Just my personal opinion, but from a businessman's perspective, I think they should have entered the market with an offering that would fit where the Ruger does in the market. Ruger is the only one in that spot. It has everything you need, nice features, top level parts, reliable, accurate, nothing extra, and priced right. It would have fit with their premium line of AR15s, where you get the exact same quality parts as Colt, FN, etc, but at a much more reasonable price. The premium AR offering forced the rest to reduce prices by a ton to keep up.
The Rugers are commanding a high price now, because they sell all they can make, and can't make them fast enough. A solid gun, with the right parts, at a mid level price.
From there, they could have started offering customized batches with better features, until they sold enough that there was enough good feedback to actually add a new custom line as a standard offering.
Low end 1911s, well you can't beat RIA / Armscor, and the market is saturated. The high end stuff, people want a name that is already well respected as a builder of 1911s, so they either go for a top name like Ed Brown or Wilson etc, or they seek out one of the many fine locals that have a great reputation.