You can say that for the majority of the world's cities. Singapore is quite unique when it comes to encouraging their tourists' desires. After all, tourism remains a huge part of their income. They're all for double standards.
Eg. Remember when they built casinos? The government allowed local wives a contract with their husband indicating they were never to go inside one in Singapore >_>
Of course, if they're on a business trip, Macau is but a hop and a skip away.
I think you greatly underestimate the buying power of many Singaporeans and their desire for luxury goods. If there is a 'double standard', I think that pendulum has definitely swung the other way. Singapore went from being a 'tropical slum' in 1960 to a city-state greatly envied by many in just 30 years - in 2012, they are an economic powerhouse. Its no secret that the future of high-end audio is in Asia - not just manufacturing, but increasingly savvy and cashed-up consumers. Some of the rigs pictured on various Singapore audio forums are truly mind-blowing.