Not in its DNA? Why Apple doesn't cut pricing just to gain market share

Apple's ability to get more cash for each phone sold is critical to growing its profits.

Apple Inc sold fewer iPhones than expected in the first three months of the year, but that bare statistic hides an important bright spot for the company. The average selling price of an iPhone grew more than it has since the days of the iPhone 6.

Apple does not break out figures for how many of each model it sells, but executives pointed to the premium-priced iPhone 7 Plus, which sells for up to $969 fully loaded, as the key to boosting the amount it gets on average for each phone.

The average selling price of iPhones is important to Apple because