I understand where you are coming from. But remember that is low fi to mid-fi.
Companies like Audio Research, Conrad Johnson, Cardas… virtually all high end companies were not started as primarily money making enterprises… quite on the contrary, they were started by engineers absolutely passionate about sound reproduction. They hoped to make a living some day. Most nearly did not survive. I recommend reading about the history of ARC. The founder and his wife working from their house nearly lost everything when a vendor provided capacitors that exploded… he informed every single owner and fixed them (paying for shipping… everything) out of his own pocket. Mealy bankruping them… it was more important that his reputation remained untarnished and his customers trusted him than making money.
I worked with very closely the founder of a high tech company, Tom Brown… from Burr-Brown corporation for nearly 20 years. Literally working from his garage in the ‘50s created one of the most respected companies manufacturing Digital to Analog converters for the high end audio industry. A more humble and genial human you will never meet. The company always struggled with profitability… because he cared first about the products and his customers and employees.
Your stories are certainly true, but generally confined of low to mid-level stuff. I am sure a bunch of folks have tried to enter the cable market because low material cost to price. But, most get weeded out because in the long run companies like Transparent, Cardas, Audio Quest put so much money into Research and development they provide real value and more sophisticated sound.