"Apple can price their product lower and blast fitbit and other competitors off the running track" - This strategy is what almost put HP and Dell out of business. It doesn't work.
"At the end of the day it's just a watch with some cool features, but one that needs to be maintained daily powering up otherwise its useless" - The only smart watch that doesn't have to be charged every day is a Pebble and it's very limited in its functionality compared to the Apple watch.