It always amazes me when the eBay seller is an electronics recycler, and they have thousands of sales with positive feedback on items that they charged 10-200 times more than small sellers. I agree with some previous posts about upping the price when stock goes low (I've done that myself), but those people are actually listing and selling at those hugely inflated prices!
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You are paying for more confidence that the item is working fully. You are paying for the ability to return the item if it doesn't meet your expectations. And you are paying for that item being there for months or years until you decide you have to have it. In many cases you are paying for a vendor who actually knows what he is selling, not someone who bought an estate and can't tell the difference between a toaster and an environmental chamber.
I am one of those small sellers. I try very hard to make sure that what I am selling meets its description, but I don't accept returns. I just don't want to deal with it and usually am selling at a price point where the return postage is comparable to the value of the item. And as a small seller I can only do a maximum of 30 day listings, and can only renew a 30 day listing twice. So if I don't price it to sell quickly there is a fair amount of extra effort on my part. And finally, my sales are a hobby. I don't have to survive on the proceeds. If I did I would have to price things much higher or go do something else. So my prices reflect a desire to do little with the mechanics of sales and no need to do more than finance the next round of fun. I am motivated more by full shelves than by dollars. But I don't represent every Ebay seller or probably even a common subset.
Celebrate the fact that there are low price sellers out there. Have some sorrow for those who are making their living from these types of sales and are being undercut by people like me. And recognize that there are several markets out there. Some folks can take chances on low priced stuff knowing they have the time and knowledge to put it right. Others need to have the device in production within minutes of delivery and don't have any ability to do more than turn it on and set the dials appropriately. They will pay more to make sure their needs are met.