I agree with your comment low end computers but lets not confuse this with price, which Apple is not low end
So what do you think the average user is going to do with this raw power, typing faster or sending emails faster LOL most people especially with dailies do not stress any system. The endurance is very welcome for sure.
Take away these stereotypic case of rendering examples that are niche along with those that do compiling/VM's, most are not producing or manipulating data etc that need sustained raw CPU unless you consider your household bills in Excel is personally stressful lol
The average user is only pushing their system hard because of bad habits of not controlling running apps or GPU intensive apps.
With cheap low end computers also comes poor performing SSD's and memory this is what most notice not raw power of their CPU, then throw in gaming and your on a slippery slope
The M1 on it's own fixes very little for most other than endurance, it's its coupling with other premium parts no different to any other premium laptop is what counts and given its missing several key elements to give it more broader appeal it's probably Apples most stinted device to date for all it's raw CPU.
No doubt Gen 2 or 3 or 4 will hopefully fix this to some extent but while Apple holds on to Ipads etc I doubt you will get it all.