The conventional wisdom just two years ago was that Apple needed to create a low-priced iPhone — not just lower-priced but low-priced — to compete in “emerging markets” like China. That would be true if Apple were interested primarily in market share. But they’re not, never have been, and never will be interested primarily in unit sale market share. Far from hurting them, Apple’s commitment to the premium end of the phone market is helping them separate from the pack in China.
When talking about Apple's market share, there's a big difference between saying "only 20%" and "the top 20%."