This is just me but I sell books (novels that I've read but that are in perfect condition) and other random things I have around like unworn shoes that my mom or I bought thinking we'd wear them and never did, etc.
I usually list them starting out lower than retail (about $5-$20 depending on the item, nothing I sell is over even $100) and I normally have a lot of watchers. Sometimes if I see a lot of watchers, I'll lower the price by even a couple dollars more, but sometimes it brings in bids, sometimes it doesn't.
For example, I have a pair of brand new better designer shoes up that were $88 retail not including tax...I have them listed for $35 and there still aren't any bids/watchers and only a day left. I don't know whether it's because the size isn't one that many people take but my view counter is at 38. So it's times like that that I wonder why there aren't any bids.
I know people want deals but I can't take TOO much of a loss, I sell things on ebay to try to make SOME of my money back since I can always use the money.
Also, that reminds me..I had a lot of 3 books up once. Each book retailed for $13 in the bookstore and mine were brand new, only read once. I had them listed for $12 for the lot of 3, thinking the $27 savings would bring people in. Well some lady had the audacity to email me and ask if I'd set up a BIN for $6.99 for the lot of 3 books. Um no, that's where I draw the line. I'd rather keep them myself than take THAT much of a loss.
But also as a buyer, I do get annoyed by seeing things up for such a high price when you KNOW they're not worth that much. For example, I've watched an LV red/creme pochette be relisted quite a few times now with a $699 BIN and the starting bid is of course, not meeting the reserve. That's much too expensive for that bag, if I was going to pay that much I'd rather get the Papillon instead.