The "cheap components" argument has been well disproven decades ago. A hydraulic clutch system does not make a KTM the better bike.

What components on Japanese dual sports do you consider "cheap"?
The Engine? Funny, a DRZ will outlast any KTM by double or more.
Suspension? Standard Showa and KYB is just as good an anything WP make. The difference is typically the spring rate and valving are OFF on the Jap bikes, the KTM more dialed in. But even so, most KTM riders I know (that's be a BIG number!) end up re-doing their suspension front and rear.

The other area KTM are good is that they have more modern chassis where the old DRZ and XR's are over 20 years old and never updated. So big advantage KTM here.

Should also be noted that in EU KTM is about same price as many Japanese bikes. In the USA, different situation as there are SO MANY used DRZ's and XR out there selling super cheap, fewer KTM's for sale and used one typically sell for more money.

XR Honda's haven't been made in 10 years now (* except XR650L), DRZ still in production as is DR650 and KLR.

KTM comes out with new models and different engines every few years. Some good ... some not so good! (see rocker arm disaster on 690's)

From a travelers perspective, many pick Japanese bikes for lower price (as you've said). Not many would walk away from a
$10,000 KTM, but an old KLR or DR could be abandon and rider may not take such a financial hit.