What you forget is that these stores buy hundreds of thousands of these and sell them for full price and full profit. Near the end, they cost the store more in space than they'd generate in profits, so they can't really afford not to blow them out. It's not the same as they buy them for less than these prices though, in the volume they purchase, they probably still make a small profit.
Originally Posted by MrMatt
I suppose you could track down the auctions where they sell off these things to the discount store chains. All the dollar store type places attend them.