All those are fair points. There’s not much freedom of choice because common people are struggling to live as it is, to splurge on something with a bad camera and battery life makes no sense (I believe those are some main points people upgrade their phones).
I’m running a 4 year old phone and probably will be going on 5th year because of economical strain.
In your analogy, it also doesn’t help that there’s only one ethical restaurant among hundreds of unethical ones. It’s expensive because nobody goes there and nobody goes there because it’s expensive.