Ok sure. One goes to a middle man the other directly to the manufacturer. One owns their own delivery trucks the other has to pay UPS. One can stop selling ammo and still be fine, the other has to call his distributor, see if anything is available and pay more then the other LGS or get in line and wait.

$200-$300 dollar mark up? Ok my LGS was charging $1100 for a basic Colt 6920 AR. Today, to buy one from a DISTRIBUTOR, its closer to $1600 and sell for $1700-$1800. So to you the markup is $800 +/- but the LGS is making the same $$ as before but not being able to restock as fast or at all. Meanwhile they still have to pay employees, electricity, rent if any, pay people who want to sell their guns. The buying frenzy really lasted about 2 weeks or so. In that time EVERYTHING was sold. Now what trickles in gets snatched up quick. But all that other stuff still has to be paid.

There are only so many manufacturers (who by the way were already behind before all this) and with the span of a week EVERY LGS IN THE country is placing large orders for EVERYTHING. All 4 LGSs within a 10 mile radius of me have not seen 223/556 ammo in weeks. One managed to get a case of AE 223 and was selling it for $15/box. I think the ammo lasted 1/2 a day

Im sure there are some who are gauging prices but that seems to be an exception.
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