Well most people do drive Corollas and use mid-tier GPUs and buy cheap clothes and all those similar things.
And we're seeing this on the mobile market as well, especially in lower income places like China and India - the 300$ phones these days can do pretty much everything what an iPhone does. With a bit less pixels, slightly worse camera and less words like "Magical!" in the marketing pitch.
So it's getting really hard for people to throw away several months of their savings to get a marginally better product with an Apple logo on it. And you can see this in sales - people go for Huaweis and Xiaomis in Chinese market in droves. Even in Europe, Huawei is gaining a massive piece of market due to their cheap and good offerings.