It means they aren't accurate.
And no, your speakers don't suck--they are fair/good value for the price. A speaker that "sucks" would be something that costs $1,500 and could be matched or bettered by $200 speakers, all things equal. One such example actually exists within the same company--AV123 Onix X-LS, a $200/pair speaker, is more accurate and linear than their $1,500 Ref 1. Funny? Well the Ref 1 does have a gorgeous finish, but I hardly think that should account for $1,300 price differential. And I'm probably right; B-stock are $750 (usually B-stock might get you a 10% discount), and you can get these off Audiogon for like $500, so clearly the Ref 1s are a "looks before performance" type item.
The MX5021s fill the mids and treble better than the Logitechs, and the bass is alot cleaner, so thumbs up if you buy it, but just a heads up, probably the cleanest and most complete system is the Klipsch iFi at $200.
Even then, its just a stopgap feature. Actually I would probably suggest you look for a receiver or cheap amp ($40 Sonic T-amp comes to mind) and a pair of bookshelves. Such as the Onix X-LS comes to mind, at $200. The difference between them and the iFi/MX5021 will probably be a lot more than the prior--MX5021 over the Z-2300.
If the Z-2300 shares the same satellites as the Z-5500, then according to the Audioholics review the frequency response is around +/- 5db from 200-20KHz, which is why you are forced to use the equalizer (and induce distortion artifacts in the process, which is why EQing isn't optimal) to make the response more even. The X-LS is +/-1.8db, from 20KHz down to 60hz.
http://www.audioholics.com/productreviews/loudspeakers/Onixxlsp1.php
These speakers are a real gem. If you have the budget ($250ish, or $200 if you already have a receiver sitting around) and are willing to try something new, this will send your audio through the roof : )
The drivers themselves cost more than $110 out of the $200 total cost. If this were the Z-5500s, it would be more like $30 for components, $170 for Logitech marketting department.
Disclaimer: I don't own this speaker. The speakers in my sig were actually the reference that the Onix X-LS copied (very similar looks/design), but are a bit more expensive (80% more), less pretty finish, but a little more accurate (+/- 1db 60-20KHz)