The tier list is an educated ranking of the quality of different power supplies.
No doubt, the specific positioning of a psu in the list is open to question.
The top ranked units will be built with better components, tighter tolerances, more safety circuitry and so on.
On the other hand, a
cheap PSU will be made of substandard components. It will not have safety and overload protections.
If it fails under load, it can destroy anything it is connected to.
It will deliver advertised power only at room temperatures, not at higher temperatures found when installed in a case.
The wattage will be delivered on the 3 and 5v rails, not on the 12v rails where modern parts
like the CPU and Graphics cards need it. What power is delivered may fluctuate and cause instability
issues that are hard to diagnose.
The fan will need to spin up higher to cool it, making it noisy.
A cheap PSU can become very expensive. Do not buy one.