I would make the opposite statement; little stores get the best gear, albeit in short order. I understand that I am not located in the middle of a swamp, or top of a mountain, or a mile east of a desert oasis, but "local" to me I've got Jive Sound, Rocket Music, Chuck Levin's, and Bill's Music. The level of "good gear" that those four stores carry, compared to a GC (and their outstanding collection of dusty Squiers) is like a Ferrari sitting next to a Yugo at a stoplight.
Now not being one to rip on GC (I shop there too for little junk, or used stuff), it is still local. You're ensuring that a local person has a job behind the counter. You're spending your money within the county/state (tax wise). Sure, the money is leaving and going to a corporation, but that corporation is the one employing Johnny Guitar Guy, allowing him to pay rent. Also, the average kid who drags his parents into a GC hasn't a clue about stuff. He just wants to buy his first guitar, bass, drumkit, etc... GCs nationwide stock allows that future virtuoso the opportunity to buy a Squier for a great price.
If you don't like the idea of GC, and want to buy from a mom-and-pop shop, check the web. You may not be buying from someone in your area, but you will be buying from someone small. You'd probably get better customer service, and wait the same amount of time (shipping) that you would by ordering via MF or GC.