> Even so, I don't think a large difference between the BOM and the price the consumer pays is necessarily a ripoff.
Actually, in some jurisdictions, if that difference goes over 12.5% of the paid price, and the customer is not specifically informed about this (and about potential cheaper competitors), the contract is not valid.
Germany used to have laws similar to this for centuries (also in terms of a limit of how high interest could be, and a general profit limit, see "Wucher"), but many parts of these rules have been removed over the decades and centuries.
Actually, in some jurisdictions, if that difference goes over 12.5% of the paid price, and the customer is not specifically informed about this (and about potential cheaper competitors), the contract is not valid.