Indeed. Companies in highly regulated markets (eg. pharmaceuticals) tend to have high profits. Very beneficial to the shareholders.
It also can have the effect of "commoditizing" a product, which leaves price as one of the few ways of differentiating your product. For example, given specs that match, one AC adapter that has a valid UL file number is much like another, and I don't have to spend thousands of dollars analyzing whether they did or did not (and will or will not in the future) use only approved tape (or resin) from an approved manufacturer half a world way.
Best regards, Spehro Pefhany