Price is a lot.
First, you have to amortise the cost of the item over its lifespan. That blender that is two bucks cheaper may last just as long as the solidly-built one, especially if I only have light-duty uses for a blender. Or the TV I bought a week ago for $200 has a planned lifespan of no more than about 5 years by which time I hope to have a plan for a better, complete entertainment system - so there's no point in buying a $500 TV that's going to get replaced in 5 years anyway. Or the car that costs $20k and lasts 5 years is still a better deal than the car that costs $50k and lasts 10 years.
Second, you have to look at opportunity costs. Even comparing a $20k vehicle that needs replacing after 4 years (a real stinker) and comparing to a $50k car that needs replacing after 10 (a bit of a stinker, but these numbers provide nice, round numbers), the $20k vehicle is still a better deal - I only need to come up with $20k now, if I need a loan, I only pay interest on whatever I can't pay outright on $20k, not the extra $30k, and the rest of the money can be used for other purposes for 4 years, perhaps in a GIC or other investments, or paying off other loans (credit cards, mortgage, etc.).
And, finally, you have to look at money available. If I need a blender, don't need anything fancy, and don't really have anything budgeted for it, the cheaper one fits that budget better. Maybe it's better to have the blender than not, but I don't have money for it. Blenders may make less of an issue here, but often vehicles and food fit here better - this becomes one of my issues with organic foods - by driving up the cost of good, nutritious whole foods, you force a bunch of people who are struggling financially (i.e., the poor) to buy less nutritionally beneficial processed foods because they can no longer afford wholesome foods. Yes, it's better, but if you don't have the money, you just don't have the money.