Only this has nothing to do with it.
iOS made inroads into the enterprise DESPITE the plethora of fart apps, Kama Sutra apps and such stuff.
Apple could care less about the hypothetical CEO you mention --not that 99.9% of CEOs would care about the presence of Kama Sutra apps in the app store when considering allowing the iPhone or not.
Mostly things like: employes and managers like to use it, it delivers a business advantage, we can deliver apps for our corporation in that platform.