It's fundraising not a clearance sale, of course the prices aren't going to be competitive. The mindset is that you get something for your donation. Ever been to a charity auction where the bid exceeeds the stated value? It's a donation.
I disagree. A company manufactures a product with a certain market value. They price their product above that value, and pitch it as a fundraiser item. They then add an additional mark-up that will become the donation to the cause. By the time I am asked to purchase it, it is grossly overpriced, and both I and the cause are getting shafted out of money. I choose to not condone that business practice by not buying the products. If I view the cause as a noble one, I will simply donate money to it outside of the fundraiser.
EXAMPLE:
A company manufactures/buys a roll of wrapping paper. They price it at $5, and put it in a fundraiser catalog at $10. If I buy that roll of wrapping paper, the cause gets $5, the company gets $5, and I get hosed. If I need wrapping paper, and want to support the cause in question, I can go buy a roll of wrapping paper for $1 at Walgreens and give $9 to the cause. I win, the cause wins, and the company with bad business practices loses.