Depends on a lot of other factors. In 1989, Apple enjoyed huge profits from the Mac. The management at the time made the wrong decision to focus on profits at the expense of marketshare.
I don't think they could compete on the cheap with Chinese clones with razor margins then as they can't today. It is simply a different business.
They are the only company that survived,Amiga, Commodore, Atari, Spectrum,all perished, so not so wrong.
If you ask the cheap product manufactures in China, all want to be Apple, life is better selling a small number of units at a high price that selling millions by weight.
