Yes, but its also because just about every business in the US adhears to the "what the market will bear" rather than "quality product at a fair price" idea.
That and regulatory capture (think plumbers/ac repair/etc) mean that while the part may cost $25 retail, and it only takes 5 minutes to replace they can get away with charging $400 for it (happened to me recently) because they know its going to cost you more to replace it. Appliance repair is going the same way, as is automobile repair at a lot of dealers/name brand chains. The smaller guys will replace an alternator for $40+parts, but your going to be looking at 250+marked up parts at a lot of places. I had the dealer quote me $800 for a door lock, that I ended up fixing mysel for $2 in ebay parts and an hour in labor last year.
Its not always regulatory capture. I tried to get my TV fixed a few years back at some third party repair shop and they still wanted a minimum of $200 to maybe fix it vs me buying a new TV for $300. There is no regulatory capture for TV set repair... just the expenses for the repair shop to stay open.
That and regulatory capture (think plumbers/ac repair/etc) mean that while the part may cost $25 retail, and it only takes 5 minutes to replace they can get away with charging $400 for it (happened to me recently) because they know its going to cost you more to replace it. Appliance repair is going the same way, as is automobile repair at a lot of dealers/name brand chains. The smaller guys will replace an alternator for $40+parts, but your going to be looking at 250+marked up parts at a lot of places. I had the dealer quote me $800 for a door lock, that I ended up fixing mysel for $2 in ebay parts and an hour in labor last year.