Remember that this isn't a smartwatch made just for runners. If you want that then go buy a Garmin. This is a device made for the greatest number of people out there and of those people, runners make up a small percentage.
Apple needs to balance the needs of the general consumer. That doesn't mean killing battery life with a GPS just so the small group of runners can have what they want, just as it doesn't mean adding a 4" screen for those with fat fingers.
This isn't a product made just for runners. If you want something to meet your runner needs, get a product made specifically for it.
There are far more sports out there than just running. The "Sport" in the name is simply because it has a sporty band.
Everyone I know that owns high end watches and Ferraris continues to buy more and more of both. They don't cry when a new one comes out, they just buy it. There's a huge difference between a high-end watch buyer and those you're describing which are people that can't really afford the high-end but buy it anyways so they need to trade-in every time.
Here you state that it's stupid to upgrade computers every year to keep up with the latest but somehow it's not stupid to do the same with watches. Brilliant logic.