Well for example if I want to go London in the peak then it is £230 which is ludicrous. Now petrol is a lot cheaper but the journey would take about 4 hours compared with 2 hours by train. So train doesn't win on price but wins on journey time and convenience. Not many people personally will pay £230 but will often by paid for by the companies they work for. Basically the Railways are relying on companies to pay these ludicrous prices.
If everybody followed your logic, then all the trains would be empty.
But luckily they are not.
Enough people are willing to pay the extra for convenience and speed to make that fare acceptable.
How can £230 be ludicrous if people are willing to pay it? Companies are run by people, who assess the circumstances, and decide that £230 is good value to get a highly paid executive speedily to London and back. If the fare was too high, they would not pay it. Nobody is forced to use the train. We still live in a free country (although if Labour had won another election we wouldnt have much longer left.....)
LIke with an ALR. I try to do one a year. 1st class, 2 weeks. Thousand quid. I am not well paid, but I live alone, so I can (just) afford it. People say its a silly price to spend two weeks on a train, and that "you could fly round the world for that much". Point is, I dont want to. For ME, £1000 for 2 weeks on trains is good value. Even with the restrictions (though if FGW ever gets included in the restrictions, thats where I shall finally call it a day...). Therefore, if there are other people like me (there must be somewhere, Im sure Im not the only one who buys this ticket, although judging by the reactions from some of the staff checking tickets, maybe I am...), then £1000 is still good value.