioning term, it doesn't really have anything to do with engineering or quality practicalities
The brand is "Smart".
It’s an attainable luxury brand. There aren’t many products that a high school kid has in common with billionaires, superstar athletes and movie stars—the iPhone is such a product.