I'd hazard a guess Johnny-Purchaser wanting to dip his/her toes in the Apple market for the first time won't have a clue (or even care) that it underperforms a computer from a couple of year ago - as your comment on 2012 Mac Mini and the MBP 2010 states. I also think "most" purchasers, ie, those who aren't relatively technical minded aren't thinking about longevity vs cost.You're pretty confident in making such an ad hominem statement for someone who couldn't pick me out of a lineup . . .
I would give you LONG odds that I know the target market better than you do, and unlike you I don't underestimate that market. The market you're talking about is buying a cheap HP package at Walmart or Target.
This machine is a travesty for the price, offering less performance than a base Mac Mini from 2012 for double the money. It's barely more capable than a Macbook Pro from . . . wait for it . . . Mid-2010.
If this had been priced at $799 I'd agree it would sell well. But being on the wrong side of $1000, many people will stop to realize that the next one up offers twice the storage, is something like 3 times as fast, and is thus likely to be usable for a far longer period of time.
And $799 is what I'd expect it to be offered to educational institutions and the like in bulk.
It's a shiny, new (and cheaper) Mac - hits all the spots they need it for. Bingo. Sale!