I sold guitars at my last job, they were mostly entry-level ones with a few nicer guitars. Time and time again parents would come in and ask me what guitar they should get for their kid and I told them that if the kid was the least bit serious about playing to go ahead and get the nicer guitar because they are easier to play and learn on. The cheap guitars were around $100 and the nicer ones were closer to $300. I don't know how many times people walked out with the cheap ones only to be back 2-3 months later for the nicer guitar.
If you're gonna stick with something get decent gear, you'll save money and frustration in the long run. If you just want cool looking sharp(ish) things to hang on the wall go ahead and get knives that look cool but are cheap. If you want a reliable knife for EDC, hunting, utility work, or anything remotely like hard use then go ahead and buy a name brand knife. You don't have to spend a ton of money on the knife, a Grip can be had for well under $100 and if you want a fixed blade there are plenty that can be hade for around $100.
You don't need to spend a ton of money to get decent knives, it's just a matter of shopping around to figure out what you need for what you want to do. Maybe it's just that people don't want to spend the time looking fo the right knife so they just pick up the nearest cool looking thing with a blade the next time they're at wal-mart.