If people are dumb enough to believe that a higher price means better quality, then businesses should be able to collect that money. Part of selling a product is marketing that product. If someone can convince a buyer that their product is worth double what they're willing to sell it for, it's not the seller's fault. It's just like haggling for prices at a market.
This is just bad by the business and it gives that business a bad look. I would be ashamed if that was my product that was being sold. The company should look at its product and make the necessary tweaks to fix their faulty product. I would boycott those products until otherwise.
Profit is what business is ultimately about but it is criminal to overcharge for a product that is not as high quality as they claim it to be. It is misleading and dangerous to make things seem more lucrative than they actually are. It causes more of a division between wealth and poverty.
I believe that you should get what you pay for. A higher price point should equate to a higher quality good. Of course, there will be a small range due to differences in opinion, but largely, it would seem that the market will eventually settle on pricing that reflects the consumer's opinion about the quality of the product.