Apple does not fight in prices. They cost a premium, yes, but they deliver quality. By that I mean not only a well-built computer, but also a well-designed machine, in looks and functionality, especially the best OS and user interface out there.
You know, I would say that used to be true, but ever since their 'reJobsification', it seems like they've concentrated more on image than on quality. Everyone says they have great quality, but I have witnessed plenty of Apple hardware failures, mostly on their laptops, but also cinema displays, ipods, and so forth. On the other hand, all of my pre-iMac apple hardware is still going strong. I think the PowerMacs are built really well, but their other hardware isn't really any better reliability-wise than most other top-tier PC manufacturers IMO.
As for the OS, I like OS X a fair bit and use it daily, and it's certainly a tremendous improvement over the utter crap that was the classic OS, but Mac-heads tend to praise it (and especially the UI) like it's the best thing in the universe. Let's face it, the first two releases of OS X were basically 'paid betas', and are pretty much worthless nowadays. The UI has undergone many serious changes since 10.0, and UI consistency has gone down the crapper. Why does Mail have to look different from every other app now? How about iTunes and Safari? Apple used to be really serious about consistency, and in fact this was one of the strongest points of the classic OS, but it seems they've lost interest in it.
There are a few other things that bug me about OS X... for one, the new 'big features' that they feel they must add in every release don't always pan out. For 10.4, it was Dashboard and Spotlight. Dashboard pretty much just sucks-yes, it can be handy for some things, but the fact that you can't interact with it and your desktop at the same time really knocks it down quite a bit in my eyes. Spotlight I'm sure will improve over time (especially as apps continue to add their own metadata), but the way it is right now, it's far less efficient than the old method of just searching for filenames, and takes up more system resources to boot.
The OS really needs some responsiveness tweaks, as well. Even on the Mac I have at work -- a G5 quad with 2G of RAM -- I get the pinwheel of death more often than I'd like, and the machine still swaps all the time. On top of that, stupid things like print dialogs, file choosers, and the ever-lovable 'The clipboard failed to export because it is too big to export' message prevent me from doing anything else, and this just feels like a big relic from the non-preemptive days. What the hell is up with that message, anyway? I have 2G of RAM and god knows how much swap, and I can't copy 50 megs worth of image data to my clipboard and paste it somewhere else? Apple needs to just throw away all the legacy stuff and overhaul the OS.
.... ok, that turned into a rant, but my point is merely that the Apple premium is not at all a guarantee of quality, either in the hardware or the OS. Unfortunately, I see this becoming more true as time goes on, especially as Apple continues to try and leverage the iPod in order to sell more Macs.