As a manufacturer I am very familiar with the distribution model. Dealers do create an opportunity to have a smooth flowing supply pipeline as well as inventory distributed near consumers. They make money, you make money. The difference is that in my business I have very tight controls over what my resellers can do and how they do it. The government doesn't get involved.

In the auto business dealers can be horrible places to walk into. The other day one of my friends at the gym bought a used car. She got royally screwed. I didn't tell her because it'd break her heart. They did the old "let's talk about the monthly payment" trick. She is mathematically challenged and couldn't have managed the stream of information during the negotiations. She will be paying $24K for a $10K purchase.