The A1200 was released at a time when the Playstation and Saturn were about to be released, and when CD-ROMS started becoming quite common on PC's.
The A1200 spec should have included:
50Mhz 68030 with MMU as standard
4MB Fast Ram as standard (8MB optional)
Buffered IDE as standard
VGA Out (Scandoubled/Flickerfixed) as standard
CD-ROM as standard
Better graphics custom chips with basic 3D support
Better sound custom chips
Microphone input
With this setup the A1200 would have been a little more expensive but it would have blown the competition away.