If they aren't making money on it, they won't sell it. I don't have regrets about haggling (except I'm never as good as I think I'll be) and never will do. They're in business, not charity.
If you give in too easily, they'll see the next foreigner as an easy mark, and increase the price by 10%. We have a duty to other tourists to haggle to the bitter end. It's not about ego, it's about ensuring our money isn't screwing up the economy as well. I've used the 'I'm not an American' feigned shock line when they tell me the opening offer on several occasions though, fairly successfully