Your point might apply to some, but at least in my case you're off the mark.
I bought my first PC in 1993. At the time I was almost completely ignorant about PCs, to the point that I assumed a word processor was included with the computer when I made the purchase.
After setting my brand-new PC up and turning it on, I couldn't find anything to *do* with it. The machine had DOS (6.0, I think) and Win 3.1, but no other software, at all.
I had term papers to write, so I returned to the store I'd bought the PC from, and spoke to the salesman I'd worked with. He explained to me that computers didn't 'come with' Word. He then explained to me that I could buy Microsoft Office for a couple of hundred bucks, or get MS Works for $70. I figured there had to be some qualitative difference, and asked repeatedly what the differences between Works and Office were. The answer I received was that Office was intended for professionals, and had extensive features that I'd likely never need or use, and Works was intended for home users with much lighter requirements. I was assured Works would be sufficient.
So, I bought and installed Works.
I then proceeded to work on a lengthy full-semester-project term paper. Very quickly I discovered that the Works word processor HAD NO UNDO FEATURE. There was no automatic UNDO capability at all, other than reverting to a previously saved version of your file. In my opinion, this was an unforgivable ommission.
I immediately went out and bought MS Office (v4.3, I think), and haven't used Works since. Works may have been intended for home users or students, but it was critically crippled for me, and presumably others. FWIW, I happily used that version of Office up until my employer mandated Office 2003 company-wide a few years ago.
(PS: The Preview window is stripping all line-breaks from my comment. Hopefully the posted comment is more readable than what I'm seeing. Using Opera 9.64, Win XP Pro SP2)