I mostly don't disagree with any of what you said, however:
Speaking only from my experience with REI, I agree with most everything that you said but I might change "doing whatever it has to do to expand, often while loudly protesting it needs to do so in order to further The Noble Cause" to "doing what it needs to do to survive in an increasingly competitive market and meeting the needs of the changing demographic".
And that gets messy. Original demographics age out and new demographics require some other product selection. Co-op members vote and are pretty damn loud. Climbing shoes change to golf attire, mountaineering tents change to family camping tents with a separate room for the kids, road bikes change to mountain bikes change to electric bikes, the "tippy" performance kayak changes to something that your Mother-in-Law can paddle.
It sucks. That we both agree on.
All the delay and wasted time could have been avoided if MEC gave a little more thought to their customers and a little less thought to quarterly profits.