You probably won't make any money selling low-priced items. There are exceptions, but if you develop a great little product that sells for $50, and you make it for $20, you would have to sell 2 or 3 thousand a year to make any money. And then there would be support. And documentation. And promotion.

If you *REALLY* have a hot item, it will eventually get the attention of a larger company and they would make something similar in China. They could sell it at $25 and still make decent money.

You are better off finding a niche industrial market and selling 10 products for $5K each and $40K NRE.