When I visited one of my dads business associates who ran a software company, for example, the vast majority of PC's in their offices had monochrome text screens. A handful had EGA graphics cards and colour screens. I remember playing Zaxxon on one of them and finding it hysterical that the graphics and sound on their most expensive machines was worse even than on my C64.
The Amiga looked like sci-fi technology in comparison with what most people actually had in their offices or homes until several years in. Ironically if anything the significantly better graphics contributed to it being pigeonholed as a game machine despite the original Amiga looking like an office machine and being way too expensive for games.
The problem was not so much the original or enhanced graphics chips, which were groundbreaking in 85 and maybe even until ~'88 or so, but that AGA in 92 was way too little, several years too late as an upgrade to still justify the price premium on the Amiga. 7 years at that time was an eternity for the graphics capabilities to stand still.
Had AGA started a couple of years earlier, maybe Commodore would have lived long enough to complete their next two upgrade projects (AAA[1] and Hombre[2]), but with the chaos of Commodore at that time it's no surprise they didn't pull that off. I feel like Commodore was still in the 8-bit mindset of thinking they had time to milk their existing designs for much longer than they actually could.
[1] https://en.wikipedia.org/wiki/Advanced_Amiga_Architecture_ch...