You can say that legitimate businesses would have a refund policy, but not having a refund policy is not illegal (as long as the promised goods are delivered), and it is clear that the money is needed to actually manufacture the goods, so a refund policy would not be practical regardless of how legitimate the business is.
I know its not illegal to not refund the money. Thats why I said "any legitimate business" and not "any business". Since his product is in high demand, he can always sell it again. His decision not to refund pre-orders makes me smell scam. That's all I am saying