Just started to use my laser again and noticed the red dot positioning laser is not a pin size dot but a 4mm a 2mm rectangle? There is no way to focus the red dot…Is this normal?
Not at all!
Most likely, the lens focus ring is hidden under a dressy snout that you must unscrew and remove and maybe discard. The ring may be glued in place, but if you remind yourself you have nothing to lose, it should yield to persuasion. 
If the patient doesn’t survive the operation, you can restock easily enough. Some of those are so cheap they don’t have a focus ring, so choose carefully.
The beam from a diode laser is relentlessly rectangular, but can focus down to a decent point:
I added a polarizing filter to cut down the brightness and make the dot visually smaller:
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