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I wouldn't be surprised if this programme made them a rather sizeable profit even if they had a typical margin on their products.
I'm certain it does. It's just a less expensive OEM with smaller profit margins can't afford to do things like this. In short, when you buy an Apple product, this is what you're paying for, even if you don't need it.
I see it a lot with premium products. You pay 100% more than the competition and typically you get better warranty coverage and service. The question is whether you need those things or if they are worth it when you could simply buy an entire second product from a competitor.
No, that's what I mean by "even if they had a typical margin". I'm saying it could be profitable despite their insane margin because you get people buying more of your products.
I disagree. If you have a $1 profit margin you'd have to sell a massive number of devices/consultation to afford to pay the employees. Not to mention you need to have an already-successful business with expensive brick-and-mortar locations.