Anything High-End Like iPhones, Purses, Cars Are Huge In China - So Why A Need For A Low-End iPhone?

No one denies that China is a big market for just about anything you can sell.  Take this report from NBC News that China is on the verge of coming the world largest luxury car brand.

China is already a big market for high-end European brands like Louis Vuitton.  Rolex is huge there too.  Apple reports that China is about to become its biggest market.

Cars, high-end fashion likes purses and watches, and Apple devices.

I still don't see a need for a cheap-ass iPhone, do you?