Funny, all these complaints about the 2014 mini, which to me seems like a nice little computer for most peoples needs. However, no one can point me to a competitor who makes a similar machine at the same or lower price point.
If the 2014 mini existed in a vacuum where the 2011 and 2012 models never existed it would be a decent machine. After removing 3 key elements of the previous 2 models (upgradeable hard drives, ram, and downgrading to dual core from quad core) it's disappointing at the least.
As for competition, there are many options.
HP alone has 26 models that cost the same starting price of the mini $499 or less (as low as $159). Half a dozen include an 18-23" LCD screen, plus built in camera, plus keyboard and mouse. Those start as low as $320.
Chromeboxes (from Asus, Dell, and HP) start in the $150-180 range and can serve most people's needs, which these days are simply email, web surfing, social media, video chats, and editing photos. They generally have 16gb SSD's but come with 100gb of Google Drive storage for 2 years. 2gb of ram and Celeron processors.
HP also has a Chromebox-sized Windows 8.1 machine in two models launched yesterday starting at $179 for a dual core pentium machine with 32gb SSD and 2gb ram, plus 200gb of OneDrive storage for 2 years, or $319 for a core i series version with 500gb and 4gb of ram. A 1tb model is available. The Windows versions have HDMI out, display port out, (can run dual monitors) and 4 USB 3.0 ports. And they are smaller than the Mac mini.
LG sells a Chromebase, which is basically a Chromebox built into a 22 inch lcd display that comes with a keyboard and mouse for $319.
There are others, when you compare small form factor machines from other companies, which while larger than the mini are upgradeable and in the same price range. Plus full size desktops, which are fully upgradeable, are available starting around $300 from HP and others.
The main advantage the mini and all Macs always have going for them is they run OS X. But your point was what the average user is looking for, not a power user. There are cheaper alternatives that still offer a good user experience and better value. Apple doesn't have to totally compete on price but it would have been nice if they at least kept a quad core model available and didn't solder everything down (they also soldered the cpu in place so that cannot be upgraded on the 2014 mini's).