That's not the point. The point is that Apple is telling retailers that they can't price their product lower than X value. As a result the price for Apple products is artificially high when compared with the competition. It seems the Apple zealots out there are happy to pay the artificial premium for Apple products. Apple could easily lower their prices across all their product line to come in line with real market value but would probably end up going out of business because PC compatible computers dominate the market. They can't afford to lower prices so they make people believe that there is value in the higher price.
Personally I'm happy with my Archos Jukebox Recorder/Rockbox combo. Great player, great software. No unreplaceable batteries to get used up after a year.