Excellent advice and reasoning as usual Chris. However, I think guys like this provide a decent enough service for certain types of angler... those on a budget, the less discerning, and 'occasional' anglers. Let's be honest, not all anglers live and breathe flies and fly fishing like some of us sad cases on here! Cheap as chips, and second rate materials doesn't necessarilly mean a false economy though.. most mis-shaped or rough looking hooks (therefore potentially weak) will be weeded out before tying, so you'd be unlucky to loose fish due to the hook. And I think the flies, genreally speaking, are no worse than many of us seasoned tiers would knock up on bad day... a little overdressed here, a dodgy palmer there.

As you say though, you get what you pay for, but the budget guys allow the less fussy, and/or wealthy to amass a good range of flies for a song.