Regression to the mean is a purely statistical phenomenon: an unusually extreme result (very good or very bad) tends to be followed by a result closer to the average, simply because extreme results are partly due to chance factors that aren't likely to repeat in the same direction twice. The trap is that this natural statistical drift gets mistaken for a causal effect of whatever happened in between — punishment, praise, a new policy, a new coach.
First documented in the nineteenth century, this remains one of the most consistently misunderstood ideas in everyday reasoning, precisely because the mistaken causal story (punishment works, or praise backfires) is so much more emotionally satisfying than the correct, duller explanation (extreme results regress toward average on their own).