If I were to make a toy where "sometimes you have to turn it of, then on, to make it work" would be acceptable and the cost was low and the production volume was really high I would gasp use a RC reset. Even for the ISP chips, that would not be a problem since they arrive in ISP mode and no reset is required to activate ISP mode. Anyhow In such a case I would not use ISP, it is too slow for really high volume production.

HOWEVER; i would, regardless of volume, never use anything but a supervisor for any unit costing more than, say, $30. People that buy units that cost that much, ($50+ after the retailers markup) are entitled to a reasonable performance.

Erik