I don't think they're dumb, just hurting a lot more than in areas where apparently people are willing to spend more than they have to.
maybe your right and they are most likely getting the money back from the consumer via outrageous add-ons like window etching over priced non factory extended warranties and clerical charges. Hell I have even seen dealers charge for new car prep on the Bill of Sale even though manufacturers pay the dealer to do it.
it's a game